Portfolio Composition

The HIT-DVF portfolio consists primarily of investment in the AFL-CIO Housing Investment Trust (HIT), with a smaller portion invested in a Blackrock Aggregate index fund^ to facilitate daily liquidity required by many defined contribution plans.

Performance

The HIT-DVF is expected to perform competitively with the investment grade bond market benchmark, the Bloomberg US Aggregate Bond Index (“Bloomberg Aggregate”).*

The HIT's performance can be found here. The HIT-DVF fact sheet can be found here.  The HIT-DVF participation agreement can be found here.

Diversification and Credit Quality

The HIT-DVF provides participants in qualified defined contribution plans with many of the benefits of investing in the HIT, including diversification and credit quality.

As a blend of the HIT and a bond index fund, the HIT-DVF has exposure to a higher percentage of high credit quality multifamily securities and a lower percentage of corporate debt than the Bloomberg Aggregate.*

^ Blackrock U.S. Debt Index Fund M Class which has a composition similar to the Bloomberg Aggregate.

* Information provided by Bloomberg Index Services Limited. BLOOMBERG® is a trademark and service mark of Bloomberg Finance L.P. and its affiliates (collectively “Bloomberg”). Bloomberg or Bloomberg’s licensors own all proprietary rights in the Bloomberg Indices. Bloomberg does not approve or endorse this material or guarantee the accuracy or completeness of any information herein, nor does Bloomberg make any warranty, express or implied, as to the results to be obtained therefrom, and, to the maximum extent allowed by law, Bloomberg shall not have any liability or responsibility for injury or damages arising in connection therewith.