How to Choose

  There are two ways to build your investment portfolio – the choice is yours!


1.   Simplify investing with a Target Retirement Fund

2.   Build your own portfolio

 

1.  Simplify investing with a Target Retirement Fund

If you find selecting investments confusing, intimidating, or just too time consuming, a Target  Retirement Fund may be your best choice. Learn how Target Retirement Funds can help make planning and investing for retirement a little easier.

  • Target Retirement Funds short, 2 ½ minute video

Invest only in the one fund closest to your expected year of retirement. The Target Retirement Funds are designed to manage the asset allocation 1 of your investments in appropriate percentages for you. This relieves you from having to construct and manage your investment portfolio. Just remember to reassess your investor profile as you age, experience a major life change, or your retirement plans change. For more information regarding Target Retirement Funds, refer to the Plan Now Brochure (pages 9-12).

 

2.  Build your own portfolio

If you're a hands-on investor who's comfortable making your own investment decisions and feel confident that you can build a diversified asset allocation strategy1, then you probably can manage your own retirement account portfolio.
 

First, take the Investor Profile Quiz to determine whether you are a conservative, moderate, or aggressive investor. Your results from the Investor Profile Quiz provide a recommended asset allocation strategy 1.
 

Using the recommended asset allocation strategy, choose your investments from the core MNDCP investment options available.
 

Before selecting investment options, learn more about the investments.

The MNDCP investment options available to you fall into four major asset classes:

1.  Stocks
         U.S. Small-Cap U.S. Stock
         International Stock
         U.S. Mid-Cap U.S. Stock
         U.S.  Large-Cap U.S. Stock

2. Bonds
3. Stable Value / Fixed Income
4. Short-term Money Market


Consider spreading your investments across asset classes — a technique known as diversification or asset allocation. Doing so can help you manage investment risk and take advantage of more favorable market conditions. As a general rule, when investments in one asset class under-perform, investments in other classes typically perform better.
 

1Using Asset Allocation or Diversification as part of your investment strategy neither assures nor guarantees better performance and cannot protect against loss in declining markets.