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<br /> New Lower inVEST Administrative Fee<br /> Effective January 1, 2014, the inVEST Administrative Fee will be reduced from<br /> 0.20% to 0.15%. This fee is mentioned on the following pages in the inVEST<br /> Program Description: 4, 33, 42, 49, 52, and 53.<br /> 2<br /> SUPPLEMENT #2 DATED MAY 1, 2014 TO THE VIRGINIA529 INVESTSM<br /> PROGRAM DESCRIPTION & PRIVACY POLICY DATED JANUARY 1, 2014<br /> This Supplement #2 provides information on the recent Parnassus Equity<br /> Income Fund Name Change.<br /> Parnassus Equity Income Fund Name Change<br /> Effective May 1, 2014, the Parnassus Equity Income Fund has changed its name to the Parnassus Core<br /> Equity Fund. This fund is discussed or mentioned on pages 42 (Chart V), 47, and 48.<br /> Virginia529 inVEST<br /> SM<br /> (formerly the Virginia Education Savings TrustSM)<br /> Program Description & Privacy Policy<br /<a title="va529_invest_program_description page 1" href="http://viewer.zmags.com/publication/8c27c279?page=1"> New Lower inVEST Administrative Fee Effective Ja</a> <a title="va529_invest_program_description page 2" href="http://viewer.zmags.com/publication/8c27c279?page=2"> SUPPLEMENT #2 DATED MAY 1, 2014 TO THE VIRGINI</a> <a title="va529_invest_program_description page 3" href="http://viewer.zmags.com/publication/8c27c279?page=3"> Virginia529 inVEST SM (formerly the Virginia Edu</a> <a title="va529_invest_program_description page 4" href="http://viewer.zmags.com/publication/8c27c279?page=4"> Customers should obtain all enrollment materials,</a> <a title="va529_invest_program_description page 5" href="http://viewer.zmags.com/publication/8c27c279?page=5"> Summary of Plan Features The following summary di</a> <a title="va529_invest_program_description page 6" href="http://viewer.zmags.com/publication/8c27c279?page=6"> • Accounts may be held in the name of a custodian</a> <a title="va529_invest_program_description page 7" href="http://viewer.zmags.com/publication/8c27c279?page=7"> Rollover Contributions and Transfers • Funds c</a> <a title="va529_invest_program_description page 8" href="http://viewer.zmags.com/publication/8c27c279?page=8"> Investment Portfolios • 8 Age-Based investment</a> <a title="va529_invest_program_description page 9" href="http://viewer.zmags.com/publication/8c27c279?page=9"> • Virginia taxpayers filing an individual income </a> <a title="va529_invest_program_description page 10" href="http://viewer.zmags.com/publication/8c27c279?page=10"> This Page Intentionally Left Blank </a> <a title="va529_invest_program_description page 11" href="http://viewer.zmags.com/publication/8c27c279?page=11"> Table of Contents Contents Summary of Plan Feat</a> <a title="va529_invest_program_description page 12" href="http://viewer.zmags.com/publication/8c27c279?page=12"> Virginia529 inVEST PRO</a> <a title="va529_invest_program_description page 13" href="http://viewer.zmags.com/publication/8c27c279?page=13"> Union First Market Bank.® prePAID, CollegeAmerica</a> <a title="va529_invest_program_description page 14" href="http://viewer.zmags.com/publication/8c27c279?page=14"> U.S. resident. A Beneficiary must have been born </a> <a title="va529_invest_program_description page 15" href="http://viewer.zmags.com/publication/8c27c279?page=15"> “Inflation-Indexed Securities” means bonds issued</a> <a title="va529_invest_program_description page 16" href="http://viewer.zmags.com/publication/8c27c279?page=16"> the Contribution is actually invested on behalf o</a> <a title="va529_invest_program_description page 17" href="http://viewer.zmags.com/publication/8c27c279?page=17"> “Rollover” is a tax-free reinvestment of a Distri</a> <a title="va529_invest_program_description page 18" href="http://viewer.zmags.com/publication/8c27c279?page=18"> the requirements