ALCONA CITIZENS FOR HEALTH INC. 403(B) PLAN Investment Model Portfolios

Alcona Citizens for Health, Inc. 403(B) Plan is a defined contribution plan.

Investment options of ALCONA CITIZENS FOR HEALTH INC. 403(B) PLAN

Total Available Funds: 16

Asset Class

Ticker

Description

US EQUITY
LARGE GROWTH	RGABX	American Funds Growth Fund of America Class R2
LARGE BLEND	RFNFX	American Funds Fundemental Investors Class R2

INTERNATIONAL EQUITY
WORLD STOCK	RWIBX	American Funds Capital World Growth & Income Class R2
WORLD STOCK	RNPBX	American Funds New Perspective Class R2
Foreign Large Blend	RERBX	American Funds Europacific Growth Class R2
WORLD STOCK	RSLBX	American Funds Smallcap World Class R2

Others
World Allocation	RIRBX	American Funds Capital Income Builder Class R2
Moderate Allocation	RLBBX	American Funds American Balanced Class R2
Target Date 2011-2015	RBJTX	American Funds Target Date Retirement 2015 Class R2
Target Date 2026-2030	RBETX	American Funds Target Date Retirement 2030 Class R2
Target Date 2000-2010	RBCTX	American Funds Target Date Retirement 2020 Class R2
Target Date 2000-2010	RBFTX	American Funds Target Date Retirement 2035 Class R2
Target Date 2000-2010	RBDTX	American Funds Target Date Retirement 2025 Class R2
Target Date 2000-2010	RBKTX	American Funds Target Date Retirement 2040 Class R2
ROOT	CASH	American Funds Money Market Fund Class R2

FIXED INCOME
Intermediate-Term Bond	RBFBX	American Funds Bond Fund of America Class R2

Investment model portfolios

We provide two types of investment model portfolios for ALCONA CITIZENS FOR HEALTH INC. 403(B) 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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