Glossary

1 5 A B C D E F G H I L M N P Q R S T U W Y
1 5 A B C D E F G H I L M N P Q R S T U W Y

S

  • Sales Charge

    A sales charge is a commission on the purchase of an advisor-sold 529 plan. Direct-sold plans, like The Education Plan, do not have sales charges.

  • Savings Bond

    A savings bond is a government bond, such as a Series EE or Series I bond. 

  • Scholarship

    A scholarship is a form of financial aid that is based on the student’s academic, artistic or athletic merit.

  • Section 529

    Section 529 of the Internal Revenue Code of 1986 is the section of U.S. tax law that defines 529 plans and specifies their requirements.

  • Self-Help Aid

    Self-help aid includes money that must be earned or repaid, such as student employment and student loans.

  • Small-Cap
  • Static Investment Portfolio

    A static investment portfolio does not change its asset allocation over time.

  • Stock

    A stock is a security that represents ownership rights in a company.

  • Stock Funds

    A stock fund is a type of mutual fund that invests in company stocks (also called “equities”).

  • Student Loan

    A student loan is money borrowed for school that must be repaid with interest. Loans may come from the government, banks, financial institutions or other organizations.

  • Successor Account Owner

    The successor account owner is a person designated on the account application as the new account owner upon the death of the current account owner.

  • Superfunding

    Superfunding refers to the use of 5-year gift-tax front-loading to make a lump sum contribution to a 529 plan account. See also: Gift-Tax Front-Loading.

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Phone: 1-877-337-5268
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For more information about The Education Plan, call 1.877.337.5268 or view the Plan Description and Participation Agreement, which includes investment objectives, risks, charges, expenses, and other important information; read and consider it carefully before investing.

Please Note: Before you invest, consider whether your or the beneficiary’s home state offers any state tax or other state benefits such as financial aid, scholarship funds, and protection from creditors that are only available for investments in that state’s qualified tuition program. You also should consult a financial, tax, or other advisor to learn more about how state-based benefits (or any limitations) would apply to your specific circumstances. You also may wish to contact directly your home state’s 529 plan(s), or any other 529 plan, to learn more about those plan’s features, benefits and limitations. Keep in mind that state-based benefits should be one of many appropriately weighted factors to be considered when making an investment decision.

The Education Plan is administered by The Education Trust Board of New Mexico. Ascensus College Savings Recordkeeping Services, LLC, the Program Manager, and its affiliates, have overall responsibility for the day-today operations, including investment advisory, recordkeeping and administrative services. The Education Plan’s portfolios invest in: (i) mutual funds; (ii) exchange traded funds; and/or (iii) a funding agreement issued by New York Life. Investments in The Education Plan are not insured by the FDIC. Units of the portfolios are municipal securities and the value of units will vary with market conditions.

Investment returns will vary depending upon the performance of the portfolios you choose. You could lose all or a portion of your money by investing in The Education Plan depending on market conditions. Account owners assume all investment risks as well as responsibility for any federal and state tax consequences.

Ugift is a registered service mark of Ascensus Broker Dealer Services, LLC.

The Education Plan® and The Education Plan® Logo are registered trademarks of The Education Trust Board of New Mexico used under license.

All other marks are the exclusive property of their respective owners.

Not FDIC-Insured. No Bank, State or Federal Guarantee. May Lose Value.