of IRC Section 529 and any marke</a> <a title="va529_invest_program_description page 19" href="http://viewer.zmags.com/publication/8c27c279?page=19"> Virginia529 must be notified when the custodiansh</a> <a title="va529_invest_program_description page 20" href="http://viewer.zmags.com/publication/8c27c279?page=20"> Coverdell Education Savings Accounts. Virginia529</a> <a title="va529_invest_program_description page 21" href="http://viewer.zmags.com/publication/8c27c279?page=21"> Changes to an Account Virginia529 may accept and </a> <a title="va529_invest_program_description page 22" href="http://viewer.zmags.com/publication/8c27c279?page=22"> Beneficiary on different dates will result in suc</a> <a title="va529_invest_program_description page 23" href="http://viewer.zmags.com/publication/8c27c279?page=23"> The amount available for Distribution from an Acc</a> <a title="va529_invest_program_description page 24" href="http://viewer.zmags.com/publication/8c27c279?page=24"> and any earnings are not includible in federal ad</a> <a title="va529_invest_program_description page 25" href="http://viewer.zmags.com/publication/8c27c279?page=25"> Risk Considerations of Program Participation inVE</a> <a title="va529_invest_program_description page 26" href="http://viewer.zmags.com/publication/8c27c279?page=26"> The impact to financial aid programs offered by i</a> <a title="va529_invest_program_description page 27" href="http://viewer.zmags.com/publication/8c27c279?page=27"> designated Beneficiary is the bankruptcy debtor’s</a> <a title="va529_invest_program_description page 28" href="http://viewer.zmags.com/publication/8c27c279?page=28"> Federal Tax Treatment in General. IRC Section 529</a> <a title="va529_invest_program_description page 29" href="http://viewer.zmags.com/publication/8c27c279?page=29"> individual to a single Beneficiary in 2014 is gre</a> <a title="va529_invest_program_description page 30" href="http://viewer.zmags.com/publication/8c27c279?page=30"> academy), or Rollover to another Virginia529 acco</a> <a title="va529_invest_program_description page 31" href="http://viewer.zmags.com/publication/8c27c279?page=31"> earnings will be calculated for purposes of your </a> <a title="va529_invest_program_description page 32" href="http://viewer.zmags.com/publication/8c27c279?page=32"> or the IRS at 1-800-829-1040. IRS Publication 970</a> <a title="va529_invest_program_description page 33" href="http://viewer.zmags.com/publication/8c27c279?page=33"> Portfolios designed for older Beneficiaries are m</a> <a title="va529_invest_program_description page 34" href="http://viewer.zmags.com/publication/8c27c279?page=34"> The transition phase is part of the evolution of </a> <a title="va529_invest_program_description page 35" href="http://viewer.zmags.com/publication/8c27c279?page=35"> Chart II The chart below demonstrates the glidep</a> <a title="va529_invest_program_description page 36" href="http://viewer.zmags.com/publication/8c27c279?page=36"> The following chart summarizes the target Asset A</a> <a title="va529_invest_program_description page 37" href="http://viewer.zmags.com/publication/8c27c279?page=37"> The assets of inVEST’s Age-Based Evolving Portfol</a> <a title="va529_invest_program_description page 38" href="http://viewer.zmags.com/publication/8c27c279?page=38"> Small-Cap Domestic Equity Vanguard® Small-Cap In</a> <a title="va529_invest_program_description page 39" href="http://viewer.zmags.com/publication/8c27c279?page=39"> in securities of larger companies. The securities</a> <a title="va529_invest_program_description page 40" href="http://viewer.zmags.com/publication/8c27c279?page=40"> International Equity The American Funds’ EuroPac</a> <a title="va529_invest_program_description page 41" href="http://viewer.zmags.com/publication/8c27c279?page=41"> at least 