Investment options of PROSPECT EDUCATION 401(K) PLAN
Total Available Funds: 23
| Investment Option List |
|---|
| Principal Lifetime HYBR 2015 CIT N/A (LTINX) |
| Principal Lifetime HYBR 2020 CIT N/A (PLWIX) |
| Principal Lifetime HYBR 2025 CIT N/A (LTEEX) |
| Principal Lifetime HYBR 2030 CIT N/A (PMTIX) |
| Principal Lifetime HYBR 2035 CIT N/A (LTIUX) |
| Principal Lifetime HYBR 2040 CIT N/A (PTDIX) |
| Principal Lifetime HYBR 2045 CIT N/A (LTRDX) |
| Principal Lifetime HYBR 2050 CIT N/A (PPLIX) |
| Principal Lifetime HYBR 2055 CIT N/A (LTFIX) |
| Principal Lifetime HYBR 2060 CIT N/A (PLTBX) |
| Principal Lifetime HYBR 2065 CIT N/A (PLTFX) |
| Principal Lifetime HYBR INC CIT N/A (PPLIX) |
| PIMCO International Bond Fund U.U. Dollar-Hedge N/A (PFONX) |
| Fidelity 500 Index Fund N/A (FUSEX) |
| Fidelity Mid Cap Value Index Fund N/A (FSMVX) |
| Fidelity Emerging Markets Index Fund N/A (FMKIX) |
| MFS Growth Fund N/A (MQGIX) |
| American Perspective Fund N/A (NPFBX) |
| PIMCO Commodity Real Return Strategy Fund N/A (HACMX) |
| American Balanced Fund N/A (AABNX) |
| ISHS Russ 2000 SC Index K Fund N/A |
| Blackrock High Yield Bond Portfolio N/A (BHYIX) |
| Principal Guaranteed Interest Account, at contract value N/A |
Investment model portfolios
We provide two types of investment model portfolios for PROSPECT EDUCATION 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 PROSPECT EDUCATION 401(K) PLAN