LOCAL 2138 U.S.W.A. RETIREMENT SAVINGS PLAN
Invest in LOCAL 2138 U.S.W.A. RETIREMENT SAVINGS PLAN
When it comes to invest in LOCAL 2138 U.S.W.A. RETIREMENT SAVINGS PLAN
- Understand Your Goals and Risk Tolerance: Consider your retirement goals, time horizon, and risk tolerance when choosing investments. Are you saving for retirement, or do you have other financial goals in mind? How comfortable are you with market fluctuations?
- Diversification: Diversification is key to managing risk in your investment portfolio. Spread your investments across different asset classes (e.g., stocks, bonds, cash equivalents) and sectors to reduce the impact of market volatility.
- Asset Allocation: Determine the appropriate mix of assets for your investment portfolio based on your goals and risk tolerance. This may involve allocating a percentage of your portfolio to stocks, bonds, and cash equivalents.
- Review Investment Options: Evaluate the investment options available within LOCAL 2138 U.S.W.A. RETIREMENT SAVINGS PLAN (see below for more detailed investment options). Look for funds with low fees, consistent performance, and a track record of meeting their investment objectives.
- Consider Target-Date Funds: Target-date funds are a popular option for retirement savings because they automatically adjust the asset allocation over time based on your expected retirement date. These funds can be a convenient option for investors who prefer a hands-off approach to investing.
- Monitor and Rebalance: Periodically review your investment portfolio and make adjustments as needed. Rebalance your portfolio to maintain your desired asset allocation and ensure it remains aligned with your goals and risk tolerance.
- Seek Professional Advice: If you’re unsure about which investments to choose or how to allocate your assets, consider seeking advice from a financial advisor. They can help you develop an investment strategy tailored to your individual needs and circumstances.
By following these steps, you can set up a 401(k) plan and choose investments that align with your long-term financial goals and objectives. Remember that investing involves risk, and it’s important to carefully consider your options and seek professional advice if needed.
Investment Options
LOCAL 2138 U.S.W.A. RETIREMENT SAVINGS PLAN provides a list of funds (mutual funds and collective investment trusts — custom-made mutual funds for the plan):
| Investment Options of LOCAL 2138 U.S.W.A. RETIREMENT SAVINGS PLAN (as of 2022) |
|---|
| VANGUARD TARGET RET 2065 (JOHN HANCOCK USA) |
| VANGUARD TARGET RET 2060 (JOHN HANCOCK USA) |
| VANGUARD TARGET RET 2055 (JOHN HANCOCK USA) |
| VANGUARD TARGET RET 2050 (JOHN HANCOCK USA) |
| VANGUARD TARGET RET 2045 (JOHN HANCOCK USA) |
| VANGUARD TARGET RET 2040 (JOHN HANCOCK USA) |
| VANGUARD TARGET RET 2035 (JOHN HANCOCK USA) |
| VANGUARD TARGET RET 2030 (JOHN HANCOCK USA) |
| VANGUARD TARGET RET 2025 (JOHN HANCOCK USA) |
| VANGUARD TARGET RET INCOME (JOHN HANCOCK USA) |
| JH MULTIMANAGER AGGRESSIVE LS (JOHN HANCOCK USA) |
| JH MULTIMANAGER GROWTH LS (JOHN HANCOCK USA) |
| JH MULTIMANAGER BALANCED LS (JOHN HANCOCK USA) |
| JH MULTIMANAGER MODERATE LS (JOHN HANCOCK USA) |
| JH MULTIMANAGER CONSERV LS (JOHN HANCOCK USA) |
| JH MULTI-INDEX LS GROWTH (JOHN HANCOCK USA) |
| AMERICAN CENTURY HERITAGE (JOHN HANCOCK USA) |
| INVESCO DEVELOPING MARKETS (JOHN HANCOCK USA) |
| INVESCO SMALL CAP GROWTH (JOHN HANCOCK USA) |
