News from AIG Funds


August 1, 2017

Mutual fund accounts can be “abandoned property”

States are looking at inactive mutual fund accounts as possible abandoned property. If you have not accessed your account for a while, it is at risk of being forfeited to your state government.

Different states have different rules, but generally a mutual fund account may be subject to “escheatment” if the account owner has not conducted any transactions or contacted the fund company holding the account for three to five years.

Please be aware that automatic transactions (such as dividend reinvestments and systematic investment and withdrawal plans) do not qualify as transactions under these rules.

We strongly encourage all AIG Funds shareholders to contact us at least once a year to review your account information. It’s also important to promptly notify us of any name or address changes.

Help us safeguard your assets! Many ways to establish contact with us:

  • Log into your account at www.aig.com/funds and view your holdings. We will capture this and consider it contact. Please note that simply visiting our public website will not satisfy establishing contact with us and state escheatment rules.
  • Call our 24-hour automated service line at 800-654-4760 for an account balance using your Personal Identification Number (PIN). We will capture this activity and consider it contact. Please note that if you have never used this system, you will need your account number to establish a PIN.
  • Call one of our customer service representatives at 800-858-8850; choose option 5, Monday through Friday from 8:30am to 6:00pm Eastern time.
  • Take action on letters received in the mail concerning account inactivity and follow the directions in the letter so we may capture your response.

FAQ Regarding Escheatment

What is lost or abandoned property?

Lost or abandoned property is property of all kinds that is unclaimed by its rightful owner or his or her heirs. Abandoned property may include financial assets, such as mutual fund shares and dividend or redemption checks if they are not cashed within a given period of time, as prescribed by state laws.

What is escheatment?

Escheatment is the process of turning over lost or abandoned property to a state authority and making the state the legal owner of the asset. Escheatment laws require mutual funds to turn over the proceeds from uncashed or returned checks and/or fund shares if the owner cannot be located within a length of time determined by each state.

What factors determine if an account is eligible for escheatment?

Returned mail from the post office (RPO) is one means by which a shareholder may be declared to be lost and his or her assets subject to escheatment. RPO mail includes activity account statements that are returned to the fund company as undeliverable, either because the address is unknown, or the owner no longer resides at the address and no forwarding address has been provided to the Post Office.

In addition to RPO mail, many states consider account inactivity to be grounds for escheatment. By law, mutual fund companies are required to make annual reports to state governments that list inactive accounts. Accounts are classified as inactive if the account owner neither conducts any transactions nor contacts the firm holding the account for a specific period of time, usually three to five years. After a number of years of inactivity, mutual fund companies must close inactive accounts and transfer the assets held in the account to the state's abandoned property fund.

I am enrolled in an automatic investment or redemption plan. Will this ensure my AIG Funds assets are not escheated?

Automatic transactions, including dividend reinvestment, will not prevent your assets from being escheated by the state, as they do not legally prove control over the property.

How can I prevent my AIG Funds assets from being turned over to the state?

Keep your AIG Funds accounts active by contacting us at least once a year by mail, telephone or by accessing your account information via www.aig.com/funds.

  • Keep accurate records of all AIG Funds accounts.
  • Cash all dividend and redemption checks.
  • Inform a family member or trusted advisor of the location of your AIG Funds account records.
  • Notify us of any change in name or address.
What should I do if my assets have been escheated?

Contact the Unclaimed Property Division in your state by visiting your state government’s website or by using the unclaimed property website, www.unclaimed.org