Investment options of ALLETE AND AFFILIATED COMPANIES RETIREMENT SAVINGS AND STOCK OWNERSHIP PLAN
Total Available Funds: 26
| Investment Description |
|---|
| ALLETE RSOP STOCK FUND |
| ALLETE STOCK FUND |
| LIFEPATH INDEX RETIREMENT-L COLLECTIVE FUND |
| LIFEPATH INDEX 2025- L COLLECTIVE FUND |
| LIFEPATH INDEX 2030- L COLLECTIVE FUND |
| LIFEPATH INDEX 2035- L COLLECTIVE FUND |
| LIFEPATH INDEX 2040- L COLLECTIVE FUND |
| LIFEPATH INDEX 2045- L COLLECTIVE FUND |
| LIFEPATH INDEX 2050- L COLLECTIVE FUND |
| LIFEPATH INDEX 2055- L COLLECTIVE FUND |
| LIFEPATH INDEX 2060- L COLLECTIVE FUND |
| LIFEPATH INDEX 2065- L COLLECTIVE FUND |
| GALLIARD STABLE RETURN FUND Q COLLECTIVE FUND |
| AMERICAN CENTURY SMALL CAP VALUE R6 MUTUAL FUND |
| DODGE & COX STOCK FUND CLASS X MUTUAL FUND |
| FIDELITY CONTRAFUND MUTUAL FUND |
| INVESCO DEVELOPING MARKETS Y MUTUAL FUND |
| JHANCOCK BOND R6 MUTUAL FUND |
| MFS INTL DIVERSIFICATION R6 MUTUAL FUND |
| VANGUARD INFLATION-PROTECTED SECS INV MUTUAL FUND |
| VANGUARD INSTITUTIONAL INDEX FUND MUTUAL FUND |
| VANGUARD MID CAP INDEX I MUTUAL FUND |
| VANGUARD SMALL CAP INDEX I MUTUAL FUND |
| VANGUARD TOTAL BOND MARKET INDEX INST MUTUAL FUND |
| VANGUARD TOTAL INTL STOCK INDEX ADMIRAL MUTUAL FUND |
| GENEVA SMALL CAP GROWTH SA MANAGED BROKERAGE FUND |
Investment model portfolios
We provide two types of investment model portfolios for ALLETE AND AFFILIATED COMPANIES RETIREMENT SAVINGS AND STOCK OWNERSHIP 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.
Retirement Plan (401(k)) Info for ALLETE AND AFFILIATED COMPANIES RETIREMENT SAVINGS AND STOCK OWNERSHIP PLAN