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NextGen College Investing Plan ANNUAL REPORTJune 30, 2016Program AdministratorMerrill Lynch, Pierce, Fenner & Smith Incorporated,Program Manager
NextGen College Investing Plan Requests for InformationQuestions concerning any of the information provided in this annual report or requests for additionalinformation concerning the NextGen College Investing Plan should be addressed to:Finance Authority of Maine – FAME5 Community DriveP.O. Box 949Augusta, ME 04332-0949(800) 228-3734NextGen@FAMEmaine.comMerrill Lynch1400 Merrill Lynch DrivePennington, NJ 08534Attn: Program Manager, NextGen College Investing Plan(888) 264-9077
Dear College Investor:Enclosed is the Annual Report of the NextGen College Investing Plan (“NextGen”) for the fiscal year July 1,2015 through June 30, 2016. The report provides information on the composition and performance of allthe NextGen Portfolios through the period ended June 30, 2016.The goal of providing a higher education is well worth pursuing, but financing a college degree requiresplanning. After housing, for many families higher education may be the single largest expense they willever incur. That’s why the NextGen plan provides participants with a broad range of investment choicesdesigned to meet the differing needs of families investing for college.A little planning today will go a long way toward providing the gift of a college education. With the NextGenCollege Investing Plan, you can help to make the dream a reality.Sincerely,Bruce E. WagnerChief Executive OfficerFinance Authority of MaineProgram AdministratorRichard J. PolimeniDirectorMerrill LynchMerrill Lynch, Pierce, Fenner & Smith Incorporated,Program Manager
NextGen College Investing Plan Table of ContentsPageIndependent Auditor’s Report on the Basic Financial Statementsand Other Reporting Required by Government Auditing Standards1–2Management’s Discussion and Analysis (Unaudited)4–6Basic Financial StatementsStatement of Fiduciary Net Position8Statement of Changes in Fiduciary Net Position8Notes to Financial Statements9 – 25Supplementary InformationIndependent Auditor’s Report on the Combining Statements29Notes to Combining Statements31Combining StatementsCombining Statements of Fiduciary Net Position – Summary Totals32 – 33Combining Statements of Fiduciary Net Position – Portfolios34 – 48Combining Statements of Changes in Fiduciary Net Position – Summary Totals50 – 51Combining Statements of Changes in Fiduciary Net Position – Portfolios52 – 66Independent Auditor’s Report on the Schedule of Cash Allocation Account Investments67Notes to Schedule of Cash Allocation Account Investments69 – 71Schedule of Cash Allocation Account Investments73 – 76
Thomas &Thomas LLPMembers American Institute Certified Public AccountantsCenter for Public Company Audit Firms and PCPSCertified Public AccountantsIndependent Auditor’s Report on the Basic Financial Statementsand Other Reporting Required by Government Auditing StandardsThe Board of DirectorsFinance Authority of MaineAugusta, MaineReport on the Basic Financial StatementsWe have audited the accompanying statement of fiduciary net position and statement of changes in fiduciaryposition of the Maine College Savings Program, also known as the NextGen College Investing Plan (“theProgram”), as of and for the year ended June 30, 2016, and the related notes to the financial statements,which collectively comprise the Program’s basic financial statements.Management’s ResponsibilityManagement is responsible for the preparation and fair presentation of the basic financial statements inaccordance with accounting principles generally accepted in the United States of America; this includes thedesign, implementation and maintenance of internal control relevant to the preparation and fair presentationof basic financial statements that are free from material misstatement, whether due to fraud or error.Auditor’s ResponsibilityOur responsibility is to express an opinion on the basic financial statements based on our audit. Weconducted our audit in accordance with auditing standards generally accepted in the United States of Americaand the standards applicable to financial audits contained in Government Auditing Standards, issued by theComptroller General of the United States. Those standards require that we plan and perform the audit toobtain reasonable assurance about whether the basic financial statements are free from materialmisstatement.An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in thebasic financial statements. The procedures selected depend on the auditor’s judgment, including theassessment of risks of material misstatement of the basic financial statements, whether due to fraud or error.In making those risk assessments, the auditor considers internal control relevant to the entity’s preparationand fair presentation of the basic financial statements in order to design audit procedures that are appropriatein