TARGET DATE FUNDS: LOOK LONG AND HARD
|
|
- Linette Cross
- 6 years ago
- Views:
Transcription
1 MFS White Capability Paper Series Focus Month July Authors TARGET DATE FUNDS: LOOK LONG AND HARD Ryan Mullen MFS Senior Managing Director, Head of Defined Contribution Investments Peter A. Delaney, CFA MFS Director, Institutional DC Platforms IN BRIEF Risk management, a top level consideration in target date fund selection, should factor in a fund s role as a single investment solution over a long horizon, as well as the potential impact of market shocks on retirement savings. Target date fund glide paths must accommodate a wide range of investors, and should focus more on the appropriate allocation for the end-investor rather than a to or through approach. Asset allocation decisions should focus on appropriate risk profiles rather than return assumptions through the glide path. Derek W. Beane, CFA MFS Director, Investment Products Target date funds have an important job. For many defined contribution (DC) participants, they are either a significant part of or their entire investment strategy. They are the default option of choice for most DC plans. And, they have to help participants arrive at retirement, not simply with money to spend but in a position to live comfortably. With assets pouring into these funds hitting an all-time high of $69 billion net inflows in they re playing an ever-more-vital role in participant portfolios. How can DC sponsors choose them wisely? Examine certain features carefully when you kick the tires risk management, glide path design and asset allocation approach. Risk management don t go without What s the right amount of risk for target date fund investors, who probably can t assess it on their own? Given that target date funds are meant to serve as a single investment solution over a long horizon, investment managers have very different views on how to balance market and longevity risk along the glide path. That can create real differences in design. This paper was originally published in September 2016.
2 As retirement approaches, participant balances are typically at their highest level from cumulative contributions and, hopefully, market appreciation. Participants are less able to make up funding gaps through aggressive allocations and have less time to recover from a sharp downturn. Once they retire, their lack of income and regular withdrawals make them even more vulnerable to market downturns. That could keep them from retiring on time or living comfortably when they do. Yet the probability of experiencing a bear market is very real for these investors. On average the bear has growled roughly once every five. And when that happens, it hurts, as many plan participants learned during the global financial crisis of How bad could it get? Exhibit 1 shows how some notable bear markets have hampered participants ability to sustain their retirement withdrawals a clear case for placing greater emphasis on trying to preserve assets. Exhibit 1: Impact of market shocks on outliving retirement assets Bear market Oil crisis Jan Dec Tech bubble Sept Sept Financial crisis Nov Feb Length Cumulative returns Time until 5% chance of assets being depleted Stock (S) Bonds (B) 20%S + 80%B 80%S + 20%B -41.9% 4.3% -5.0% -32.7% -46.3% 29.6% 14.4% -31.1% -52.6% 16.0% 2.3% -38.8% 20%S + 80%B %S + 20%B Past performance is no guarantee of future results. Sources: Bloomberg, Datastream. It is not possible to invest directly in an index. Stocks represented by the S&P 500 Index-Price Return. Bonds represented by the 10-year US Treasury Note. Estimates based on Monte Carlo simulation using historical inputs. Assumption: 4% withdrawal growing at the rate of inflation That speaks to the importance of solid risk management and transparency, which is best provided through active management. Target date funds with actively managed underlying funds that generate returns primarily through security selection can limit the potential of any one factor driving investment performance. All target date funds demand active decision making. While some have passively managed underlying funds this does not make them passive target date funds. And those underlying funds take the same risk as the market by design, often concentrating on stocks that have appreciated the most in relative terms and can become disproportionately large and overvalued positions. After an extended bull market, investors often do not pay enough attention to the importance of strong risk management. That could significantly hurt their retirement savings when volatility resurfaces. Glide path design the journey and the destination Risk management is a key consideration in glide path design. In fact, no feature should line up more thoughtfully with a participant s time horizon and risk profile than a target date fund s glide path. The glide path a fund s plan for gradually shifting its asset allocation over time directly affects performance through changing markets. Critically, a glide path must balance participants need for growth with their ability to tolerate market volatility especially in their most vulnerable, just before and right after retirement. What drives the shape and steepness of that glide path that is, how quickly the fund downshifts to a more conservative allocation? While the industry standard has been to create glide paths based on assumptions about the demographics of a typical DC plan participant, that s like creating one average size shoe to fit an entire population. It s virtually impossible to define the savings habits, earnings profile and outside retirement assets of the typical DC plan participant. Glide paths must accommodate a wide range of investors. So, we think their design should involve tradeoffs between the competing objectives of growing assets early on and preserving them later in life with opportunities to outperform and a focus on controlling risk. The way an investment manager makes those trade-offs shouldn t be about to or through retirement, but rather, the right asset allocation decisions for the end-investor. A thoughtfully allocated retirement income portfolio should still have a moderate allocation to equities. What s important to keep in mind, however, is that most participants transition their assets out of their plan and move into a period of income withdrawals within a few of retirement. Thus a glide path that reaches its final resting spot past the target date implicitly creates a very aggressive portfolio for these investors. 2
