Target Date Fund Basics for Financial Counselors

first_imgBy Barbara O’Neill, Ph.D., CFP®The May 26, 2015 MFLN Personal Finance webinar is about target date funds (TDFs), including the L fund investment option available in the Thrift Savings Plan (TSP) for federal government employees and service members. Also known as lifecycle funds (that’s what the “L” stands for), target date funds are “all in one” portfolios that typically include three types of investment categories known as asset classes: stocks, bonds, and cash equivalents (e.g., money market funds). Their asset allocation weightings (e.g., 50% stock, 30% bonds, 20% cash) automatically adjust and become more conservative (i.e., lower stock percentage) over time.By viZZZual.comTarget date funds typically have a date in their name such as the “2050 fund” and investors chose a fund with a date that is close to their expected year of retirement. Dates are spaced out at 5- or 10-year intervals (e.g., 2030, 2035, etc.). Most TDFs are “funds of funds” with underlying funds from the same fund family. Examples include Fidelity Freedom Funds, Vanguard Target Retirement Funds, and T.Rowe Price Retirement Funds.TDFs were created in 1994 and have gained popularity in the last decade as a qualified default investment alternative (QDIA) for tax-deferred retirement savings plans such as 401(k)s and, starting in October 2015, TSP accounts for new federal employees. Some employees who are enrolled in employer investment plans fail to provide instructions for investing their deposits. In these cases, employers invest their plan contributions in the default investment. Investors also like TDF’s “low maintenance” style for savings outside of workplace plans.Below are key facts about target date (lifecycle) funds that investors and those who counsel them need to know:TDFs generally only make sense if they include the bulk of someone’s retirement savings. Otherwise, their asset allocation is altered by “outside” investments, which contradicts the whole premise of using them.A defining characteristic of TDFs is their glide path, which determines the asset allocation mix over time. Pictured as a descending staircase, the glide path indicates how the stock percentage decreases over time.Glide paths are a critical factor in TDF performance and investment companies use several types of glide path methods. Glide paths are used in both TDFs and age-adjusted portfolios in 529 college savings plans.“To” glide path TDFs assume that retirement age is the target date and, at that point, the portfolio’s stock % weighting and investment mix remains static. “Through” glide path TDFs continue to decrease the stock percentage for a designated number of years after the target date before leveling off.The “landing point” is the point in the glide path where a TDF reaches its lowest stock % allocation. Not surprisingly, TDFs with different glide paths and landing points have very different risk profiles.TDFs are not without controversy. Performance issues during the financial crisis brought to light the fact that many TDFs were not as conservatively positioned as their names implied. This led to new disclosure rules by the Securities and Exchange Commission in 2010, including better disclosure of TDF glide paths.To this webinar on May 26  at 11 a.m. ET or to view the recording, visit the event page.This post was published on the Military Families Learning Network blog on May 12, 2015.last_img read more

Final Cut Pro X Video Tutorial: Compound Clips for Music

first_imgWorking with music in FCPX? In this exclusive Final Cut Pro X video tutorial we share a trick for quickly replacing temp tracks with final versions.Often editors will cut up a single piece of temp music into different parts to create their own custom edit of the track. When using production music (like tracks from Premiumbeat.com) you can use temp (watermarked) versions of the tracks in your project to try out before licensing a high resolution version. So, if you’re working in Final Cut Pro X you may be wondering what the easiest way to swap these temp track for a final version – so that it replaces every instance of the track in your timeline.In the following video tutorial we show you how using compound clips in FCPX is an easy way to swap out any track:When cutting a piece of music into your FCPX timeline there is TWO things you will want to do first:Place the cut of music in a secondary storyline(using the shortcut Command + G)Make the cut of music a compound clip(using the shortcut Option + G)Then, when you’ve decided to use the track for your project, swap it out in FCPX with the temp by opening up the compound clip, overlaying the full/final version and mute the temp version. It’s as simple as that. The compound clip is the key to swapping out the temp music for the full resolution track.Got more Final Cut Pro X tips to share or questions about this tutorial? Let us know in the comments below.last_img read more