80% of the value of its net assets, plus</a> <a title="va529_invest_program_description page 42" href="http://viewer.zmags.com/publication/8c27c279?page=42"> and minimize credit losses, within an environment</a> <a title="va529_invest_program_description page 43" href="http://viewer.zmags.com/publication/8c27c279?page=43"> Emerging Markets Fixed Income Securities also inc</a> <a title="va529_invest_program_description page 44" href="http://viewer.zmags.com/publication/8c27c279?page=44"> for participant transactions and, in most market </a> <a title="va529_invest_program_description page 45" href="http://viewer.zmags.com/publication/8c27c279?page=45"> Age-Based Evolving Portfolios NOTE: The followin</a> <a title="va529_invest_program_description page 46" href="http://viewer.zmags.com/publication/8c27c279?page=46"> Non-Evolving Portfolios inVEST offers Non-Evolvin</a> <a title="va529_invest_program_description page 47" href="http://viewer.zmags.com/publication/8c27c279?page=47"> Each of the following Fund descriptions is provid</a> <a title="va529_invest_program_description page 48" href="http://viewer.zmags.com/publication/8c27c279?page=48"> stocks and 40% to bonds. The percentages of the M</a> <a title="va529_invest_program_description page 49" href="http://viewer.zmags.com/publication/8c27c279?page=49"> The Total Stock Market Index Portfolio Investmen</a> <a title="va529_invest_program_description page 50" href="http://viewer.zmags.com/publication/8c27c279?page=50"> Investment Risks Because the Total International </a> <a title="va529_invest_program_description page 51" href="http://viewer.zmags.com/publication/8c27c279?page=51"> The Socially Targeted Investment Portfolio Inves</a> <a title="va529_invest_program_description page 52" href="http://viewer.zmags.com/publication/8c27c279?page=52"> Non-Evolving Portfolios Note: The following char</a> <a title="va529_invest_program_description page 53" href="http://viewer.zmags.com/publication/8c27c279?page=53"> Fees and Expenses inVEST’s general operating expe</a> <a title="va529_invest_program_description page 54" href="http://viewer.zmags.com/publication/8c27c279?page=54"> Other Charges Virginia529 will assess a $25 appl</a> <a title="va529_invest_program_description page 55" href="http://viewer.zmags.com/publication/8c27c279?page=55"> Chart IX Investment Cost Example </a> <a title="va529_invest_program_description page 56" href="http://viewer.zmags.com/publication/8c27c279?page=56"> Investment Performance Investment performance of </a> <a title="va529_invest_program_description page 57" href="http://viewer.zmags.com/publication/8c27c279?page=57"> Non-Evolving Portfolios Investment Performance </a> <a title="va529_invest_program_description page 58" href="http://viewer.zmags.com/publication/8c27c279?page=58"> Virginia529 Administration and Management The Vir</a> <a title="va529_invest_program_description page 59" href="http://viewer.zmags.com/publication/8c27c279?page=59"> IRS Circular 230 Disclosure: The information conc</a> <a title="va529_invest_program_description page 60" href="http://viewer.zmags.com/publication/8c27c279?page=60"> holder only portions of the web site. We may also</a> <a title="va529_invest_program_description page 61" href="http://viewer.zmags.com/publication/8c27c279?page=61"> Account Agreement As of January 1, 2014 1. The </a> <a title="va529_invest_program_description page 62" href="http://viewer.zmags.com/publication/8c27c279?page=62"> Account. Nothing in this Agreement shall be deeme</a> <a title="va529_invest_program_description page 63" href="http://viewer.zmags.com/publication/8c27c279?page=63"> Virginia College Savings Plan 9001 Arboretum </a> <a title="va529_invest_program_description page 64" href="http://viewer.zmags.com/publication/8c27c279?page=64"> Virginia529 inVEST SM (formerly the Virginia Edu</a> <a title="va529_invest_program_description page 65" href="http://viewer.zmags.com/publication/8c27c279?page=65"> Customers should obtain all enrollment materials,</a> <a title="va529_invest_program_description page 66" href="http://viewer.zmags.com/publication/8c27c279?page=66"> Table of Contents PROGRAM DESCRIPTION.........