the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’sinternal control. Accordingly we express no such opinion. An audit also includes evaluating theappropriateness of accounting policies used and reasonableness of significant estimates made bymanagement, as well as evaluating the overall presentation of the basic financial statements.We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for ouropinion.OpinionIn our opinion, the basic financial statements referred to above present fairly, in all material respects, thefiduciary net position of the Program as of June 30, 2016, and the respective changes in fiduciary net positionfor the year then ended in accordance with accounting principles generally accepted in the United States ofAmerica.1www.thomasthomasllp.comLittle Rock Office 201 E. Markham, Suite 500, Little Rock, Arkansas 72201 Telephone (501) 375-2025 FAX (501) 375-8704Texarkana Office 2900 St. Michael Drive, Suite 302, Texarkana, Texas 75503 Telephone (903) 831-3477 FAX (903) 831-3482
The Board of DirectorsFinance Authority of MaineEmphasis of MatterAs disclosed in Note 1 to the financial statements, the Program is a private purpose trust fund of theFinance Authority of Maine (“FAME”). The accompanying basic financial statements present only thebalances and transactions attributable to the Program and do not purport to, and do not, present fairly thefiduciary net position or changes in fiduciary net position of any other fiduciary or other fundsadministered by FAME, as of and for the year ended June 30, 2016.Other MattersRequired Supplementary InformationAccounting principles generally accepted in the United States of America require that management’sdiscussion and analysis on pages 4 through 6 be presented to supplement the basic financial statements.Such information, although not a part of the basic financial statements, is required by the GovernmentalAccounting Standards Board, as it is considered to be an essential part of financial reporting for placingthe basic financial statements in an appropriate operational, economic or historical context. We haveapplied certain limited procedures to the information presented in management’s discussion and analysisin accordance with audit procedures generally accepted in the United States of America, which consistedof inquiries of management about the methods of preparing the information and comparing theinformation for consistency with management responses to our inquiries, the basic financial statementsand other knowledge we obtained during our audit of the basic financial statements. We do not expressan opinion or provide any assurance on the information in management’s discussion and analysisbecause the limited procedures we perform do not provide us with sufficient evidence to express anopinion or provide any assurance.Other Reporting Required by Government Auditing StandardsIn accordance with Government Auditing Standards, we have also issued our report dated September 30,2016, on our consideration of the Program’s internal control over financial reporting and on our tests of itscompliance with certain provisions of laws, regulations, contracts and other matters. The purpose of thatreport is to describe the scope of our testing of internal control over financial reporting and complianceand the results of that testing, and not to provide an opinion on internal control over financial reporting oron compliance. That report is an integral part of an audit performed in accordance with GovernmentAuditing Standards in considering the Program’s internal control over financial reporting and compliance.Certified Public AccountantsSeptember 30, 2016Little Rock, Arkansas2
Management’s Discussion and Analysis(Unaudited)3
NextGen College Investing Plan Management’s Discussion and Analysis (Unaudited)June 30, 2016Management of the Maine College Savings Program, known as the NextGen College Investing Plan (the“Program”), offers this discussion and analysis of the Program’s financial performance for the fiscal year endedJune 30, 2016. This discussion and analysis is intended to provide a highly summarized overview of theProgram’s assets, liabilities, fiduciary net position and changes in fiduciary net position and should beconsidered in conjunction with the Program’s Financial Statements and the detailed disclosures contained in theNotes to Financial Statements. In addition, readers may also find useful the Combining Statements of FiduciaryNet Position and Changes in Fiduciary Net Position on pages 32 through 66 that provide additional informationrelevant to each of the investment options (the “Portfolios”) offered to participants under the Program.The PortfoliosThe Program offers a variety of investment options in two separate series - the Client Direct Series and theClient Select Series. Each series offers a different menu of Portfolios, which generally invest in either a singlemutual or exchange-traded fund, or a combination of mutual or exchange-traded