3 Asset allocation let risk be the guide That s why it s so important for target date fund managers to focus more on appropriate risk profiles rather than return assumptions for participants throughout the glide path. Risk exposures should be consistent with time horizons and investor expectations. That could help keep participants invested over this long time horizon and better positioned to earn the returns they need to fund their retirement. We believe that s best accomplished through strategic asset allocation (setting target allocations and employing disciplined rebalancing), rather than tactical asset allocation (attempting to generate value by adjusting allocations within a range to take advantage of anticipated market conditions). While some target date fund managers believe they can generate additional returns through tactical asset allocation, the reality is that being more tactical will change a fund s risk profile. That could mean risks and returns that don t align with participant expectations. Why should risk drive the top-level asset allocation? Because it s more persistent than returns through different market environments. The magnitude and relative rank of asset class returns can be highly environment dependent, whereas the volatility of asset class returns (risk) has tended to be more stable through time. Looking at Exhibit 2, which shows the risk and return profiles of fixed income, US equities, non-us equities, REITs and commodities (with return on the left side and risk on the right side for each asset class), we see that asset class risk has greater relative stability compared to asset class returns. Keeping in mind the importance of risk as a topline consideration for target date fund management, certain aspects of the underlying fund choices could also drive better participant outcomes. In actively managed underlying funds, the choice to avoid the most volatile stocks and instead own higher-quality, less volatile stocks could help mitigate some of the risk. Exhibit 2: Range of 36-month rolling returns and volatility ( ) 60% 30% High Low Average 0% -30% Fixed income US equities Non-US equities REITS Commodities Source: MFS. Annualized from monthly data between January 1972 and December Allocations utilize bond (Barclays Long U.S. Government Bond Index), US stock (S&P 500 Index), international stock (MSCI EAFE Index (gross div.), REITs (FTSE NAREIT Index) and Commodities (Goldman Sachs Commodity Index) performance. Volatility measured by standard deviation. It is not possible to invest directly in an index. Past performance is no guarantee of future results. 3
4 From a fixed income perspective, because this allocation in a target date fund is first and foremost intended to provide ballast to the portfolio and help dampen volatility when equity and other riskier market segments sell off, it s important to have broad diversification, with exposure across geographic, duration and credit quality dimensions. Diversifying broadly can also help dampen the impact of rising interest rates on the portfolio. A fund with only a US aggregate type of fixed income allocation is largely tied to whatever happens in the US interest rate market. While simple non-diversified fixed income exposures have performed well during the declining interest rate environment, target date funds with limited diversification may not perform as well when US interest rates eventually rise. We believe that broader diversification is prudent and that target date funds should be able to capitalize on areas in which the investment manager can potentially generate alpha and manage interest rate sensitivity. That s particularly important as the fund moves down the glide path and the risk spectrum to a point where fixed income typically becomes a very meaningful component of the portfolio. The chart below uses the profile of our funds to illustrate our belief that a fund should manage interest rate sensitivity by reducing the duration (a measure of interest rate sensitivity) of the fixed income component of the portfolio by moving down the maturity spectrum in the final phase of the glide path. This way, as the fixed income weight increases, the duration of the overall fund does not become excessively large. Evaluating TDFs look long Every target date fund is different. But since they re meant to offer participants a simple investment solution, the best way to evaluate them is to give it time. While it s human nature to look in the rear view mirror to see which target date funds have done well, we suggest looking back further than three to five. Also consider looking at rolling returns, longer time periods of 10 or more where available and previous performance in different market environments; otherwise, you re only seeing a bull market rather than a full market cycle both a bull and a bear. That full view is important, because it shows you how an investment manager handles periods of market volatility a skill that could make or break a successful retirement outcome. Exhibit 3: Duration over life cycle Years Duration of Portfolio Fixed Income Exposure Total Fund Duration Lifetime Income Growth phase Transition phase Capital preservation phase Source: MFS. 4
