LOTSPEICH CO. OF FLORIDA, INC. 401(K) PROFIT SHARING PLAN
Invest in LOTSPEICH CO. OF FLORIDA, INC. 401(K) PROFIT SHARING PLAN
When it comes to invest in LOTSPEICH CO. OF FLORIDA, INC. 401(K) PROFIT SHARING 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 LOTSPEICH CO. OF FLORIDA, INC. 401(K) PROFIT SHARING 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
LOTSPEICH CO. OF FLORIDA, INC. 401(K) PROFIT SHARING PLAN provides a list of funds (mutual funds and collective investment trusts — custom-made mutual funds for the plan):
| Investment Options of LOTSPEICH CO. OF FLORIDA, INC. 401(K) PROFIT SHARING PLAN (as of 2022) |
|---|
| BLACKROCK GLOBAL ALLOCATION (JOHN HANCOCK USA) |
| MFS EMERGING MARKETS DEBT (JOHN HANCOCK USA) |
| MFS UTILITIES FUND (JOHN HANCOCK USA) |
| AF US GOVERNMENT SECURITIES (JOHN HANCOCK USA) |
| FIDELITY ADVISOR TOTAL BOND (JOHN HANCOCK USA) |
| HIGH YIELD FUND (JOHN HANCOCK USA) |
| TEMPLETON GLOBAL BOND FUND (JOHN HANCOCK USA) |
| TOTAL BOND MARKET FUND (JOHN HANCOCK USA) |
| JOHN HANCOCK STABLE VAL (JOHN HANCOCK USA) |
| AMERICAN FUNDS 2060 TD (JOHN HANCOCK USA) |
| AMERICAN FUNDS 2050 TD (JOHN HANCOCK USA) |
| AMERICAN FUNDS 2025 TD (JOHN HANCOCK USA) |
| AMERICAN FUNDS 2010 TD (JOHN HANCOCK USA) |
| JH MULTI-INDEX 2065 PRESERV (JOHN HANCOCK USA) |
| JH MULTI-INDEX 2060 PRESERV (JOHN HANCOCK USA) |
| JH MULTI-INDEX 2055 PRESERV (JOHN HANCOCK USA) |
| JH MULTI-INDEX 2050 PRESERV (JOHN HANCOCK USA) |
| JH MULTI-INDEX 2045 PRESERV (JOHN HANCOCK USA) |
| JH MULTI-INDEX 2040 PRESERV (JOHN HANCOCK USA) |
| JH MULTI-INDEX 2035 PRESERV (JOHN HANCOCK USA) |
| JH MULTI-INDEX 2030 PRESERV (JOHN HANCOCK USA) |
| JH MULTI-INDEX 2025 PRESERV (JOHN HANCOCK USA) |
| JH MULTI-INDEX INCOME PRESERV (JOHN HANCOCK USA) |
| VANGUARD TARGET RET 2065 (JOHN HANCOCK USA) |
| VANGUARD TARGET RET 2035 (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 MANAGED VOLATILITY GROWTH (JOHN HANCOCK USA) |
| JH MANAGED VOLATILITY BAL (JOHN HANCOCK USA) |
| JH MANAGED VOLATILITY MOD (JOHN HANCOCK USA) |
| DFA INTERNATIONAL VALUE (JOHN HANCOCK USA) |
| DFA U.S. SMALL CAP FUND (JOHN HANCOCK USA) |
| DODGE & COX INTERNATIONAL ST (JOHN HANCOCK USA) |
| INVESCO DEVELOPING MARKETS (JOHN HANCOCK USA) |
| MID CAP INDEX FUND (JOHN HANCOCK USA) |
| PGIM JENNISON MID CAP GROWTH (JOHN HANCOCK USA) |
| REAL EST. SECURITIES FUND (JOHN HANCOCK USA) |
| SMALL CAP VALUE FUND (JOHN HANCOCK USA) |
| VANGUARD ENERGY FUND (JOHN HANCOCK USA) |
| VANGUARD MID-CAP VALUE ETF (JOHN HANCOCK USA) |
| VANGUARD SMALL CAP GROW INDEX (JOHN HANCOCK USA) |
| VANGUARD SMALL CAP VALUE INDEX (JOHN HANCOCK USA) |
| 500 INDEX FUND (JOHN HANCOCK USA) |
| CAPITAL WORLD GROWTH & INCOME (JOHN HANCOCK USA) |
| BLUE CHIP GROWTH FUND (JOHN HANCOCK USA) |
| EQUITY INCOME FUND (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) |
| TOTAL STOCK MARKET INDEX FUND (JOHN HANCOCK USA) |
| VANGUARD GROWTH INDEX FUND (JOHN HANCOCK USA) |
| VANGUARD VALUE INDEX 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% |
