In this article, we will cover:
Selecting a Different Asset Allocation or Model Within the Same Strategy
When it comes to your retirement plan, you always control your investments, and you are solely responsible for making your investment decisions. We do not provide legal, financial, tax, or other investment advice to any individual. Our platform enables you to change your investments using a few different methods.
Once you make a change, your existing balance and all future contributions—including your own contributions and any employer match or other contributions—will be updated to reflect your changes. In general, it takes approximately five business days for your changes to be reflected in your portal. The balance and allocations displayed on your saver portal will not be updated until all investments are exchanged and trades are settled. We suggest that you refrain from making any additional investment changes until the rebalancing process has been completed.
Below we will walk through adjusting the following asset allocations:
Adjusting Age-Based Strategies
To change to a different target date fund, select Adjust in the "Inputs" control panel. You may increase or decrease your desired retirement age to move into a different target retirement date fund. Then, select Save. Remember, the closer you are to the date of the target date fund, the more conservative the investment mix. For example, if you select a 2030 target date fund, the combination of investments within that fund will be more conservative than the mix of investments in a 2050 target date fund.
Adjusting Risk-Based Strategies
To select a different risk model, select Adjust in the "Inputs" control panel. You may then modify your risk tolerance by selecting a more conservative or more aggressive strategy on the slider. Then, select Apply Changes.
Adjusting Custom Allocations
To change your custom allocation, click Adjust Allocation and change the allocations of your selected investments. Select the percentage for each fund you wish to invest in. The total percentage of the funds you select must add up to 100%. When you're finished, click Update Allocation to save your selections.
Adjusting Goal-Based Strategies
You can adjust your current salary, retirement age, retirement income goal, or risk tolerance to receive a new suggested allocation mix and retirement income projection from the Goals Optimization Engine (GOE). Select Adjust Inputs from the "Goal Inputs" control panel and adjust the amount you would like to save using the "Save More," "Retire Later," or " Spend Less In Retirement" boxes. Click Apply Changes once your modifications have been made. Executing the suggestions in the goal feedback section at the bottom of your screen, if any are provided, will also create an updated recommendation from the GOE.
Changing to a Different Strategy
When changing your investment strategy for future contributions, changes should be effective after a window of 2-3 business days. To change your strategy, start by navigating to the "Retirement Overview" page. Next, select Manage Investments and then click Change Strategy.
Depending on the investments selected by your plan's investment fiduciary, you will see up to four strategies:
- Age-Based: Provide your desired retirement age in the setup wizard. You’ll be matched with the target date model that most closely approximates the year in which you plan to cease full-time or part-time employment. The asset allocation within the target date fund will become more conservative as you approach your target retirement year.
- Risk-Based: To be placed into your chosen risk model, you may select or change your risk tolerance on the slider in the setup wizard from more conservative to more aggressive.
- Custom Allocation: Select from the available investment options and customize your selections until you create a portfolio that is 100% allocated across your selected investments.
- Goals-Based: Provide your desired retirement age, current income, and retirement income goal in the setup wizard. Franklin Templeton’s Goals Optimization Engine (GOE) provides a portfolio option that optimizes your chances of meeting your retirement goal using these data points and other information you may provide in your profile.
Note: If you click Continue Using Current Strategy, your investment selection will not change.
Adjusting Your Automatic Rebalancing Settings
Market fluctuations may cause some of your investments to appreciate or depreciate and your asset allocations to drift from your intended or default investment selections. Our platform, by default, will rebalance your portfolio automatically every quarter and on each occasion when you change your investment strategy until you turn off the Automatic Rebalance instruction. Generally, the rebalance will occur on the first trading day of each quarter.
To turn the Automatic Rebalance feature off, click Rebalance Settings on the "Manage Your Investments" page and toggle "Automatic Rebalancing" to “Off.” You will still be able to rebalance your account on a one-time basis if you wish to do so.
Note: If you select or are default invested in the Goal-Based investment option (also known as our managed account feature), your account’s "Automatic Rebalancing" is set to “On” and cannot be adjusted. This means that all of your existing and future contributions to your retirement plan account will be rebalanced every quarter into the Goal-Based portfolio recommended to you for as long as your account remains invested in the Goals-Based investment option.
As a participant in your employer’s retirement plan, you are always solely responsible for making your own investment selections. You can change your investments at any time by logging into your account and following the prompts to change those selections.
Rebalancing Your Portfolio
When rebalancing your portfolio, changes should take effect after a window of 1-2 business days. To rebalance your portfolio:
- Navigate to the "Manage Your Investment" page.
- Click on Rebalance Settings and confirm your asset allocation.
- Select Apply Rebalance on the "Confirm Your One-Time Rebalance" pop-up.
Investing Future Contributions Into a New Strategy While Leaving Existing Assets in a Current Strategy
Navigate to the "Manage Your Investment" page and click on Rebalance Settings. Toggle "Automatic Rebalancing" to Off. This will prevent your existing investments from being rebalanced if you change to a new investment strategy. Next, return to the "Manage Your Investment" page and click Change Strategy. Select your new strategy and then click Apply Changes. All future contributions will be allocated to the new strategy, and your current holdings will remain in your previously selected strategy.
See our trading policies and procedures or review your plan's documents in the "Plan Documents" section of your portal for more information.