5 Endnote Target-Date Fund Landscape: Morningstar s Best Practices in Target Date Evaluation Target date funds may not achieve there objective and/or investors could lose money on their investment. Investors may experience losses near, at, or after the target date. Their is no guarantee of a fund s principal value, including at the target date, or that the fund will provide adequate income at and through retirement. The views expressed are those of the author(s) and are subject to change at any time. These views are for informational purposes only and should not be relied upon as a recommendation to purchase any security or as a solicitation or investment advice from the Advisor. Unless otherwise indicated, logos and product and service names are trademarks of MFS and its affiliates and may be registered in certain countries. Issued in the United States by MFS Institutional Advisors, Inc. ( MFSI ) and MFS Investment Management. Issued in Canada by MFS Investment Management Canada Limited. No securities commission or similar regulatory authority in Canada has reviewed this communication. Issued in the United Kingdom by MFS International (U.K.) Limited ( MIL UK ), a private limited company registered in England and Wales with the company number , and authorized and regulated in the conduct of investment business by the U.K. Financial Conduct Authority. MIL UK, an indirect subsidiary of MFS, has its registered offi ce at One Carter Lane, London, EC4V 5ER UK and provides products and investment services to institutional investors globally. This material shall not be circulated or distributed to any person other than to professional investors (as permitted by local regulations) and should not be relied upon or distributed to persons where such reliance or distribution would be contrary to local regulation. Issued in Hong Kong by MFS International (Hong Kong) Limited ( MIL HK ), a private limited company licensed and regulated by the Hong Kong Securities and Futures Commission (the SFC ). MIL HK is a wholly-owned, indirect subsidiary of Massachusetts Financial Services Company, a U.S.-based investment advisor and fund sponsor registered with the U.S. Securities and Exchange Commission. MIL HK is approved to engage in dealing in securities and asset management-regulated activities and may provide certain investment services to professional investors as defi ned in the Securities and Futures Ordinance ( SFO ). Issued in Singapore by MFS International Singapore Pte. Ltd., a private limited company registered in Singapore with the company number M, and further licensed and regulated by the Monetary Authority of Singapore. Issued in Latin America by MFS International Ltd. For investors in Australia: MFSI and MIL UK are exempt from the requirement to hold an Australian fi nancial services licence under the Corporations Act 2001 in respect of the fi nancial services they provide to Australian wholesale investors. MFS International Australia Pty Ltd ( MFS Australia ) holds an Australian fi nancial services licence number In Australia and New Zealand: MFSI is regulated by the SEC under US laws and MIL UK is regulated by the UK Financial Conduct Authority under UK laws, which differ from Australian and New Zealand laws. MFS Australia is regulated by the Australian Securities and Investments Commission. MFSE-TRGDATE-WP-7/
MFS Defined Contribution Investment Trends Study TARGET DATE FUNDS GAIN TRACTION WITH PLAN SPONSORS, BUT ISSUES PERSIST
MFS Defined Contribution Investment Trends Study TARGET DATE FUNDS GAIN TRACTION WITH PLAN SPONSORS, BUT ISSUES PERSIST KEY FINDINGS A 2016 MFS survey of DC plan sponsors and advisors shows that performance
More informationLOW VOLATILITY: THE CASE FOR A STRATEGIC ALLOCATION IN A RISING RATE ENVIRONMENT
MFS White Capability Paper Series Focus Month February 212 217 Authors James C. Fallon Portfolio Manager Quantitative Solutions Christopher C. Callahan Regional Head North American Institutional R. Dino
More informationDEFAULT STRUCTURES IN DEFINED CONTRIBUTION PLANS
White Paper Series June 2017 Authors Kristen E. Colvin, CAIA Director, Investment Solutions Group Peter A. Delaney, CFA Director, Investment Solutions Group Shawn A. Cohen, CFA, LL.B Director, Relationship
More informationActively Aligned for Long-Term Value
Actively Aligned for Long-Term Value a Global opportunity through a long-term lens As a global investment manager, MFS strives to create long-term value and protect capital for clients through an active
More informationThe MFS Investment Process. Benefiting investors since 1924
The MFS Investment Process Benefiting investors since 1924 OUR GUIDING PRINCIPLES Actively aligned with investors needs Continuity Collective expertise Active risk management In sync on a long term philosophy,
More information4Q 31 DECEMBER 2018 MFS CANADIAN LONG TERM FIXED INCOME (CAD)
4Q 31 DECEMBER 2018 MFS CANADIAN LONG TERM FIXED INCOME (CAD) INVESTMENT OVERVIEW TEAM Name (Years of industry experience) Title Peter Kotsopoulos, CFA (30 yrs.) Portfolio Manager Soami Kohly, CFA, FSA,
More information4Q 31 DECEMBER 2018 MFS CAN ADIAN FIXED INCOME (CAD)
4Q 31 DECEMBER 2018 MFS CAN ADIAN FIXED INCOME (CAD) INVESTMENT OVERVIEW TEAM Name (Years of industry experience) Title Peter Kotsopoulos, CFA (30 yrs.) Portfolio Manager Soami Kohly, CFA, FSA, FCIA (25
More informationTHERE'S NO SUBSTITUTE FOR SKILL Sourcing active manager performance
ROBERT ALMEIDA Investment Officer MFS Investment Management THERE'S NO SUBSTITUTE FOR SKILL Sourcing active manager performance The views expressed in this presentation are those of the speaker and are
More information3Q 30 SEPTEMBER 2018 MFS CANADIAN MONEY MARKET (CAD)
3Q 30 SEPTEMBER 2018 MFS CANADIAN MONEY MARKET (CAD) INVESTMENT OVERVIEW TEAM Name (Years of industry experience) Title Cindy Neville, CFA (15 yrs.) Fixed Income Trader Jeremy Bau, CFA (10 yrs.) Fixed
