Investment options of FPS 401(K) PLAN
Total Available Funds: 37
| Investment Description |
|---|
| PRINCIPAL GLOBAL INVESTORS TRUST CO PRINCIPAL LIFE SM TARGET (TGT) 2010 |
| PRINCIPAL GLOBAL INVESTORS TRUST CO PRINCIPAL LIFE (SM) TGT 2015 |
| PRINCIPAL GLOBAL INVESTORS TRUST CO PRINCIPAL LIFE (SM) TGT 2020 |
| PRINCIPAL GLOBAL INVESTORS TRUST CO PRINCIPAL LIFE (SM) TGT 2025 |
| PRINCIPAL GLOBAL INVESTORS TRUST CO PRINCIPAL LIFE (SM) TGT 2030 |
| PRINCIPAL GLOBAL INVESTORS TRUST CO PRINCIPAL LIFE (SM) TGT 2035 |
| PRINCIPAL GLOBAL INVESTORS TRUST CO PRINCIPAL LIFE (SM) TGT 2040 |
| PRINCIPAL GLOBAL INVESTORS TRUST CO PRINCIPAL LIFE (SM) TGT 2045 |
| PRINCIPAL GLOBAL INVESTORS TRUST CO PRINCIPAL LIFE (SM) TGT 2050 |
| PRINCIPAL GLOBAL INVESTORS TRUST CO PRINCIPAL LIFE (SM) TGT 2055 |
| PRINCIPAL LIFETIME HYBRID 2065 CIT |
| THE PRINCIPAL PRINCIPAL LIFE HYBRID INC CIT Z |
| THE PRINCIPAL LGCAP S& 500 INDEX SEP ACCT+ |
| THE PRINCIPAL SMALLCAP VALUE II SEP ACCT+ |
| THE PRINCIPAL PRINCIPAL MIDCAP S& 400 INDEX SEP ACCT+ |
| THE PRINCIPAL PRINCIPAL SMALLCAP S& 600 INDEX SA+ |
| THE PRINCIPAL PRINCIPAL SMALLCAP GROWTH I SEP ACCT |
| THE PRINCIPAL PRINCIPAL INTERNATIONAL EQUITY INDEX SA+ |
| THE PRINCIPAL GOVERNMENT & HQ BOND SEP ACCT |
| THE PRINCIPAL BOND MARKET INDEX SEP ACCOUNT+ |
| THE PRINCIPAL U. S. PROPERTY SEP ACCT |
| PIMCO FUNDS PIMCO REAL RETURN INSTL FUND |
| PIMCO FUNDS PIMCO INCOME INSTITUTIONAL FUND |
| THE PRINCIPAL FIXED INCOME GUARANTEED OPTION (GIC) |
| MFS INVESTMENT MANAGEMENT MFS MID-AMP; GROWTH R6 FUND |
| MFS INVESTMENT MANAGEMENT MFS INTERNATIONAL GROWTH FUND |
| LORD ABBETT LORD ABBETT HIGH YIELD R6 FUND |
| VANGUARD GROUP VANGUARD EXPLORER ADMIRAL FUND |
| VANGUARD GROUP VANGUARD VALUE INDEX ADMIRAL FUND |
| VICTORY FUNDS VICTORY TRIV INTERNATIONAL SMALL CAP |
| AMERICAN CENTURY INVESTMENTS MID-AMP; VALUE R6 |
| AMERICAN FUNDS AMERICAN BALANCED FUND |
| AMERICAN FUNDS NEW PERSPECTIVE R6 FUND |
| AMERICAN FUNDS NEWWORLD FUND R6 |
| JP MORGAN FUNDS JP MORGAN EQUITY INCOME R6 |
| T. ROWE PRICE FUNDS T. ROWE PRICE BLUE CHIP GROWTH |
| WESTERN ASSET MANAGEMENT CO WESTERN ASSET CORE BOND FUND |
Investment model portfolios
We provide two types of investment model portfolios for FPS 401(K) 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 FPS 401(K) PLAN