funds. Certain Portfolios alsoinvest in a bank deposit product, a guaranteed interest account and/or highly liquid debt securities. Each serieshas its own expense structure, and the expenses of individual Portfolios will also vary. The Client Direct Seriesis distributed by the Finance Authority of Maine (“FAME”) and online through Merrill Lynch, Pierce, Fenner &Smith Incorporated (“Merrill Lynch”), the Program Manager, while the Client Select Series is availableexclusively through financial advisors. Participants in the Program provide instructions for the investment ofcontributions to purchase units of specific Portfolio(s). At June 30, 2016, the Program Portfolios are as follows:Client Direct Series OnlyBlackRock PortfoliosBlackRock Balanced PortfolioBlackRock Equity Index PortfolioiShares Balanced Portfolio*Client Select Series OnlyAllianz/ PIMCO PortfoliosAllianzGI Age-Based PortfoliosAllianzGI Capital Growth and Income PortfolioAllianzGI Capital Income PortfolioAllianzGI NFJ Dividend Value PortfolioPIMCO Real Return PortfolioBlackRock PortfoliosBlackRock 75% Equity PortfolioBlackRock Equity Dividend PortfolioBlackRock Global Allocation PortfolioBlackRock Large Cap Core PortfolioBlackRock Large Cap Growth PortfolioiShares Core Conservative Allocation PortfolioiShares Core Growth Allocation PortfolioiShares Core Moderate Allocation Portfolio*Franklin Templeton Portfolios (Continued)Franklin Templeton Age-Based PortfoliosFranklin Templeton Balanced PortfolioFranklin Templeton Growth and Income PortfolioFranklin Templeton Growth PortfolioLord Abbett PortfolioLord Abbett Total Return PortfolioMainStay PortfolioMainStay Large Cap Growth PortfolioMFS PortfoliosMFS Age-Based PortfoliosMFS Equity PortfolioMFS Fixed Income PortfolioMFS Research International PortfolioMFS Value PortfolioFranklin Templeton PortfoliosFranklin Templeton Global Bond PortfolioFranklin Templeton Mutual Shares PortfolioNeuberger Berman PortfolioFranklin Templeton Small Cap Value PortfolioNeuberger Berman International Equity PortfolioFranklin Templeton Small-Mid Cap Growth PortfolioClient Direct Series and Client Select SeriesBlackRock PortfoliosBlackRock Age-Based PortfoliosBlackRock 100% Equity PortfolioBlackRock Fixed Income PortfolioiShares Age-Based PortfoliosiShares Diversified Equity PortfolioiShares Diversified Fixed Income PortfolioNextGen Savings PortfolioPrincipal Plus Portfolio*The iShares Balanced Portfolio in the Client Direct Series and the iShares Core Moderate Allocation Portfolio in the Client Select Seriesinvest in the same underlying exchange-traded fund, the iShares Core Moderate Allocation ETF.4
NextGen College Investing Plan Management’s Discussion and Analysis (Unaudited)June 30, 2016Financial HighlightsAt June 30, 2016, the Program’s fiduciary net position totaled 8,486,842,921, a decrease of 18,889,590, or0.2%, below fiduciary net position at June 30, 2015.During the year ended June 30, 2016, contributions to the Program totaled 902,057,057, and withdrawalstotaled 781,786,825. During the year ended June 30, 2015, contributions to the Program totaled 990,178,876,and withdrawals totaled 759,159,708.For the year ended June 30, 2016, net investment loss totaled ( 87,889,245), a decrease of 298,793,729 fromthe net investment income amount earned during the year ended June 30, 2015. The decrease in netinvestment income from the prior year was primarily attributable to a 231,054,880 increase in net depreciationin the value of investments over 2015 amounts. In addition, dividend and interest income earned in 2016decreased from the amount earned in 2015 by 67,738,849. For the year ended June 30, 2016, the netdepreciation in the value of investments totaled 473,367,318, consisting of unrealized losses of 554,112,703,offset by net realized gains of 80,745,385. For the year ended June 30, 2015, net depreciation in the value ofinvestments totaled 242,312,438, consisting of unrealized losses of 389,872,290, offset by net realized gainsof 147,559,852. Dividends and interest income decreased from 453,216,922 for the year ended June 30,2015 to 385,478,073 for the year ended June 30, 2016.Overview of the Financial StatementsThe Program’s Basic Financial Statements are composed of the Statement of Fiduciary Net Position, theStatement of Changes in Fiduciary Net Position and the related Notes to Financial Statements.The Statement of Fiduciary Net Position presents information on the Program’s assets and liabilities, with thedifference between them representing fiduciary net position held for participants and their beneficiaries. TheStatement of Changes in Fiduciary Net Position provides information summarizing additions to and deductionsfrom fiduciary net position that occurred during the year, including contributions, withdrawals, net investmentincome and expenses. The Notes to Financial Statements provide additional explanatory information about theamounts presented in the Statement of Fiduciary Net