Investment options of MELROSE 401(K) SAVINGS PLAN
Total Available Funds: 24
| Investment Description |
|---|
| American Funds New Perspective Fund # |
| Class R6 # |
| Reserves Fund # |
| Research Company Appreciation K6 Fund # |
| JPMorgan JP Morgan Mid Cap Value Fund Inst # |
| MFS Growth Fund R6 # |
| T.Rowe Price T. Rowe Price Equity Income # |
| Fidelity Investments Fidelity 500 Index Fund # |
| Value Fund Class R6 # |
| ClearBridge Investments ClearBridge Small Cap Growth Fund Class I # |
| Fidelity Investments Fidelity US Bond Index Fund # |
| Fidelity Investments Fidelity Extended Market Index Fund # |
| Trust Company Fidelity Freedom Blend Income Class S # |
| FIAM Trust Company Fidelity Freedom Blend 2010 Class S # |
| FIAM Trust Company Fidelity Freedom Blend 2015 Class S # |
| FIAM Trust Company Fidelity Freedom Blend 2020 Class S # |
| FIAM Trust Company Fidelity Freedom Blend 2025 Class S # |
| FIAM Trust Company Fidelity Freedom Blend 2030 Class S # |
| FIAM Trust Company Fidelity Freedom Blend 2035 Class S # |
| FIAM Trust Company Fidelity Freedom Blend 2040 Class S # |
| FIAM Trust Company Fidelity Freedom Blend 2045 Class S # |
| FIAM Trust Company Fidelity Freedom Blend 2050 Class S # |
| FIAM Trust Company Fidelity Freedom Blend 2055 Class S # |
| FIAM Trust Company Fidelity Freedom Blend 2060 Class S # |
Investment model portfolios
We provide two types of investment model portfolios for MELROSE 401(K) 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.
Retirement Plan (401(k)) Info for MELROSE 401(K) SAVINGS PLAN