Investment options of Modern Technology Solutions 401 K Plan
Total Available Funds: 24
| Investment Description |
|---|
| THE AMERICAN FUNDS AMERICAN FUNDS EUROPACIFIC GRTH R6 FD |
| THE AMERICAN FUNDS AMERICAN FUNDS NEWPRSP R6 FND |
| THE AMERICAN FUNDS AMERICAN FUNDS NEWWORLD R6 |
| THE AMERICAN FUNDS AMERICAN FUNDS CAP WLD BND R6 FUND |
| THE AMERICAN FUNDS AMERICAN HIGH INCOME TRUST |
| COHEN & STEERS REALTY COHEN & STEERS REALTY SH FUND |
| DELAWARE INVESTMENTS DELAWARE SMCAP VALUE I FUND |
| FIDELITY ADV INTL SC OPP I FD |
| FIDELITY INTERNATIONAL IDX FD |
| FIDELITY MID CP INDEX FUND |
| FIDELITY SM CAP INDEX FUND |
| FIDELITY US BOND INDEX FUND |
| FIDELITY 500 INDEX FUND |
| PGIM TOTAL RET BOND Z FD |
| TEMPLETON FOREIGN ADV FUND |
| VANGUARD GROUP INTERNATIONAL VALUE INV FUND |
| VANGUARD GROUP EXPLORER ADMIRAL FUND |
| PRINCIPAL TRUST COMPANY PRINCIPAL CAPITAL APPR SA-Z |
| PRINCIPAL TRUST COMPANY PRINCIPAL EQUITY INCOME SA-Z |
| PRINCIPAL TRUST COMPANY PRINCIPAL HIGH INCOME SEP ACCT Z |
| PRINCIPAL TRUST COMPANY PRINCIPAL LARGECAP GROWTH I SA-Z |
| PRINCIPAL TRUST COMPANY PRINCIPAL MIDCAP VALUE I SA-Z |
| PRINCIPAL TRUST COMPANY PRINCIPAL SELF-DIRECTED BROKER ACCT |
| PRINCIPAL TRUST COMPANY PRINCIPAL LIFETIME HYBR INC CIT X |
Investment model portfolios
We provide two types of investment model portfolios for Modern Technology Solutions 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 Modern Technology Solutions 401 K Plan