More information3Q 30 SEPTEMBER 2018 MFS CANADIAN SHORT TERM FIXED INCOME (CAD)
3Q 30 SEPTEMBER MFS CANADIAN SHORT TERM FIXED INCOME (CAD) INVESTMENT OVERVIEW TEAM Name (Years of industry experience) Title Peter Kotsopoulos, CFA (29 yrs.) Portfolio Manager Soami Kohly, CFA, FSA, FCIA
More informationElusive in 2016, Alpha Could Return and Reward Patient Investors
Elusive in 2016, Alpha Could Return and Reward Patient Investors INVESTMENT IN BRIEF While equity markets performed well against an uncertain backdrop in 2016, active managers largely struggled. We observed
More information2Q 30 JUNE 2018 MFS INTERNATIONAL SMALL-MID CAP EQUITY (USD)*
2Q 30 JUNE 2018 MFS INTERNATIONAL SMALL-MID CAP EQUITY (USD)* INVESTMENT OVERVIEW TEAM Name (Years of industry experience) Title David Antonelli (30 yrs.) Portfolio Manager Peter Fruzzetti (24 yrs.) Portfolio
More information2Q 30 JUNE 2018 MFS EUROPEAN VALUE EQUITY (USD)
2Q 30 JUNE 2018 MFS EUROPEAN VALUE EQUITY (USD) INVESTMENT OVERVIEW TEAM Name (Years of industry experience) Title Benjamin Stone (22 yrs.) Portfolio Manager Pablo de la Mata (14 yrs.) Portfolio Manager
More information3Q 30 SEPTEMBER 2018 MFS EUROPEAN EQUITY EX U.K. (USD)
3Q 30 SEPTEMBER 2018 MFS EUROPEAN EQUITY EX U.K. (USD) INVESTMENT OVERVIEW TEAM Name (Years of industry experience) Title Matthew Barrett, ASIP (22 yrs.) Portfolio Manager Gabrielle Gourgey (23 yrs.) Institutional
More informationUS Retirement Outlook 2019
US Retirement Outlook 2019 As we turn the page on an eventful 2018, we now look ahead to some key trends and issues that retirement plan sponsors and participants may face in 2019 and provide thoughts
More informationLIVE TO FIGHT ANOTHER DAY
MFS White Capability Paper Series Focus Month August 212 217 Authors LIVE TO FIGHT ANOTHER DAY Capital Preservation Is Key in Fixed Income Today William J. Adams, CFA Chief Investment Officer Global Fixed
More information2Q 30 JUNE 2018 MFS GLOBAL EQUITY (AUD)
2Q 30 JUNE 2018 MFS GLOBAL EQUITY (AUD) INVESTMENT OVERVIEW TEAM Name (Years of industry experience) Title Roger Morley (21 yrs.) Portfolio Manager Ryan P. McAllister, CFA (15 yrs.) Portfolio Manager Ben
More information3Q 30 SEPTEMBER 2018 MFS U.K. EQUITY (USD)
3Q 30 SEPTEMBER MFS U.K. EQUITY (USD) INVESTMENT OVERVIEW TEAM Name (Years of industry experience) Title Christopher Jennings, CFA (20 yrs.) Portfolio Manager David Shindler (17 yrs.) Portfolio Manager
More informationVoya Target Retirement Fund Series
Voya Target Retirement Fund Series The Target Date Choice to Help Keep Retirement Goals on Track Holistic Retirement Solution Sophisticated Glide Path Design Open Architecture Approach Blend of Active
More informationWeathering Uncertain Markets
Weathering Uncertain Markets Key principles for lifetime investing Introduction Managing an investment portfolio for the long term is partly a test of willpower. Your emotions and instincts will be urging
More informationSchwab Diversified Growth Allocation Trust Fund
Fund Facts Trustee Fund Type Charles Schwab Bank Collective Trust Fund Category Global Asset Allocation Benchmark Global Growth Custom Index 1 Unit Class Inception Date 11/21/2012 Fund Inception Date 3/7/2012
More informationSchwab Indexed Retirement Trust Fund 2040
Fund Facts Trustee Fund Type Charles Schwab Bank Collective Trust Fund Category Target Date 2036-2040 Benchmark 2040 Custom Index 1 Unit Class Inception Date Fund Inception Date 1/5/2009 Net Asset Value
More informationSee Target Date Solutions FROM A WHOLE NEW PERSPECTIVE
See Target Date Solutions FROM A WHOLE NEW PERSPECTIVE Let s face it: These days, the retirement landscape is getting increasingly more complex. Participants are living longer. New fiduciary realities
More informationYOUR GUIDE TO GETTING STARTED
University of Colorado Hospital Authority 401(a) Investment Account, 403(b) Matching Account, and the 457(b) Deferred Compensation Plan Invest in your retirement and yourself today, with help from the
More informationRisk Management and Target-Date Funds
Risk Management and Target-Date Funds Speakers: John Galateria, Head of North America Institutional, J.P. Morgan Asset Management Dan Oldroyd, Portfolio Manager, J.P. Morgan Asset Management Participant-controlled
More informationVoya Index Solution Portfolios
Voya Index Solution Portfolios The Target-Date Choice to Help Keep Retirement Goals on Track Holistic Retirement Solution Sophisticated Glide Path Design Passively Managed Funds Not FDIC Insured May Lose
More informationGUARANTEES. Income Diversification. Creating a Plan to Support Your Lifestyle in Retirement
GUARANTEES GROWTH FLEXIBILITY Income Diversification Creating a Plan to Support Your Lifestyle in Retirement Contents Build a Retirement Plan that Can Last a Lifetime 2 Retirement Is Different Today 4
More informationSchwab Diversified Growth Allocation Trust Fund (Closed to new investors) Institutional Unit Class As of June 30, 2017
Fund Facts Trustee Fund Type Charles Schwab Bank Collective Trust Fund Morningstar Category Allocation - 50-70% Equity Benchmark Global Growth Custom Index 1 Unit Class Inception Date 3/7/2012 Fund Inception
More informationWhy and How to Pick Tactical for Your Portfolio
Why and How to Pick Tactical for Your Portfolio A TACTICAL PRIMER Markets and economies have exhibited characteristics over the past two decades dissimilar to the years which came before. We have experienced
More informationAiming at a Moving Target Managing inflation risk in target date funds
Aiming at a Moving Target Managing inflation risk in target date funds Executive Summary This research seeks to help plan sponsors expand their fiduciary understanding and knowledge in providing inflation
More informationLENGTHENING THE INVESTMENT TIME HORIZON
