Portfolio Allocation Strategies

Strategy #1   CD-Plus Strategy

Goal:   Achieve annual returns of 125% of 1-year Bank Certificates of Deposit

Investment Mix:   

  • Short & Long term bond funds
  • Income funds for dividends
  • Government & Corporate debt securities
  • Equity Income Funds

Expectations:   Attempts returns averaging 125% of 1-year Bank Certificates of Deposit (CD).

Strategy #2   Moderate-Conservative Strategy

Goal:   Diversification through asset allocation in no-load mutual funds. Provide 3 to 5-year average return equal to 75% of the stock market.

Investment Mix:   

  • Lower risk Equity funds
  • Growth & Income funds
  • Balanced funds
  • International funds
  • Bond funds

Expectations:   Attempts annual returns of 75% of the stock market over a 3 to 5-year period. Less portfolio volatility.

Strategy #3   Moderate Strategy

Goal:   Diversification through asset allocation in no-load mutual funds. Provide 3 to 5-year average return equal to 100% of the stock market.

Investment Mix:   

  • S&P 500 iShares/funds
  • Mid-Cap iShares/funds
  • Small-Cap funds
  • International/World funds
  • Growth Funds

Expectations:   Attempts annual returns of 100% of the stock market over a 5 to 8-year period.

Strategy #4   Moderate-Aggressive Strategy

Goal:   Diversification through asset allocation in no-load mutual funds. Significantly out-perform stock market over 5 to 8-year period.

Investment Mix:   

  • Aggressive growth funds
  • Small-Cap & Micro-Cap funds
  • Sector iShares
  • International/World funds
  • Index iShares
  • Leveraged funds

Expectations:   Achieve significant gains above stock market returns over a 5 to 8-year period.

Notes:

  • Stock market Benchmark Standard&Poors 500 index, an unmanaged market capitalization-weighted index of common stocks.
  • Actual mutual fund selections, dependent on account assets, could total 4-12 funds and may change from quarter to quarter pending market activity, market direction, market sentiment, volumes and certain fund performance ratios.
  • Dollar Cost Averaging may be used and involves continuous investing regardless of flucuating price levels. DCA does not guarantee profits or loss protection.



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