</a> <a title="va529_invest_program_description page 67" href="http://viewer.zmags.com/publication/8c27c279?page=67"> Virginia529 inVESTSM PROGRAM DESCRIPTION As of J</a> <a title="va529_invest_program_description page 68" href="http://viewer.zmags.com/publication/8c27c279?page=68"> Virginia529 inVEST — Program Description the Ame</a> <a title="va529_invest_program_description page 69" href="http://viewer.zmags.com/publication/8c27c279?page=69"> Virginia529 inVEST — Program Description “Design</a> <a title="va529_invest_program_description page 70" href="http://viewer.zmags.com/publication/8c27c279?page=70"> Virginia529 inVEST — Program Description “Member</a> <a title="va529_invest_program_description page 71" href="http://viewer.zmags.com/publication/8c27c279?page=71"> Virginia529 inVEST — Program Description “Qualif</a> <a title="va529_invest_program_description page 72" href="http://viewer.zmags.com/publication/8c27c279?page=72"> Virginia529 inVEST — Program Description intervi</a> <a title="va529_invest_program_description page 73" href="http://viewer.zmags.com/publication/8c27c279?page=73"> Virginia529 inVEST — Program Description Committ</a> <a title="va529_invest_program_description page 74" href="http://viewer.zmags.com/publication/8c27c279?page=74"> Virginia529 inVEST — Program Description Owners </a> <a title="va529_invest_program_description page 75" href="http://viewer.zmags.com/publication/8c27c279?page=75"> Virginia529 inVEST — Program Description Benefic</a> <a title="va529_invest_program_description page 76" href="http://viewer.zmags.com/publication/8c27c279?page=76"> Virginia529 inVEST — Program Description Account</a> <a title="va529_invest_program_description page 77" href="http://viewer.zmags.com/publication/8c27c279?page=77"> Virginia529 inVEST — Program Description Non-qua</a> <a title="va529_invest_program_description page 78" href="http://viewer.zmags.com/publication/8c27c279?page=78"> Virginia529 inVEST — Program Description investm</a> <a title="va529_invest_program_description page 79" href="http://viewer.zmags.com/publication/8c27c279?page=79"> Virginia529 inVEST — Program Description Please </a> <a title="va529_invest_program_description page 80" href="http://viewer.zmags.com/publication/8c27c279?page=80"> Virginia529 inVEST — Program Description Not Ava</a> <a title="va529_invest_program_description page 81" href="http://viewer.zmags.com/publication/8c27c279?page=81"> Virginia529 inVEST — Program Description Age-Ba</a> <a title="va529_invest_program_description page 82" href="http://viewer.zmags.com/publication/8c27c279?page=82"> Virginia529 inVEST — Program Description Chart </a> <a title="va529_invest_program_description page 83" href="http://viewer.zmags.com/publication/8c27c279?page=83"> Virginia529 inVEST — Program Description The fol</a> <a title="va529_invest_program_description page 84" href="http://viewer.zmags.com/publication/8c27c279?page=84"> Virginia529 inVEST — Program Description The ass</a> <a title="va529_invest_program_description page 85" href="http://viewer.zmags.com/publication/8c27c279?page=85"> Virginia529 inVEST — Program Description Each of</a> <a title="va529_invest_program_description page 86" href="http://viewer.zmags.com/publication/8c27c279?page=86"> Virginia529 inVEST — Program Description ensure </a> <a title="va529_invest_program_description page 87" href="http://viewer.zmags.com/publication/8c27c279?page=87"> Virginia529 inVEST — Program Description believe</a> <a