KJK712
Investment Model Portfolios
Investment options of KJK712
Total Available Funds: 12
| Asset Class |
Ticker
| Description |
| US EQUITY |
|
|
| SMALL VALUE |
VBR |
vbr |
| MID-CAP BLEND |
MDY |
mdy |
| LARGE BLEND |
SPY |
spy |
|
| FIXED INCOME |
|
|
| Short-Term Bond |
BSV |
bsv |
| Intermediate-Term Bond |
BND |
bnd |
| Inflation-Protected Bond |
TIP |
tip |
| WORLD BOND |
BWX |
bwx |
|
| Others |
|
|
| Natural Resources |
IGE |
ige |
|
| COMMODITIES |
|
|
| COMMODITIES BROAD BASKET |
DBC |
dbc |
|
| INTERNATIONAL EQUITY |
|
|
| Foreign Large Blend |
EFA |
efa |
|
| REAL ESTATE |
|
|
| REAL ESTATE |
VNQ |
vnq |
|
| Emerging Market |
|
|
| DIVERSIFIED EMERGING MKTS |
VWO |
vwo |
|
Investment model portfolios
We provide two types of investment model portfolios for KJK712 participants. You can customize and follow a model portfolio in your plan account.
Types of portfolio strategies
- Strategic asset allocation portfolio: It invests in a diversified portfolio of multiple assets, buy-and-hold without frequently changing the asset allocation weights.
- Suitable: For long-term (more than 15 years, preferably more than 20 years), want to be tax efficient and can withstand interim drawdown or loss as high as 50% or more.
- Pros:
- Less error-prone
- Infrequent rebalancing or transactions
- Tax efficient for taxable brokerage investments
- Cons:
- Interim loss or drawdown can be substantial
- Possible low returns for an extended period, such as 10 years or longer
- Tactical asset allocation portfolio: it invests in a diversified portfolio of multiple assets, dynamically adjust stock and bond allocations to minimize losses during market stress.
- Suitable: For long-term (more than 10 years or preferably longer) capital. Investors are willing to rebalance as frequent as monthly.
- Pros:
- Reduce large interim loss or drawdown
- Less sensitive to investment entry point
- Likely to improve returns
- Cons
- Demand more frequent rebalancing or transactions
- Less tax efficient — more suitable in a tax-deferred account such as 401(k) or IRA
- Can experience a period of lower returns compared to a broad-based strategic allocation or a buy-and-hold benchmark, especially in some bull markets
These portfolios are proactively monitored and rebalanced on a monthly basis when needed, ensuring it remains in line with its target allocation.
Let us know (Email us) if you need help to create a custom model portfolio for your plan.
