Model Portfolios 2007 Results:
The Retirement Advisor Aggressive Growth and Income Model Portfolio 1 ,
designed for someone approaching retirement who is interested in a
portfolio allocation designed to provide income and capital
appreciation while avoiding excessive risk, gained 9.52% in 2007, its
first year of existence. This portfolio was 50% in stock index funds
and 50% in fixed income index funds (or ETF equivalents.) It benefited
greatly from TIPS for inflation protection which we feel allows a lower
allocation to equities and a 4% withdrawal rate.
The Retirement Advisor Moderate Growth and Income Model Portfolio 2 ,
designed for someone who has retired and seeks to maintain their
current standard of living, even with inflation, gained 8.48% in 2007,
its first year of existence. This portfolio was 30% in stock index
funds and 70% in fixed income index funds (or ETF equivalents.) It
benefited greatly from TIPS for inflation protection
The Retirement Advisor Conservative Capital Preservation Model Portfolio 3 ,
designed for someone in the later stages of retirement who wants to
avoid any losses in their portfolio and who does not need a lot of
inflation protection, gained 8.32% in 2007, its first year of
existence. This portfolio was 100% in fixed income index funds (or ETF
equivalents.) It benefited greatly from TIPS for inflation protection.
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