title="va529_invest_program_description page 88" href="http://viewer.zmags.com/publication/8c27c279?page=88"> Virginia529 inVEST — Program Description of indu</a> <a title="va529_invest_program_description page 89" href="http://viewer.zmags.com/publication/8c27c279?page=89"> Virginia529 inVEST — Program Description limited</a> <a title="va529_invest_program_description page 90" href="http://viewer.zmags.com/publication/8c27c279?page=90"> Virginia529 inVEST — Program Description rated I</a> <a title="va529_invest_program_description page 91" href="http://viewer.zmags.com/publication/8c27c279?page=91"> Virginia529 inVEST — Program Description Age-Ba</a> <a title="va529_invest_program_description page 92" href="http://viewer.zmags.com/publication/8c27c279?page=92"> Virginia529 inVEST — Program Description Non-Ev</a> <a title="va529_invest_program_description page 93" href="http://viewer.zmags.com/publication/8c27c279?page=93"> Virginia529 inVEST — Program Description Each of</a> <a title="va529_invest_program_description page 94" href="http://viewer.zmags.com/publication/8c27c279?page=94"> Virginia529 inVEST — Program Description the inv</a> <a title="va529_invest_program_description page 95" href="http://viewer.zmags.com/publication/8c27c279?page=95"> Virginia529 inVEST — Program Description Capital</a> <a title="va529_invest_program_description page 96" href="http://viewer.zmags.com/publication/8c27c279?page=96"> Virginia529 inVEST — Program Description may inv</a> <a title="va529_invest_program_description page 97" href="http://viewer.zmags.com/publication/8c27c279?page=97"> Virginia529 inVEST — Program Description risk. T</a> <a title="va529_invest_program_description page 98" href="http://viewer.zmags.com/publication/8c27c279?page=98"> Virginia529 inVEST — Program Description Non-Evo</a> <a title="va529_invest_program_description page 99" href="http://viewer.zmags.com/publication/8c27c279?page=99"> Virginia529 inVEST — Program Description Fees a</a> <a title="va529_invest_program_description page 100" href="http://viewer.zmags.com/publication/8c27c279?page=100"> Virginia529 inVEST — Program Description Other </a> <a title="va529_invest_program_description page 101" href="http://viewer.zmags.com/publication/8c27c279?page=101"> Virginia529 inVEST — Program Description Investm</a> <a title="va529_invest_program_description page 102" href="http://viewer.zmags.com/publication/8c27c279?page=102"> Virginia529 inVEST — Program Description Invest</a> <a title="va529_invest_program_description page 103" href="http://viewer.zmags.com/publication/8c27c279?page=103"> Virginia529 inVEST — Program Description Non-Evo</a> <a title="va529_invest_program_description page 104" href="http://viewer.zmags.com/publication/8c27c279?page=104"> Virginia529 inVEST — Program Description Securi</a> <a title="va529_invest_program_description page 105" href="http://viewer.zmags.com/publication/8c27c279?page=105"> Virginia529 inVEST — Program Description Federal</a> <a title="va529_invest_program_description page 106" href="http://viewer.zmags.com/publication/8c27c279?page=106"> Virginia529 inVEST — Program Description Contrib</a> <a title="va529_invest_program_description page 107" href="http://viewer.zmags.com/publication/8c27c279?page=107"> Virginia529 inVEST — Program Description The Ame</a> <a title="va529_invest_program_description page 108" href="http://viewer.zmags.com/publication/8c27c279?page=108"> VA529 Privacy Policy As of January 1, 2013 Prote</a> <a title="va529_invest_program_description page 109" href="http://viewer.zmags.com/publication/8c27c279?page=109"> Account Agreement As of January 1, 2013 1. The A</a> <a title="va529_invest_program_description page 110" href="http://viewer.zmags.com/publication/8c27c279?page=110"> Virginia College Savings Plan 9001 Arboretum </a>