Position and Statement of Changes in Fiduciary NetPosition.The Program is included in FAME’s financial statements as a private purpose trust fund. A private purpose trustfund is a type of fiduciary fund that is used to report assets that are held by a governmental entity in a trust oragency capacity for others and cannot be used to support the government’s programs or operations. Assetscan only be used to satisfy withdrawal requests made by Program participants, payment of administrativeexpenses and other purposes as expressly permitted under Maine law.The Program’s Basic Financial Statements are prepared in accordance with the accounting and financialreporting standards for governmental entities set forth by the Governmental Accounting Standards Board(“GASB”). Amounts are reported using the accrual basis of accounting. Investments are generally reported atfair value, and all investment transactions are recorded on a trade date basis. Changes in fair value, along withrealized gains and losses, dividends, capital gain distributions and interest are reported as “net investmentincome (loss)” on the Statement of Changes in Fiduciary Net Position. Contributions and withdrawals arerecognized on the trade date. Expenses and liabilities are recognized when incurred. All changes in fiduciarynet position are reported as soon as the underlying event giving rise to the change occurs, regardless of thetiming of related cash flow. Thus, revenues and expenses are reported for some items that will result in cashflows in future fiscal years.5
NextGen College Investing Plan Management’s Discussion and Analysis (Unaudited)June 30, 2016Financial AnalysisFiduciary Net PositionTo begin the financial analysis, a summary of the Program’s assets and liabilities as of June 30, 2016 andJune 30, 2015 is presented below:June 30, 2016June 30, 2015Total AssetsTotal Liabilities 8,501,158,07314,315,152 8,520,752,70415,020,193Fiduciary Net Position 8,486,842,921 8,505,732,511The condensed financial information above is meant to provide a snapshot of the overall financial position of theProgram as of the dates presented.Fiduciary net position represents the cumulative total of contributions into the Program since inception,increased (decreased) by net investment income (or losses), and decreased by withdrawals and fees andexpenses, all of which is held for the benefit of participants and their beneficiaries.Investments represent 8,491,051,232 and 8,510,018,297 of the Program’s total assets at June 30, 2016 and2015, respectively. Other assets, which total 10,106,841 at June 30, 2016, and 10,734,407 at June 30, 2015,include cash that has not yet been invested or distributed in accordance with participant instructions, accruedinvestment income and receivables from proceeds from underlying investment sales transactions. Liabilities,which totaled 14,315,152 at June 30, 2016 and 15,020,193 at June 30, 2015, include accrued fees andexpenses, withdrawals payable and payables for underlying investment purchase transactions.Changes in Fiduciary Net PositionThe following summarizes the changes in fiduciary net position during the years ended June 30, 2016 andJune 30, 2015:Year EndedJune 30, 2016AdditionsContributionsNet Investment (Loss) Income 902,057,057(87,889,245)Year EndedJune 30, 2015 990,178,876210,904,484Total walsFees and Total Deductions833,057,402810,668,051Net (Decrease) Increase(18,889,590)390,415,309Fiduciary Net Position, Beginning of YearFiduciary Net Position, End of Year8,505,732,5118,115,317,202 8,486,842,921 8,505,732,511During 2016, the Program’s net position decreased by approximately 0.2% from the June 30, 2015 balance.This overall decrease was primarily attributable to a net investment loss and expenses and withdrawals fromProgram accounts exceeding contributions into the Program.6
Basic Financial Statements7
NextGen College Investing Plan Statement of Fiduciary Net PositionJune 30, 2016ASSETSInvestmentsCash and cash equivalentsReceivable for securities soldAccrued investment income 8,491,051,2325,922,8944,154,05929,888Total Assets8,501,158,073LIABILITIESPayable for securities purchasedWithdrawals payablePayable for accrued fees and expenses2,868,0637,208,8884,238,201Total Liabilities14,315,152 8,486,842,921FIDUCIARY NET POSITIONNextGen College Investing Plan Statement of Changes in Fiduciary Net PositionFor the Year Ended June 30, 2016ADDITIONSContributionsInvestment income (loss):Dividends and interestNet depreciation in value of investmentsNet investment loss ,167,812Total AdditionsDEDUCTIONSWithdrawalsFees and expenses:Management feesMaine administration feesTotal fees and tal Deductions833,057,402NET DECREASE(18,889,590)FIDUCIARY NET POSITION,BEGINNING OF YEAR8,505,732,511FIDUCIARY NET POSITION,END OF YEAR 8,486,842,921See accompanying notes to financial statements.8
