FAQ 269: Transfers done incorrectly. How to correct?


Had an initial transfer for 5 people, where all went to one fund rather than based on elections (for reasons not related to this incident). Trades have been executed. How to correct?


The most accurate way is to identify units purchased, create transfer outs (sells) to liquidate, allocate proceeds to correct funds and create transfer-ins, output to transition and buy. The problem is the proceeds won't equal the initial amounts. The TPA may make up any losses. Or, since the market has been relatively stable, just do dollar-certain transfer outs and ins based on what should have happened. This is easier and, as long as it doesn't materially affect the particpant account, should be fine - and make sense to the participant.