MFS White Capability Paper Series Focus Month July 2017* 2012 Authors LENGTHENING THE INVESTMENT TIME HORIZON Michael W. Roberge, CFA Co-CEO, President and Chief Investment Officer Joseph C. Flaherty,
More informationPersonal Finance REBALANCING CAN HELP MITIGATE MARKET RISK
PRICE PERSPECTIVE February 17 In-depth analysis and insights to inform your decision-making. Personal Finance REBALANCING CAN HELP MITIGATE MARKET RISK EXECUTIVE SUMMARY The global equity markets have
More informationInvestment Guide. Explore new possibilities for diversified investing. MEMBERS Life Insurance Company
M E M B E R S H O R I Z O N Guide Explore new possibilities for diversified investing MEMBERS Life Insurance MHA-1449442 NOT FDIC/NCUA/NCUSIF INSURED NOT BANK OR CREDIT UNION GUARANTEED MAY LOSE VALUE
More informationDESIGNED FOR TODAY S AND TOMORROW S INVESTMENT CHALLENGES
DESIGNED FOR TODAY S AND TOMORROW S INVESTMENT CHALLENGES PRUDENTIAL REAL ASSETS FUND EFFECTIVE JUNE 11, 2018, THE FUND S NEW NAME WILL BE PGIM REAL ASSETS FUND. FUND SYMBOLS WILL NOT CHANGE. Potential
More informationP-Solve Update By Marc Fandetti & Ryan McGlothlin
Target Date Funds: Three Things to Consider P-Solve Update By Marc Fandetti & Ryan McGlothlin February 2018 Target Date Funds (TDF) have become increasingly important to the retirement security of 401(k)
More informationPrincipal LifeTime portfolios. Investment options that strive to keep pace with life
LifeTime portfolios Investment options that strive to keep pace with life Most of us need a little help when it comes to saving for retirement. If you re like many, you may not have the time or interest
More informationBeyond the usual suspects: Diversified sources of income
J.P. Morgan Asset Management Research Summit 2011 Passport to opportunity Beyond the usual suspects: Diversified sources of income Mariana Connolly, CFA Client Portfolio Manager, U.S. Equity Group Anne
More informationKP Retirement Path 2050 Fund: KPRHX. KP Retirement Path 2055 Fund: KPRIX. KP Retirement Path 2060 Fund: KPRJX. KP Large Cap Equity Fund: KPLCX
The KP Funds KP Retirement Path 2015 Fund: KPRAX KP Retirement Path 2020 Fund: KPRBX KP Retirement Path 2025 Fund: KPRCX KP Retirement Path 2030 Fund: KPRDX KP Retirement Path 2035 Fund: KPREX KP Retirement
More informationSimple. Intelligent. Versatile.
SPONSORED BY M &T BANK Simple. Intelligent. Versatile. page 3 Portfolio Architect is a managed account program sponsored and managed by M&T Bank, with support from Wilmington Trust Investment Advisors,
More informationGOAL ENGINEER SERIES PORTFOLIO HIGHLIGHTS:
GOAL ENGINEER SERIES The Goal Engineer Series combines Northern Trust s asset allocation, portfolio construction and risk management expertise with Engineered Equity TM and active fixed income strategies
More informationTARGET DATE RETIREMENT INCOME FUNDS. A Clearer View of Your Path to Retirement
TARGET DATE RETIREMENT INCOME FUNDS A Clearer View of Your Path to Retirement 2 Planning for your retirement can seem overwhelming. How should you save and invest today, and how much income will your savings
More informationInsights from Morningstar Investment Services. Market Volatility: A Guide to Riding the Waves
Insights from Morningstar Investment Services Market Volatility: A Guide to Riding the Waves If you ve invested for almost any length of time, you ve experienced at least one of those don t-look-at-your
More information4Q17 Global & International Equity GLOBAL EQUITY. 10+ Years of Providing High Income Through Global Dividends
4Q17 Global & International Equity GLOBAL EQUITY INCOME FUND 10+ Years of Providing High Income Through Global Dividends A: HFQAX C: HFQCX I: HFQIX N: HFQRX S: HFQSX T: HFQTX Overall Morningstar Rating
More informationINSIGHT ON MULTI-ASSET
FOR WHOLESALE CLIENTS ONLY. NOT TO BE DISTRIBUTED TO RETAIL CLIENTS. NOT TO BE REPRODUCED WITHOUT PRIOR WRITTEN APPROVAL. PLEASE REFER TO ALL RISK DISCLOSURES AT THE BACK OF THIS DOCUMENT. INSIGHT ON MULTI-ASSET
More informationPortrait Portfolio Funds
Investment Solutions Standard Life Mutual Funds Portrait Portfolio Funds A solution in their image For advisor use only. This document is not intended for public distribution. Expertise of a truly global
More informationAn Introduction to Dynamic Overlay
Tactical investment strategy striving to preserve and grow client wealth An Introduction to Dynamic Overlay www.mrminv.com 12444 Powerscourt Drive Suite 350, St. Louis, MO 63131 1-(800) 233-1944 Q4 2018
More informationGlide Path Caution! A Steep Slope Could Curb Retirement Wealth
leadership series INVESTMENT INSIGHTS Glide Path Caution! A Steep Slope Could Curb Retirement Wealth February 2015 Introduction Glide path slope the rate of change in equity exposure over time is often
More informationUniversity of North Florida Foundation, Inc. Statement of Investment Objectives and Policies
University of North Florida Foundation, Inc. Statement of Investment Objectives and Policies This Investment Policy Statement has been established by the University of North Florida Foundation, Inc. (the
More informationManaged Futures & Rising Rates January 2017
Managed Futures & Rising January 2017 Aspen Partners, Ltd. / 9 East Franklin Street / Richmond, VA 23219 866.277.3619 / info@aspenpartners.com Key Points Advisors should be contemplating portfolio changes
More informationVoya Target Date: A Holistic Approach to Target Date Design
Voya Target Date: A Holistic Approach to Target Date Design May 2018 Paul Zemsky, CFA Chief Investment Officer, Multi-Asset Strategies and Solutions Halvard Kvaale, CIMA Head of Manager Research and Selection
More informationRBC retirement income planning process
Page 1 of 6 RBC retirement income planning process Create income for your retirement At RBC Wealth Management, we believe managing your wealth to produce an income during retirement is fundamentally different
More informationBusiness Disruption Opportunity or Risk?