NextGen College Investing Plan Notes to Financial StatementsJune 30, 2016NOTE 1: ORGANIZATION AND OPERATIONS(a) GeneralThe Maine College Savings Program, known as the NextGen College Investing Plan (the “Program”), wasestablished in accordance with Chapter 417-E of Title 20-A of the Maine Revised Statutes Annotated of 1964, asamended (the “Act”), to encourage the investment of funds to be used for qualified higher education expenses ateligible education institutions. The Program is designed to comply with the requirements for treatment as aqualified tuition program under Section 529 of the Internal Revenue Code of 1986, as amended. The Actauthorizes the Finance Authority of Maine (“FAME”) to administer the Program and the Maine College SavingsProgram Fund (the “Program Fund”). The Program Fund is held by FAME, and is invested under the direction ofand with the advice of a seven member Advisory Committee on College Savings, which is chaired by the Treasurerof the State of Maine (the “Treasurer”).The Program offers a variety of investment options to participants through two separate series - the Client SelectSeries and the Client Direct Series. The Client Select Series is available exclusively through financial advisors,and the Client Direct Series is distributed by FAME and through the Program’s internet website. Each series offersinvestment portfolio options from which participants may choose (each, a “Portfolio” and collectively, the“Portfolios”). Each series has its own expense structure, and the expenses of each Portfolio may vary. EachPortfolio invests in one or more underlying investments approved for that Portfolio. Accounting policies relevant tothe Program’s investments are described in Note 2, and more details about the Program’s investments areprovided in Note 4. Details about the Program’s investments are also included in the Program Description andParticipation Agreement applicable to each series, both of which are dated September 21, 2015, as supplementedApril 25, 2016. Additional supplements were issued for the Client Select Series on December 14, 2015 andDecember 15, 2015.The Program Fund is a fiduciary fund of FAME and is included in FAME’s financial statements as a “privatepurpose trust fund.” Fiduciary funds are used to report assets that are held in a trust or agency capacity for othersand therefore cannot be used to support a governmental entity’s operations or other programs. A private purposetrust fund is a type of fiduciary fund used to report certain trust arrangements under which principal and incomebenefit individuals, private organizations or other governments. These financial statements and related notespresent balances and transactions attributable to the Portfolios within the Program Fund and do not include anybalances or transactions attributable to FAME or any other fiduciary or other funds administered by FAME.(b) AdministrationFAME and the Treasurer have selected Merrill Lynch, Pierce, Fenner & Smith Incorporated (“Merrill Lynch”), anindirect wholly-owned subsidiary of Bank of America Corporation (“Bank of America”), to act as the ProgramManager pursuant to the Program Management Agreement (“Management Agreement”) dated May 27, 1999among FAME, the Treasurer, Merrill Lynch and Financial Data Services, Inc. (“FDS”), also an indirect whollyowned subsidiary of Bank of America, which serves as Portfolio Servicing Agent for the Program. TheManagement Agreement was amended and restated in its entirety as of February 20, 2014, and subsequentlyamended effective June 9, 2014. The Management Agreement provides that Merrill Lynch and FDS areresponsible for providing certain administrative, recordkeeping and investment and marketing services for theProgram. The Management Agreement also provides that Merrill Lynch and FDS receive a Management Fee anda Portfolio Servicing Fee, respectively, for such services, as described in more detail in Note 3. Transfer agent,audit, printing, certain legal and other expenses incurred by the Program are paid by Merrill Lynch out of itsManagement Fee. Merrill Lynch distributes certain products and services sponsored or advised by BlackRock, Inc.under a global distribution agreement. Merrill Lynch and FDS may subcontract fund accounting or custody servicesto a Program Accounting Agent. The Program Accounting Agent is Bank of America, N.A., an indirect whollyowned subsidiary of Bank of America.9
