Investment options of TAXBIT 401(K) PLAN
Total Available Funds: 18
| Investment Option List |
|---|
| Fidelity Intl Sustainability Idx (FNIDX) |
| Fidelity Mid Cap (FIIMX) |
| Fidelity Small Cap Index Instl Prem (MASWX) |
| Schwab S&P 500 Index (ISLCX) |
| Vanguard Inflation-Protected Secs Adm (VIPSX) |
| Vanguard Target Retirement 2055 Inv (VTOVX) |
| Vanguard Target Retirement 2050 Inv (VTOVX) |
| Vanguard Target Retirement 2040 Inv (VTOVX) |
| Vanguard Target Retirement 2065 Inv (VSXFX) |
| Vanguard Target Retirement 2030 Inv (VTOVX) |
| Vanguard Target Retirement 2045 Inv (VTIVX) |
| Vanguard Target Retirement 2035 Inv (VTTHX) |
| Vanguard Target Retirement 2060 Inv (VTOVX) |
| Vanguard Target Retirement 2025 Inv (VTOVX) |
| Vanguard FTSE Social Index Fund Admiral (VFTAX) |
| iShares ESG Aware MSCI USA Small-Cap |
| Cryptocurrency |
| journal on date of loan, plus 1% -0- |
Investment model portfolios
We provide two types of investment model portfolios for TAXBIT 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 TAXBIT 401(K) PLAN