Brad Rutan, CFA Director, Investment Product Specialist MFS Investment Management Business Disruption Opportunity or Risk? The views expressed in this presentation are those of MFS and are subject to change
More informationActive Fixed Income Management ADDING VALUE WITH ACTIVELY MANAGED BOND PORTFOLIOS
PRICE PERSPECTIVE September 017 In-depth analysis and insights to inform your decision-making. Active Fixed Income Management ADDING VALUE WITH LY MANAGED BOND PORTFOLIOS EXECUTIVE SUMMARY Although actively
More informationBROAD COMMODITY INDEX
BROAD COMMODITY INDEX COMMENTARY + STRATEGY FACTS JANUARY 2018 100.00% 80.00% 60.00% 40.00% 20.00% 0.00% -20.00% -40.00% -60.00% CUMULATIVE PERFORMANCE ( SINCE JANUARY 2007* ) -80.00% ABCERI S&P GSCI ER
More informationInvest Confidently for Your Future
Invest Confidently for Your Future OPENING Getting started Saving for retirement Buying a new home Helping pay for college Paying off debt OPENING Building and maintaining a portfolio STEP 1 STEP 2 STEP
More informationManaged Futures managers look for intermediate involving the trading of futures contracts,
Managed Futures A thoughtful approach to portfolio diversification Capability A properly diversified portfolio will include a variety of investments. This piece highlights one of those investment categories
More informationInvesting basics. Shelly Maas, Merrill Lynch Financial Wellness Specialist. June 15, 2018
Investing basics Shelly Maas, Merrill Lynch Financial Wellness Specialist June 15, 2018 Merrill Lynch makes available products and services offered by Merrill Lynch, Pierce, Fenner & Smith Incorporated
More informationVoya Target Date: A Holistic Approach to Target Date Design
Voya Target Date: A Holistic Approach to Target Date Design Paul Zemsky, CFA Chief Investment Officer, Multi-Asset Strategies and Solutions Jody Hrazanek Head of Strategy Design and Implementation Halvard
More informationParticipant Preferences in Target Date Funds: An Update
Participant Preferences in Target Date Funds: An Update Examining Perceptions and Expectations Among Target Date Investors and Non-Investors White Paper February 2014 A research study by Voya Investment
More informationMonitored Avenue Portfolio Program 1 Overview
Monitored Avenue Portfolio Program 1 Overview The Monitored Avenue Portfolio Program 1 (MAPP 1) is an investment solution consisting of both a pre-set fund selection, applied to our Avenue Portfolios (referred
More informationInvestment Options Guide
Allianz Life Insurance Company of North America Investment Options Guide A variety of options for today s retirement USA-1448 Page 1 of 16 Solutions for RETIREMENT REALITIES This brochure must be preceded
More informationJune Target date funds: Why the to vs. through analysis falls short and what you should be considering
June 2018 Target date funds: Why the to vs. through analysis falls short and what you should be considering Executive Summary Jake Gilliam Head Client Portfolio Strategist, Multi-Asset Strategies, Charles
More informationInnovative Solutions to Navigate the Market
BMO Global Asset Management Innovative Solutions to Navigate the Market BMO ETF Based Mutual Funds ETFs are extremely efficient tools that provide great flexibility to our Asset Allocation Team in quickly
More informationGuide to market volatility. Tips to help you understand the ups and downs of the market
Guide to market volatility Tips to help you understand the ups and downs of the market Volatility is the pulse of the market. If the financial markets have taught us anything over the long term, it is
More informationTURBULENT TIMES. Events. Challenges. Investment Tactics. How. Influenced Stocks. Facing the U.S. Economy. Fundamental
NAVIGATING TURBULENT TIMES How Events Influenced Stocks Challenges Facing the U.S. Economy Fundamental Investment Tactics Foreword Market bubble. Recession. Geopolitical events. Unemployment. Individual
More informationAttractive option for college saving
Tomorrow s Scholar 529 Age-Based Portfolios Attractive option for college saving... connecting to the future Not FDIC Insured May Lose Value No Bank Guarantee INVESTMENT MANAGEMENT Introduction The goal
More informationUnited of Omaha Life Insurance Company Companion Life Insurance Company mutual of omaha retirement services
United of Omaha Life Insurance Company Companion Life Insurance Company mutual of omaha retirement services 25927477 Investment Options GET RETIREMENT RIGHT 213196 For producer and plan sponsor use only.
