4 Investment Strategies:

• Diversification

• Asset Allocation

• Dollar-Cost-Averaging

• Portfolio Rebalancing

Week 10 Assignment for UH Students

How to use Asset Allocation to increase the probability of success in your Retirement Plan.

• Log into your planning portal.

• In this week’s assignment, you will update your plan by reallocating assets and investments.

  You will experiment with different settings and do some outside research to come up with a rough investment plan. Then you will show the results for the retirement analysis before and after.

• First, go to the retirement analysis and take a screenshot showing your probability of success

• If you have any balances in investments, take a screenshot of them and what the asset allocation is.

• If you don’t have any investments under net worth, go under savings and screenshot what you are saving for retirement.

• Go back to the retirement analysis and experiment with the action items at the bottom. How does your retirement plan’s chance of success change whenever you make changes to retirement age? Retirement monthly expenses? Asset allocation strategy? Income, savings, and expenses?

• Go to the investment tab and look at your asset allocation. Play around with different target allocations (moderate, conservative, etc.). Then choose a strategy.

• Make sure that your expenses are reasonable (pre-retirement living expenses, retirement monthly expenses, etc.)

• Go back to investments and explain your strategy behind the asset allocation you chose. Which asset classes did you choose and why?

• Don’t forget to include a screenshot of your retirement analysis AFTER these changes!

• Create ONE PDF and submit to BB.

• Include a Screenshot of this week’s Quiz

Student Issues

Jacob Drop Down Menu

This is Jacob from your Introduction to Personal Finance on Tuesday at 10AM.

I’m having some trouble on RightCapital with the drop down menu for asset allocation. It’s not allowing me to change how I would want it allocated, can you help me with this?

Kathleen Account Linking and Asset Allocation

Hi Professor Munchbach. I was able to delete the account. I linked it again but for some reason my asset allocation is still telling me to add an account