Investment options of CEFCU DEFERRED COMPENSATION PLAN AND TRUST
Total Available Funds: 29
| Investment Description |
|---|
| Wilmington Trust Mid Cap Value Fund |
| Ameriprise Trust Columbia Trust Dividend Income Fund |
| OTC Portfolio K6 |
| Growth Company K6 |
| Small Cap Growth K6 |
| Balanced K6 Fund |
| International Discovery K6 |
| Worldwide |
| 500 Index |
| US Bond Index |
| Extended Market Index |
| Emerging Markets K |
| Freedom Income Class K6 |
| Freedom 2010 Class K6 |
| Freedom 2015 Class K6 |
| Freedom 2020 Class K6 |
| Freedom 2025 Class K6 |
| Freedom 2030 Class K6 |
| Freedom 2035 Class K6 |
| Freedom 2040 Class K6 |
| Freedom 2045 Class K6 |
| Freedom 2050 Class K6 |
| Freedom 2055 Class K6 |
| Freedom 2060 Class K6 |
| Freedom 2065 Class K6 |
| Freedom 2070 Class K6 |
| Glenmede Small Cap Equity IS |
| Victory Capital Sycamore Small Cap OPP R6 |
| Janus Henderson Enterprise Fund Class N |
Investment model portfolios
We provide two types of investment model portfolios for CEFCU DEFERRED COMPENSATION PLAN AND TRUST 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 CEFCU DEFERRED COMPENSATION PLAN AND TRUST