More informationKP Retirement Path 2050 Fund: KPRHX. KP Retirement Path 2055 Fund: KPRIX. KP Retirement Path 2060 Fund: KPRJX. KP Large Cap Equity Fund: KPLCX
The KP Funds KP Retirement Path 2015 Fund: KPRAX KP Retirement Path 2020 Fund: KPRBX KP Retirement Path 2025 Fund: KPRCX KP Retirement Path 2030 Fund: KPRDX KP Retirement Path 2035 Fund: KPREX KP Retirement
More informationBROAD COMMODITY INDEX
BROAD COMMODITY INDEX COMMENTARY + STRATEGY FACTS APRIL 2017 80.00% CUMULATIVE PERFORMANCE ( SINCE JANUARY 2007* ) 60.00% 40.00% 20.00% 0.00% -20.00% -40.00% -60.00% -80.00% ABCERI S&P GSCI ER BCOMM ER
More informationINVESTMENT PLAN. Sample Client. For. May 04, Prepared by : Sample Advisor Financial Consultant.
INVESTMENT PLAN For Sample Client May 04, 2012 Prepared by : Sample Advisor Financial Consultant sadvisor@loringward.com Materials provided to approved advisors by LWI Financial Inc., ( Loring Ward ).
More informationBROAD COMMODITY INDEX
BROAD COMMODITY INDEX COMMENTARY + STRATEGY FACTS JULY 2018 100.00% 80.00% 60.00% 40.00% 20.00% 0.00% -20.00% -40.00% -60.00% CUMULATIVE PERFORMANCE ( SINCE JANUARY 2007* ) -80.00% ABCERI S&P GSCI ER BCOMM
More informationEMERGING MARKETS HARNESSING CURRENCY RETURNS
FOR WHOLESALE CLIENTS ONLY. NOT TO BE DISTRIBUTED TO RETAIL CLIENTS. EMERGING MARKETS HARNESSING CURRENCY RETURNS DON T MISS OUT ON THE RETURN POTENTIAL FROM EMERGING MARKET CURRENCY NOVEMBER 2017 > A
More informationMANAGING INTEREST RATE RISK WITH AN ABSOLUTE RETURN APPROACH
FOR WHOLESALE CLIENTS ONLY. NOT TO BE DISTRIBUTED TO RETAIL CLIENTS. NOT TO BE REPRODUCED WITHOUT PRIOR WRITTEN APPROVAL. PLEASE REFER TO ALL RISK DISCLOSURES AT THE BACK OF THIS DOCUMENT. September 2017
More informationINVESTMENT GUIDE. Your fund. Your wealth. Your future. This document forms part of the Product Disclosure Statement dated 24 September 2018
Your fund. Your wealth. Your future. This document forms part of the Product Disclosure Statement dated 24 September 2018 INVESTMENT GUIDE 24 SEPTEMBER 2018 We offer you flexibility and choice when it
More information#2 DECIDE HOW TO INVEST
#2 DECIDE HOW TO INVEST To decide how to invest, choose the investment option that best fits your personality and current situation. As your situation changes over time, you may want to consider changing
More informationEMERGING MARKETS HARNESSING CURRENCY RETURNS
FOR WHOLESALE CLIENTS ONLY. NOT TO BE DISTRIBUTED TO RETAIL CLIENTS. NOT TO BE REPRODUCED WITHOUT PRIOR WRITTEN APPROVAL. PLEASE REFER TO ALL RISK DISCLOSURES AT THE BACK OF THIS DOCUMENT. EMERGING MARKETS
More informationRetirement Income Strategies
Retirement Income Strategies An Educational Resource From Solid Rock Wealth Management By Christopher Nolt, LUTCF Introduction Investing wisely for wealth accumulation is one thing, converting those investments
More informationRetirement P lan Default Funds
Retirement P lan Default Funds Are you choosing the right one for your plan? June 18, 2015 Presented by: Ryan Campagna, CFP, AIF Senior Investment Advisor Advisory services offered through Sentinel Pension
More informationRBC SELECT PORTFOLIOS. Precision-built with investors in mind. 30years. Celebrating
RBC SELECT PORTFOLIOS Precision-built with investors in mind. Celebrating 30years RBC SELECT PORTFOLIOS RBC Select Portfolios Being a successful investor takes knowledge, time and patience. With RBC Select
More informationVideo: GIC Wealth Management Perspectives
GLOBAL INVESTMENT COMMITTEE FEB.8, 2017 Video: GIC Wealth Management Perspectives Video: The Case for Active Management A new video takes a deep dive into the drivers of recent Active Manager underperformance
More informationConexus Financial Events Alternatives 6th Annual Conference
Conexus Financial Events Alternatives 6th Annual Conference SEPTEMBER 6, 2012 Prepared for wholesale investors only Global Macro Styles Examined Eric S. Goodbar, CFA Managing Director, Global Investment
More informationYour RSP Investment Options
Your RSP Investment Options DuPont Retirement Savings Plan When you participate in the DuPont Retirement Savings Plan (RSP), you need to decide how to invest your contributions. Your decision should take
More informationCalamos Phineus Long/Short Fund
Calamos Phineus Long/Short Fund Performance Update SEPTEMBER 18 FOR INVESTMENT PROFESSIONAL USE ONLY Why Calamos Phineus Long/Short Equity-Like Returns with Superior Risk Profile Over Full Market Cycle
More informationEvaluating target date managers requires digging deeper
Wells Fargo Advantage Funds June 2012 Evaluating target date managers requires digging deeper Wells Fargo Funds Management, LLC In an ever-changing investment landscape, it is becoming exceedingly difficult
More informationRisk-efficient investment portfolios from AlphaSimplex Group
Risk-efficient investment portfolios from AlphaSimplex Group AlphaSimplex Group and LPL Financial AlphaSimplex Group is working with LPL Financial to offer risk-efficient strategies available in Model
More informationFixed Income Perspective: Treasury Inflation Protected Securities
Fixed Income Perspective: Treasury Inflation Protected Securities Market Commentary August 2017 IN OUR VIEW, TREASURY INFLATION PROTECTED SECURITIES, or TIPS, are a misunderstood fixed income asset class.
