How to social media Institutional Investor September 11, 2012

Source: SSgA April 2012 DC Investor Survey

29% Don’t read

54% Don’t talk

Source: SSgA April 2012 DC Investor Survey

10% Confident

The action gap

Important All Not Engaged Engaged

(4 – 6 tasks)

How to select a diverse mix of investments

65% 42% 84%

How to adjust my asset allocation depending on my investment timeline

67% 47% 84%

How to determine how much I will need to save to have a secure retirement

78% 64% 89%

How to make my retirement savings last a lifetime

82% 66% 94%

The action gap

Knowledgeable All Not Engaged Engaged (4-6 tasks)

How to select a diverse mix of investments

33% 15% 52%

How to adjust my asset allocation depending on my investment timeline

30% 17% 49%

How to determine how much I will need to save to have a secure retirement

33% 18% 45%

How to make my retirement savings last a lifetime

28% 18% 40%

Participant perspective

“I don’t understand if the options available to me are really good investments, and I have no idea what they consist of. I don’t know what the S&P 500 is. I don’t have a sense of whether I’ve allocated my investments the right way or how I should diversify.” Melisa, a 27-year-old engineer who saves 6% of her gross salary in her DC plan per year

They want simple information and tools

How helpful would each of the following be in encouraging you to save and invest for retirement?

Having small steps that are easy to accomplish

Giving me a computer tool that will guide me through the choices

Showing me how people like me are successful with savings and investments

100% 40%60%80% 20% 0%

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Source: SSgA 2011 DC Investor Survey

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Plan sponsors’ biggest challenges

But effort doesn’t match the need: Frequency of communication

Few use the tools that make year-round communication possible

Only 38% give employees access to their benefits info on a site outside the firewall

Few using social, interactive Which interactive tools do you use?

Mobile adoption nonexistent What mobile tools do you use?

What can we learn from Mad Men? •  Know your objective •  Know your audience •  Keep it simple •  Reach and repeat

Know your objective

Know your objective

Know your objective

Know your audience

YOU KNOW WHERE YOU WERE.

Do you know where you’re going?

LEARN MORE BY GOING TO BENEFITS.COM OR CALL 888-BEN-EFIT. IT’S ABOUT TIME

As a Boomer, you know that retirement

is just around the corner. Is your

portfolio balanced to meet your needs

now and through retirement? A Target

Retirement Fund will automatically

adjust the mix of stocks and bonds to

align with your goals and your

retirement timing. It’s a simple way to

get where you want to go.

This communication material is in draft form and is being provided to you only as a working document. It should be reviewed by your own legal and compliance advisors to ensure you are meeting any fi duciary obligations prior to any further distribution.

LEARN MORE BY GOING TO BENEFITS.COM OR CALL 888-BEN-EFIT.

IT’S ABOUT TIME

IF MARIE CURIE CRACKED

RADIOACTIVITY IN HER TWENTIES

SURELY YOU CAN CRACK RETIREMENT IN YOURS.

Even if you’re just starting out, a Target Retirement Fund can keep up with you. It’s a single diversifi ed investment fund that automatically adjusts the mix of stocks and bonds over time. In your twenties, the emphasis

is on greater risk and potential to grow (more stocks), while later in your career your portfolio becomes more conservative (more bonds). Retirement may be years away, but starting early makes a big impact. Get cracking now.

This communication material is in draft form and is being provided to you only as a working document. It should be reviewed by your own legal and compliance advisors to ensure you are meeting any fi duciary obligations prior to any further distribution.

Know your audience

Keep it simple: videos

Keep it simple: videos

Keep it simple: targeted content

Reach and repeat: integrating communication & reaching families

Reach and repeat

Reach and repeat

Year-round communication makes a difference

Of the companies that communicate year-round, 84% met all or nearly all their goals

Social media concerns

•  Keeping up with content •  Privacy and sharing of personal

information •  Monitoring employee/family posts •  Explaining it to executive management

Use social media for broad education and reminders

Example tweets @YourCompanyHere: Start early and retire sooner. Learn more about the benefits of starting young. @YourCompanyHere: Thinking taxes? Consider a Roth 401(k) if you want to pay taxes now rather than later. @benefitstip: Financial health leads to physical and emotional health. – http://ow.ly/8wKRM

No-go tweets @YourCompanyHere: Invest in the target date fund and never think about retirement again. @YourCompanyHere: Get stable with a stable value fund. @Your CompanyHere: @JaneSmith Invest in TIPS for inflation protection.

Q&A

definedcontribution@ssga.com info@benzcommunications.com

Disclosure

The views expressed in this material are the views of SSgA Defined Contribution through the period ended September 11, 2012, and are subject to change based on market and other conditions. This document contains certain statements that may be deemed forward-looking statements. Please note that any such statements are not guarantees of any future performance and actual results or developments may differ materially from those projected. All material has been obtained from sources believed to be reliable. There is no representation or warranty as to the accuracy of the information and State Street shall have no liability for decisions based on such information. Any participant communication samples in this material should be considered to be in draft form and is being provided to you only as a working document and should not be considered investment advice. It should be reviewed by your own legal and compliance advisors to ensure you are meeting any fiduciary obligations prior to any further distribution to participants. Investing involves risk, including the risk of loss of principal. Diversification does not ensure a profit or guarantee against loss. Risk associated with equity investing includes stock values, which may fluctuate in response to the activities of individual companies and general market and economic conditions. Although bonds generally present less short-term risk and volatility risk than stocks, bonds contain interest rate risks, the risk of issuer default, issuer credit risk, liquidity risk and inflation risk. Increases in real interest rates can cause the price of inflation-protected debt securities to decrease. Generally, among asset classes, stocks are more volatile than bonds or short-term instruments. Government bonds and corporate bonds have more moderate short-term price fluctuations than stocks, but provide lower potential long-term returns. Lower-quality debt securities involve greater risk of default or price changes due to potential changes in the credit quality of the issuer. Asset allocation is a method of diversification which positions assets among major investment categories. Asset allocation may be used in an effort to manage risk and enhance returns. It does not, however, guarantee a profit or protect against loss. SSgA DC-0452