gate market value of all shares of that stock by the 
aggregate market value of all shares of all stocks in-
cluded in such index. 
‘‘(2) SELECTION OF INDEX.—The Board shall 
select, for purposes of investment of amounts held in 
the International Stock Index Investment Account, 
an index which is a commonly recognized index com-
prised of common stock the aggregate market value 
of which is a reasonably complete representation of 
the international equity markets excluding the 
United States equity markets. 
‘‘(j) 
ADDITIONAL
INVESTMENT
OPTIONS.—The 
Board may from time to time, as determined by regulation 
as appropriate to further the purposes of this section, 
shall— 
‘‘(1) establish investment accounts in the Tier 
II Investment Fund meeting the requirements of 
this section in addition to those established by this 
section, and 
‘‘(2) terminate investment accounts in the Tier 
II Investment Fund established pursuant to para-
graph (1). 
‘‘(k) DISCLOSURE OF ADMINISTRATIVE COSTS.—The 
Board shall provide to each participating individual an an-
nual disclosure of the rate of administrative costs charge-
able with respect to investment in each investment account 
in the Tier II Investment Fund. Such disclosure shall be 
written in a manner calculated to be understood by the 
average participating individual. 
‘‘(l) TREATMENT OF AMOUNTS HELD IN TIER II IN-
VESTMENT FUND.—Subject to this part, amounts depos-
ited into, and held and accounted for in, the Tier II In-
vestment Fund with respect to any participating individual 
shall continue to be treated as property of such partici-
pating individual, held in trust for such participating indi-
vidual in the Fund. 
‘‘SEC. 257. TIER III INVESTMENT OPTIONS. 
‘‘(a) ELECTION
OF TIER III INVESTMENT OP-
TIONS.— 
‘‘(1) IN GENERAL.—A participating individual 
may elect to direct transfers from amounts in the 
Savings Fund credited to the personal social security 
savings account of such individual into 1 or more 
Tier III Investment Options in accordance with 
paragraph (2). 
‘‘(2) COMMENCEMENT OF TIER III INVESTMENT 
OPTIONS UPON ATTAINMENT OF ELECTION THRESH-
OLD.—In any case in which, as of the end of any 
calendar year, the total balance in the Savings Fund 
credited to a participating individual’s personal so-
cial security savings account exceeds for the first 
time the election threshold, the Board shall, by regu-
lation, provide for an opportunity for such partici-
pating individual to make, at any time thereafter, 
such individual’s first election of one or more of the 
Tier III Investment Options for investment of an 
amount in the Savings Fund credited to such ac-
count. Such election may be in lieu of or in addition 
to investment in the options available with respect to 
the Tier II Investment Fund of the Savings Fund. 
‘‘(3) ALLOCATION OF FUNDS.—In the case of 
an election under paragraph (1), funds credited to 
the personal social security savings account of the 
participating individual and elected for transfer to 
one or more Tier III Investment Options shall be 
transferred to the Tier III Investment Options so 
elected for such calendar year, in percentages speci-
fied in the election by the participating individual for 
each applicable portfolio. 
‘‘(4) ELECTION THRESHOLD.— 
‘‘(A) IN
GENERAL.—Subject to subpara-
graph (B), for purposes of this subsection the 
term ‘election threshold’ means an amount 
equal to $25,000.
‘‘(B) ADJUSTMENTS.—The Board shall ad-
just annually (effective for annual reporting 
months occurring after December 2006) the 
dollar amount set forth in subparagraph (A) 
under procedures providing for adjustments in 
the same manner and to the same extent as ad-
justments are provided for under the proce-
dures used to adjust benefit amounts under sec-
tion 215(i)(2)(A), except that any amount so 
adjusted that is not a multiple of $1.00 shall be 
rounded to the nearest multiple of $1.00. 
‘‘(5) SUBSEQUENT INVESTMENT OF AMOUNTS 
HELD
IN
TIER
III
INVESTMENT
OPTIONS.—Any 
amounts held in one or more Tier III Investment 
Options may be— 
‘‘(A) transferred at any time to one or 
more other Tier III Investment Options, subject 
to applicable regulations of the Board and the 
terms governing the affected Tier III Invest-
ment Options, and 
‘‘(B) transferred, not more frequently than 
annually, to the Tier II Investment Fund, for 
deposit in the applicable investment account 
then selected by the participating individual 
under section 256.
‘‘(b) CERTIFICATION OF ELIGIBLE ENTITIES.— 
‘‘(1) IN GENERAL.—The Board shall certify eli-
gible entities to offer Tier III Investment Options 
under this part. 
‘‘(2) APPLICATION.—Any eligible entity that de-
sires to be certified by the Board to offer a Tier III 
Investment Option shall submit an application to the 
Board at such time, in such manner, and containing 
such information as the Board may require. 
‘‘(3) REQUIREMENTS
FOR
APPROVAL.—The 
Board shall not certify an eligible entity unless such 
eligible entity agrees to the following requirements: 
‘‘(A) SEPARATE ACCOUNTING.—Each eligi-
ble entity shall, with respect to each Tier III 
Investment Option offered by such eligible enti-
ty to participating individuals— 
‘‘(i) establish separate accounts for 
the contributions of each participating in-
dividual, and any earnings properly allo-
cable to the contributions, and 
‘‘(ii) maintain separate recordkeeping 
with respect to each account. 
‘‘(B) TREATMENT OF AMOUNTS HELD IN 
FUND.—Amounts deposited into, and held and 
accounted for in, a Tier III Investment Option