HLP B PLAN Investment Model Portfolios

Total Available Funds: 29

Investment Description
AMERICAN FUNDS AMER TARGET 2015 FUND R6
AMERICAN FUNDS AMER TARGET 2020 FUND R6
AMERICAN FUNDS AMER TARGET 2025 FUND R6
AMERICAN FUNDS AMER TARGET 2030 FUND R6
AMERICAN FUNDS AMER TARGET 2035 FUND R6
AMERICAN FUNDS AMER TARGET 2040 FUND R6
AMERICAN FUNDS AMER TARGET 2045 FUND R6
AMERICAN FUNDS AMER TARGET 2050 FUND R6
AMERICAN FUNDS AMER TARGET 2055 FUND R6
AMERICAN FUNDS AMER TARGET 2060 FUND R6
DELAWARE FUNDS DELAWARE EMERGING MRKTS R6
FIDELITY INVESTMENTS FIDELITY 500 INDEX FD
FIDELITY INVESTMENTS FIDELITY INTERNATIONAL IDX FD
FIDELITY INVESTMENTS FIDELITY US BOND INDEX FD
FIDELITY INVESTMENTS FIDELITY MID CAP INDEX FUND
FIDELITY INVESTMENTS FIDELITY SM CAP INDEX FUND
HARTFORD FUNDS HARTFORD DIVIDEND AND GROWTH FUND R6
JOHN HANCOCK JOHN HANCOCK BOND FUND R6
LORD ABBETT LORD ABBETT HIGH YIELD CL R6
MFS MFS INTL DIVERSIFICATION FUND R6
PIMCO PIMCO INCOME FUND INST
T. ROWE PRICE T. ROWE PRICE BLUE CHIP GRTH I
FEDERATED HERMES FEDERATED HERMES KF SMALL CAP R6
INVESCO INVESCO GLOBAL OPPORTUNITY FUND R6
COHEN & STEERS COHEN & STEERS REAL EST SEC Z
VICTORY VICTORY INTEGRITY MC VALUE R6
BLACKROCK BLACKROCK MC GTH EQTY PRT K
ALLSPRING ALLSPRING SPC SMALL CAP VALUE R6
WILMINGTON TRUST CTF COMMON/COLLECTIVE TRUST FUND

We provide two types of investment model portfolios for HLP 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.