• In reaction to the strong stock market return in April, net monthly transfers in the Hewitt 401(k) Index™ moved from fixed income investments to equities for the first time since June 2008. In fact, a total of $231 million shifted toward diversified equity investments (excluding company stock) throughout April.


• Although the direction of transfers changed in April, the volume of transfers was not very large. Small U.S. equity received $62 million in inflows in April, followed by large U.S. equity ($55 million) and lifestyle funds ($50 million).


• On the other hand, GIC/stable value funds had $78 million in outflows, which is the first outflow since last June. Money market funds also lost $31 million in net transfers. But the biggest loser of the month was company stock, which had net outflows of $184 million (representing 63% of net transfers).


• As the significant company stock outflows offset the inflows into other diversified equity funds, the total net transfer into all equities (including company stock) was merely $47 million. The percent of equity-oriented days (52%) was only slightly higher than fixed income-oriented days (48%) in April.


• On average, 0.04% of balances were transferred on a net daily basis during the month, which is slightly lower than the trailing 12-month average of 0.05%. Only one day in April had above-normal* levels of transfer activity.


• Participants' overall equity allocation was up slightly, from 49.1% at the end of March to 51.7% at the end of April, due to both positive return on the stock market and participants' transfers.


• Employee-only contributions were nearly the same as last month, at 55.8% in April versus 55.7% in March.

*A "normal" level of relative transfer activity is when the net daily movement of participants' balances as a percent of total 401(k) balances within the Hewitt 401(k) Index equals between 0.3 times and 1.5 times the average daily net activity of the preceding 12 months. A "high" relative transfer activity day is when the net daily movement exceeds two times the average daily net activity. A "moderate" relative transfer activity day is when the net daily movement is between 1.5 and two times the average daily net activity of the preceding 12 months.

The following tables show Hewitt 401(k) Index statistics and the returns of major market indices for the month of April 2009:

Dow Jones IA	7.56%
Russell 2000	15.46%
Barclays Capital Aggregate Bond Index	0.48%
S&P 500	9.57%
MSCI EAFE	12.80%
NASDAQ	12.35%

Number of Fixed Income Days	10
Number of Equity Days	11
Percent of Equity Days	52%