美国研究生课程-福利管理 stock bond cash.pptxVIP

Understanding Stock, Bond, and Cash Time Value of Money Graph Your Plan Changes Welcome T. Rowe Price Retirement Funds Investments Mix your own Ready-mixed Consider objectives, time horizon, and risk tolerance as well as your retirement needs and other sources of income. Retirement Funds Explained Mutual Funds represent a basket of stocks and/or bonds. Retirement Funds represent a basket of various mutual funds. Retirement Funds are a diverse mix of investments—large and small cap mutual funds, domestic and foreign, value and growth. Mutual funds are chosen for both individual performance and synergy with other funds in the mix (how well they work together). Performance and risks of each Retirement Fund correspond to the performance and risks of the underlying funds in which it invests. Retirement Funds start with these approximate allocations. As the retirement target date nears, allocations become more conservative . Pick and Forget, If You Like The Investment Glide Path Weighted % Years to Retirement Years Past Retirement 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% 40+ 35 30 25 20 15 10 5 0 5 10 15 20 25 30 35 40+ Stocks Fixed Income Conservative Fixed Income What is an Investment “Mix”? Investment Mix: AKA: Asset Allocation AKA: Style Diversification Represents the division of invested money among different asset classes. Purpose for varying a portfolio’s Investment Mix is to help reduce overall risk exposure in the pursuit of favorable returns. i i i Choose Your Own Mix Time to Retirement 6-10Years 0-5Years 11-30Years What happens when Mixes aren’t rebalanced? This is not representative of the performance of any investment in a retirement plan. Income is represented by the Lehman Brothers U.S. Intermediate Bond Index. Growth is represented by the SP 500 Index®. Past performance does not guarantee future results. Initial Portfolio: 50% Growth, 50% Income $1,000 Investment on 12/31/96 Growth % of Portfolio Income % of Portfolio T. Rowe Price Re