Borders Group, Inc. Savings Plan Investment Model Portfolios

Investment options of Borders Group, Inc. Savings Plan

Total Available Funds: 16

Asset Class

Ticker

Description

US EQUITY
LARGE BLEND	UMEQX	Blended Preservation Fund
LARGE BLEND	PNIEX	Merrill Lynch Institutional Index Tr
Mid-Cap Growth	PEGZX	Jennison Mid Cap Growth class Z
SMALL BLEND	VSSCX	JPMorgan Small Cap
SMALL VALUE	VSMIX	Van Kampen Small Cap Value I
MID-CAP VALUE	GCMAX	Goldman Sachs Mid Cap Value I
LARGE VALUE	ACGMX	Van Kampen Growth Income I
LARGE GROWTH	TWGIX	American Growth Fund of Amer R
LARGE BLEND	DNVYX	Davis NY Venture class Y
MID-CAP BLEND	MLPXX	FFI Premier Institutional Fund

Others
unknown	unknown	Merrill Lynch Extended Mkt
unknown	unknown	NTGI QM CT Aggregate Bond Index FUND
ROOT	unknow	Merrill Lynch Equity Index Tr XIII

INTERNATIONAL EQUITY
Foreign Large Blend	HAINX	Harbor International Fund
WORLD STOCK	GGAIX	AIM International Growth Institutional

FIXED INCOME
Intermediate-Term Bond	PTTRX	Pacific Investment Management Company Total Return Portfolio Institutional

Investment model portfolios

We provide two types of investment model portfolios for Borders Group, Inc. Savings Plan 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.

Customize a model portfolio now

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