| JOHN HANCOCK MID CAP GROWTH (JOHN HANCOCK USA) |
| JPMORGAN MIDCAP VALUE FUND (JOHN HANCOCK USA) |
| MID CAP INDEX FUND (JOHN HANCOCK USA) |
| REAL EST. SECURITIES FUND (JOHN HANCOCK USA) |
| SMALL CAP INDEX FUND (JOHN HANCOCK USA) |
| T. ROWE PRICE SCI & TECH (JOHN HANCOCK USA) |
| T. ROWE PRICE SML CAP VAL (JOHN HANCOCK USA) |
| 500 INDEX FUND (JOHN HANCOCK USA) |
| AMERICAN FUNDS EUROPAC GROWTH (JOHN HANCOCK USA) |
| BLUE CHIP GROWTH FUND (JOHN HANCOCK USA) |
| CAPITAL APPRECIATION FUND (JOHN HANCOCK USA) |
| CLEARBRIDGE AGGRESSIVE GROWTH (JOHN HANCOCK USA) |
| FIDELITY CONTRAFUND (JOHN HANCOCK USA) |
| FRANKLIN MUTUAL BEACON FUND (JOHN HANCOCK USA) |
| MUTUAL GLOBAL DISCOVERY (JOHN HANCOCK USA) |
| FUNDAMENTAL LARGE CAP VALUE (JOHN HANCOCK USA) |
| INTL EQUITY INDEX FUND (JOHN HANCOCK USA) |
| INVESCO GLOBAL FUND (JOHN HANCOCK USA) |
| JOHN HANCOCK DISCIPLINED VALUE (JOHN HANCOCK USA) |
| JPMORGAN U.S. EQUITY FUND (JOHN HANCOCK USA) |
| FIDELITY ADVISOR TOTAL BOND (JOHN HANCOCK USA) |
| T. ROWE PRICE SPECTRUM INC (JOHN HANCOCK USA) |
| WESTERN ASSET CORE BOND FUND (JOHN HANCOCK USA) |
| JOHN HANCOCK STABLE VAL (JOHN HANCOCK USA) |
| JANUS HENDERSON ENTERPRISE (JOHN HANCOCK USA) |
| JOHN HANCOCK SMALL CAP CORE (JOHN HANCOCK USA) |
| AMERICAN FUNDS NEW WORLD FUND (JOHN HANCOCK USA) |
| PUTNAM SMALL CAP GROWTH FUND (JOHN HANCOCK USA) |
| AB LARGE CAP GROWTH FUND (JOHN HANCOCK USA) |
| FIDELITY ADVISOR GROWTH OPPS (JOHN HANCOCK USA) |
| JANUS HENDERSON GBL EQ INCOME (JOHN HANCOCK USA) |
| T. ROWE PRICE DIVIDEND GROWTH (JOHN HANCOCK USA) |
| VANGUARD EQUITY-INCOME FUND (JOHN HANCOCK USA) |
| VANGUARD INTERNATIONAL GROWTH (JOHN HANCOCK USA) |
| AF AMERICAN BALANCED FUND (JOHN HANCOCK USA) |
How to invest
Key principles in retirement investing:
- Proper asset allocation among stocks and bonds, the two major assets. Proper assess your risk tolerance level based on your age, financial situation, personal emotional level to tolerate up and down, and retirement expectation.
- Invest in (ultra) low cost index funds if possible. Don’t get caught up with flashy funds.
- Invest for a long term: financial markets are up and down and investment values are subject to fluctuation. However, viewed as business investments, you can be assured that diversified funds (stocks and bonds) have solid business fundamental that eventually will deliver inflation beating returns for stocks.
See Four-Step Guide for 401(k) Retirement Investing.
Basic asset allocation templates
The following asset allocation templates are based on popular lazy portfolios. Once you have decided your proper risk asset (stocks) allocation, you can utilize these lazy portfolio templates to scale the allocations to your risk allocation level. See Asset Allocation Portfolio Templates for guide:
| Name | YTD Return | 1Yr AR | 3Yr AR | 5Yr AR | 10Yr Ar | 15Yr Ar | 20Yr Ar |
|---|---|---|---|---|---|---|---|
| Core Four Asset Portfolio | 5.16% | 11.63% | 1.45% | 6.44% | 6.10% | 8.16% | 6.86% |
| Five Core Asset Portfolio | 5.26% | 11.65% | 1.24% | 6.32% | 6.06% | 8.09% | 6.99% |
| Three Core Asset Portfolio | 6.34% | 12.86% | 2.08% | 7.07% | 6.48% | 8.30% | 6.95% |
| Two Core Asset Portfolio | 7.23% | 14.44% | 3.32% | 8.24% | 7.77% | 9.64% | 7.59% |
| Yale Endowment Template | 1.50% | 15.03% | 2.98% | 7.38% | 7.23% | 10.55% | 7.73% |
| S&P 500 Index | 16.23% | 25.49% | 10.22% | 15.18% | 12.84% | 14.98% | 10.33% |