More informationTarget Date Glide Paths: BALANCING PLAN SPONSOR GOALS 1
PRICE PERSPECTIVE In-depth analysis and insights to inform your decision-making. Target Date Glide Paths: BALANCING PLAN SPONSOR GOALS 1 EXECUTIVE SUMMARY We believe that target date portfolios are well
More informationWells Fargo Target Date Funds
All information is as of 9-30-17 unless otherwise indicated. Overview General fund information Portfolio managers: Kandarp Acharya, CFA, FRM; Christian Chan, CFA; and Petros Bocray, CFA, FRM Subadvisor:
More informationVanderbilt University Medical Center Retirement Plan Enrollment Guide
Vanderbilt University Medical Center Retirement Plan Enrollment Guide Invest some of what you earn today for what you plan to accomplish tomorrow. The Vanderbilt University Medical Center (VUMC) offers
More informationLifePath Index 2030 Fund H
Blend Moderate Quality Inc Risk Profile This investment option may be most appropriate for someone willing to balance the risk of principal fluctuation with the potential for greater capital growth over
More informationELC Advisors, LLC. Efficient Low Cost Wealth Management
ELC Advisors, LLC Efficient Low Cost Wealth Management ELC Advisors, LLC Our principles Clients come first As an RIA, ELC Advisors adheres to the fiduciary standard No misaligned incentives, as with broker
More informationCashflow Driven Investing for defined benefit pension schemes. Secure income investing in a low-yield environment
Cashflow Driven Investing for defined benefit pension schemes Secure income investing in a low-yield environment Alpha Real Capital 2 Cashflow Driven Investing overview The path to self-suffi ciency for
More informationENABLING BETTER RETIREMENT OUTCOMES THROUGH TARGET DATE INVESTMENT STRATEGY DESIGN
ENABLING BETTER RETIREMENT OUTCOMES THROUGH TARGET DATE INVESTMENT STRATEGY DESIGN Joe Martel, CFA T. Rowe Price Bailey DeVries T. Rowe Price PAPERS Spring Forum May 22 nd, 2018 OUR FOCUS FOR TODAY The
More informationspeaking investments THE IMPORTANCE OF DIVERSIFICATION IN DC PLAN FIXED INCOME
speaking investments THE IMPORTANCE OF DIVERSIFICATION IN DC PLAN FIXED INCOME INTEREST RATES ARE POISED TO RISE FROM NEAR-HISTORIC LOWS, POSING CHALLENGES FOR EVEN THE MOST SOPHISTICATED INVESTORS. As
More informationGet the Alternative Advantage
Get the Alternative Advantage Alternative Investments Manage Risk and Potentially Enhance Performance Innovation is our capital. Make it yours. As an asset class, alternative investments have demonstrated
More informationDeep Experience. THOUGHTFUL INNOVATION. Target date solutions from T. Rowe Price
Deep Experience. THOUGHTFUL INNOVATION. Target date solutions from T. Rowe Price troweprice.com/dcio Investment solutions designed for a multifaceted retirement landscape Today, defined contribution (DC)
More informationRisk-efficient investment solutions from AlphaSimplex Group
Risk-efficient investment solutions from AlphaSimplex Group AlphaSimplex Group and LPL Financial AlphaSimplex Group is working with LPL Financial to offer risk-efficient strategies available in Model Wealth
More informationDispelling the Myths of International Investing
LEADERSHIP SERIES Dispelling the Myths of International Investing There are multiple reasons to consider an increased allocation to this often-misunderstood asset class. The long-term rally in U.S. stocks
More informationTARGET DATE COMPASS SM EVALUATE AND SELECT TARGET DATE FUNDS WITH GREATER KNOWLEDGE AND CONFIDENCE SM
TARGET DATE COMPASS SM EVALUATE AND SELECT TARGET DATE FUNDS WITH GREATER KNOWLEDGE AND CONFIDENCE SM Helping plan sponsors navigate an increasingly complex path SELECTING A TARGET DATE FUND CAN BE ONE
More informationBROAD COMMODITY INDEX
BROAD COMMODITY INDEX COMMENTARY + STRATEGY FACTS JUNE 2017 80.00% CUMULATIVE PERFORMANCE ( SINCE JANUARY 2007* ) 60.00% 40.00% 20.00% 0.00% -20.00% -40.00% -60.00% -80.00% ABCERI S&P GSCI ER BCOMM ER
More information