The College SAVE Trust

1. State instrumentality. The trust shall be an instrumentality of the state and shall be subject to the declaration of trust. 2. Composition of the trust. The trust is made up of the investment fund and such other segregated funds as may be established by the trustee from time to time under the declaration of trust. 3. Portfolios. Each portfolio is comprised of one or more mutual funds, separate accounts or other investment vehicles in which assets in the investment fund are invested in accordance with the asset allocation adopted by the Bank. An account is initially invested in a portfolio based upon the selections made by the participant on the enrollment form. An account will be reallocated to a new portfolio if the participant changes the investment selections for the account in accordance with these rules. The Bank will approve: a. The percentage asset allocations by investment sector for each portfolio; and b. Specific underlying funds, separate accounts or other investment vehicles for each portfolio that are consistent with the investment sector asset allocations for that portfolio. Asset allocations will be based either on the age of the designated beneficiary specified for such portfolio or on a specific investment strategy (fixed portfolios). 4. Investment in an age-based portfolio. A participant may select the age-based option and the fixed option for an account on the appropriate form. If a participant chooses an age-based option on the appropriate form, the account will be assigned to an age-based portfolio based upon: a. The designated beneficiary's birth date identified by the participant; and b. The investment style (either aggressive, moderate, or conservative) selected by the participant. The Bank will determine the age-based portfolios and the age of the designated beneficiary specified for each portfolio. The Bank will determine the investment styles that are available for each age-based portfolio. As time passes and the designated beneficiary ages, the account will be automatically reassigned to a more conservative age-based portfolio. When an account is reassigned to a more conservative age-based portfolio, units of the age-based portfolio to which the account has been invested will be redeemed and the proceeds of such redemption will be used by the manager to purchase units of the more conservative age-based portfolio to which the account is invested. Thereafter, contributions to the account and earnings thereon, if any, will be used by the manager to purchase units of the more conservative age-based portfolio. 5. Investment in a fixed portfolio. A participant may select the age-based option and the fixed option for an account on the appropriate form. If a participant chooses the fixed option on the appropriate form, the account will be invested in a combination of underlying mutual funds, separate accounts or investment vehicles in accordance with a fixed asset allocation that does not change based on the age of a designated beneficiary. 6. Investment change permitted upon change in designated beneficiary. If the participant changes the designated beneficiary for an account as described herein, the participant may, at the same time as a new designated beneficiary is selected, change the investment selections for the account on the appropriate form. The account will be invested in a new portfolio based upon the investment selections made by the participant on the properly completed change in designated beneficiary form. If the account is invested in an age-based portfolio and a participant does not change the investment selection for the account, the account will automatically be moved to the age-based portfolio that corresponds to the designated beneficiary's birth date identified by the participant. 7. Investment change permitted twice per calendar year. Twice each calendar year, the participant may change the investment selections for an account without changing the designated beneficiary by executing such form as the Bank may require. The account will be invested in the new portfolio based upon the investment selections made by the participant. 8. Bank authority to change portfolios and units. The Bank has the authority to create additional portfolios, change the asset allocation or underlying investments of existing portfolios, or delete portfolios, without regard to prior participant selections. The terms of such subsequent portfolios shall be as set forth in the plan disclosure statement or supplements thereto. The Bank shall also have the authority to modify the method for valuing accounts, including the ability to authorize unit splits, reclassifications, or equitable adjustments; provided, however, that such action shall not adversely affect the interests of any participant or designated beneficiary. 9. Investment procedures. Contributions to an account and earnings thereon, if any, will be used by the manager to purchase shares of mutual funds, separate accounts or other investment vehicles on behalf of the trust in accordance with the asset allocation for the portfolio to which the account is invested. Investments shall be made in mutual funds, separate accounts or other investment vehicles as set forth in the plan disclosure statement.