Investment options of STEP UP FOR STUDENTS 401(K) PLAN
Total Available Funds: 26
| Investment Description |
|---|
| VANGUARD DEVELOPED MARKETS INDEX ADMIRAL |
| AB LARGE CAP GROWTH Z |
| JANUS HENDERSON ENTERPRISE A |
| MFS INTERNATIONAL DIVERSIFICATION A |
| EMERALD GROWTH A |
| JPMORGAN EQUITY INCOME R6 |
| AMERICAN CENTURY MID CAP VALUE R6 |
| MFS NEW DISCOVERY VALUE R6 |
| FLEXPATH INDEX CONSERVATIVE 2055 R1 |
| FLEXPATH INDEX CONSERVATIVE 2035 R1 |
| BLACKROCK EQUITY INDEX FUND R |
| FLEXPATH INDEX CONSERVATIVE 2045 R1 |
| FLEXPATH INDEX CONSERVATIVE RETIRE R1 |
| BLACKROCK U.S. DEBT INDEX FD R |
| FLEXPATH INDEX AGGRESSIVE 2045 R1 |
| BLACKROCK MID CAP EQUITY INDEX FUND R |
| FLEXPATH INDEX MODERATE 2035 R1 |
| BLACKROCK RUSSELL 2000 INDEX FUND R |
| FLEXPATH INDEX AGGRESSIVE 2055 R1 |
| FLEXPATH INDEX AGGRESSIVE 2035 R1 |
| FLEXPATH INDEX MODERATE 2045 R1 |
| FLEXPATH INDEX MODERATE 2055 R1 |
| FLEXPATH INDEX MODERATE RETIRE R1 |
| FLEXPATH INDEX AGGRESSIVE RETIRE R1 |
| KEY GUARANTEED PORTFOLIO FUND |
| Notes receivable from participants (5.250% – 10.500%) |
Investment model portfolios
We provide two types of investment model portfolios for STEP UP FOR STUDENTS 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 STEP UP FOR STUDENTS 401(K) PLAN