NextGen College Investing Plan Notes to Financial StatementsJune 30, 2016NOTE 1: ORGANIZATION AND OPERATIONS (Continued)(b) Administration (Continued)Also pursuant to the Management Agreement, Merrill Lynch may propose to FAME and the Treasurer thatinvestment options be offered through the Program by registered investment advisors (“Sub-Advisors”). The SubAdvisors approved by FAME and the Treasurer as of June 30, 2016 are Allianz Global Investors U.S. LLC(“AllianzGI”), BlackRock Investment Management, LLC (“BlackRock”), Franklin Templeton Investments (“FranklinTempleton”), Lord, Abbett & Co. LLC (“Lord Abbett”), Massachusetts Financial Services Company (“MFS”),Neuberger Berman LLC (“Neuberger Berman”) and New York Life Investment Management LLC (“MainStay”).FAME contracts with Pension Consulting Alliance, LLC to provide independent investment consulting services tothe Program.NOTE 2: SIGNIFICANT ACCOUNTING POLICIES(a) Basis of AccountingIn accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”)applicable to fiduciary fund types prescribed by the Governmental Accounting Standards Board (“GASB”), theProgram’s financial statements are prepared using the flow of economic resources measurement focus andaccrual basis of accounting.(b) InvestmentsThe Program’s investments are generally measured at fair value, except as described in the paragraphs thatfollow. Accounting standards categorize fair value measurements according to a hierarchy that is based on thevaluation inputs that are used to measure fair value. Level 1 inputs are quoted prices for identical assets in activemarkets that can be accessed at the measurement date. Level 2 inputs are inputs other than quoted prices thatare observable for an asset, either directly or indirectly. Level 3 inputs are unobservable.Most of the Portfolios invest directly in mutual funds. The mutual funds are reported at fair value, determinedbased on the net asset value per share as of the close of the New York Stock Exchange (NYSE) on the reportingdate (Level 1 inputs). Net realized and unrealized gains and losses are reported as “net appreciation(depreciation) in value of investments” on the Statement of Changes in Fiduciary Net Position. Purchases andsales are recorded on a trade date basis. Dividend and capital gain distributions are recorded on the ex-dividenddate.The iShares Portfolios invest in units of participation in a series of “Master Trusts.” The underlying assets of theMaster Trusts include exchange-traded funds (“ETFs”) and cash. Each iShares Portfolio’s investment in a MasterTrust is reported at net asset value per unit, which is determined based on the fair value of the ETF, plus cash,plus accrued dividends and other assets, less any liabilities, divided by the total number of units outstanding. Thefair values of the ETFs are determined based on market prices as of the close of the NYSE on the reporting date(Level 1 inputs). Purchases and sales of units of the Master Trusts are recorded on a trade date basis. The MasterTrusts do not pay interest or dividends to the iShares Portfolios. Dividends and interest earned on the underlyingETFs result in increases in the net asset value per unit of the Master Trust. Changes in the net asset value perunit of the Master Trusts are included in “net appreciation (depreciation) in value of investments” on the Statementof Changes in Fiduciary Net Position.The Cash Allocation Account is a separate account in which certain Portfolios are invested. The underlying assetsof the Cash Allocation Account include certificates of deposit, commercial paper, corporate notes, obligations ofthe U.S. Treasury and government sponsored entities and municipal variable rate demand notes, all with shortmaturities (generally one year or less at the date of purchase). BlackRock Capital Management, Inc. isresponsible for management of the assets in the Cash Allocation Account, and State Street Bank and TrustCompany (“State Street”) is custodian of all investments held in the Cash Allocation Account. Each Portfolio’sinvestment in the Cash Allocation Account is evidenced by units of participation in the separate account and isreported at net asset value per unit, which is determined based on the net book value of the investments held inthe Cash Allocation Account, plus accrued interest and any other assets, less accrued expenses and any otherliabilities divided by the total number of units outstanding. Due to the short maturities of the investments held inthe Cash Allocation Account, net book value approximates fair value.10
NextGen College Investing Plan Notes to Financial StatementsJune 30, 2016NOTE 2: SIGNIFICANT ACCOUNTING POLICIES (Continued)(b) Investments (Continued)The Principal Plus Portfolio invests in a guaranteed interest account (“GIA”) issued by New York Life InsuranceCompany (“New York Life”).The GIA is a non-participating, unallocated insurance contract and is reported atcontract value, which is equal to contributions, plus interest credited at a guaranteed rate (may be adjustedperiodically), less any applicable premium taxes and withdrawals. The GIA is guaranteed as to principal,accumulated interest and future interest rates.The NextGen Savings Portfolio invests exclusively in an interest-bearing omnibus negotiable order of withdrawal(“NOW”) account currently at Ban
information concerning the NextGen College Investing Plan should be addressed to: Finance Authority of Maine - FAME 5 Community Drive P.O. Box 949 Augusta, ME 04332-0949 (800) 228-3734 NextGen@FAMEmaine.com Merrill Lynch 1400 Merrill Lynch Drive Pennington, NJ 08534 Attn: Program Manager, NextGen College Investing Plan (888) 264-9077
