Investment options of SAVINGS AND PROFIT SHARING PLAN AND TRUST AGREEMENT OF ALFA MUTUAL INSURANCE COMPANY
Total Available Funds: 23
| Investment Description |
|---|
| ACADIAN COLLECTIVE INTL EQUITY |
| SEI TRUST COMPANY PIMCO STABLE INCOME FD CL 1 |
| SCHWAB FUNDS SELF-DIRECTED BROKERAGE ACCT |
| SEI SEI CORE FIXED |
| SEI SEI EMG MARKETS DEBT |
| SEI SEI EMG MARKETS EQTY A |
| SEI SEI HIGH YIELD BOND A |
| SEI SEI LARGE CAP II A |
| SEI RETIREMENT |
| SEI SMALL |
| SEI TRUST COMPANY SEI |
| SEI TARGET DATE 2035 FD -CT-1 |
| SEI TARGET DATE 2040 FUND CT-1 |
| SEI TARGET DATE 2045 FD -CT-1 |
| SEI TARGET DATE 2050 FUND CT-1 |
| SEI TARGET DATE 2055 FUND CT-1 |
| SEI TARGET DATE 2060 FUND CT-1 |
| SEI U. S. EQ FACTOR A |
| SEI US MANAGED VOL A |
| SEI WORLD EQTY |
| SSGA AL C |
| SSGA |
| STATE STREET BANK AND TRUST COMPANY |
Investment model portfolios
We provide two types of investment model portfolios for SAVINGS AND PROFIT SHARING PLAN AND TRUST AGREEMENT OF ALFA MUTUAL INSURANCE COMPANY 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 SAVINGS AND PROFIT SHARING PLAN AND TRUST AGREEMENT OF ALFA MUTUAL INSURANCE COMPANY