Assam flood: 2 rhinos drown in Kaziranga, human toll 19

first_img “Four people drowned today [Tuesday], taking the human toll to 19. Landslides in two districts killed two of them,” an ASDMA official said.Chief Minister Sarbananda Sonowal updated Mr. Shekhawat about the steps taken to deal with the crisis. “We have requested the Union Minister to expedite the setting up of the North East Water Management Authority, as recommended by the NITI Aayog. We have also sought inclusion of river erosion in the list of admissible natural calamities under the State Disaster Relief Fund,” he said.KNP underwaterMore than 90% of KNP remained underwater, forcing animals to escape to the hills of Karbi Anglong district across the highway that runs along the southern edge of the park. “Smaller animals such as deer and wild boar usually suffer the most during floods, but two rhinos and an elephant drowned during the last 24 hours. Nine of the 30 animals that have died so far were hit by speeding vehicles while trying to cross the highway,” KNP’s Divisional Forest Officer Rohini B. Saikia said.Three other rhinos and four hog deer rescued from the flooded park are under treatment at the Centre for Wildlife Rehabilitation and Conservation at Kaziranga. A total of 30 animals were taken to the centre; 23 of them were released after treatment.Encephalitis persistsAssam also continued to suffer from Acute Encephalitis Syndrome and Japanese Encephalitis. Health officials on Tuesday reported the death of 17 people due to these related diseases, taking the casualty count to 201 since January. Watch: Assam flood takes its toll on people and animals Four people lost their lives and two one-horned rhinos drowned in Kaziranga National Park (KNP) on Tuesday as Assam continued to reel under floods and rain-induced landslides. The day also saw Union Jal Shakti Minister Gajendra Singh Shekhawat inspecting some of the worst-hit areas and the Centre releasing ₹251.52 crore as part-payment for relief and rescue operations in the State.Nearly all districtsAssam State Disaster Management Authority (ASDMA) officials said this year’s flood has spared only one of the State’s 33 districts, affecting 44.96 lakh people across 4,620 villages. More than 1.01 lakh people have taken refuge in 226 relief camps while 562 relief distribution centres have been established.center_img Assam faces floods againVolume 90%Press shift question mark to access a list of keyboard shortcutsKeyboard ShortcutsPlay/PauseSPACEIncrease Volume↑Decrease Volume↓Seek Forward→Seek Backward←Captions On/OffcFullscreen/Exit FullscreenfMute/UnmutemSeek %0-9Live00:0001:2401:24  last_img read more

Maoists set fire to six trucks, three earth movers in Chhattisgarh

first_imgDays after two security camps were set up in Dantewada district, Maoists set ablaze six trucks and three earth movers at the National Mineral Development Corporation compound at Kirandul in the district. “The incident occurred at 11 a.m. at a construction site. The trucks belonged to a private contractor employed by the NMDC. Maoists fled the spot after setting the trucks ablaze,” said Sundarraj P., Deputy Inspector General of Police, South Bastar Range. The Maoists were feeling the heat after permanent security camps were set up in Potali and Chikpal in the district, he added. “This is their standard modus operandi to make their presence felt. This way, they try to boost the morale of tribals.”Stating that roads were being constructed in the area, Mr. Sundarraj said the security forces have launched a search operation. On November 12, the police had fired in the air to disperse a crowd of 500 villagers that descended on the Potali security camp to oppose it. A day later, the police claimed it held a “positive interaction” with those residing within the camp’s security perimeter. In June, the tribals forced the NMDC to stop operations at five iron ore mines at the Bailadila hills for six days, protesting against a mining proposal at a hill they consider sacred. Meanwhile, the Sukma police have gunned down two Maoists in the Chintagufa police station limits and recovered a hoard of arms and ammunitions, said a note from the police. Vanjam Bhima and Kawasi Soma, of the Jagargunda area committee, were part of a group that ambushed a police party. “The police fired in self-defence. The Maoists retreated into the forest and hills,” said the police.last_img read more

Fajardo shrugs off SMB’s first loss

first_imgTrending Articles PLAY LIST 00:50Trending Articles00:50Trending Articles01:02Fajardo predicts there will be no sweep in PBA Finals01:29Police teams find crossbows, bows in HK university01:35Panelo suggests discounted SEA Games tickets for students02:49Robredo: True leaders perform well despite having ‘uninspiring’ boss02:42PH underwater hockey team aims to make waves in SEA Games01:44Philippines marks anniversary of massacre with calls for justice01:19Fire erupts in Barangay Tatalon in Quezon City Brace for potentially devastating typhoon approaching PH – NDRRMC 2 ‘newbie’ drug pushers fall in Lucena sting John Lloyd Cruz a dashing guest at Vhong Navarro’s wedding WADA probes possible flaw in test bottles Read Next LATEST STORIES PBA IMAGESWith Ginebra’s Jervy Cruz and Raymond Aguilar stepping up, June Mar Fajardo admitted that the unheralded bruisers’ performance against San Miguel on Sunday was further proof of how strong the Gin Kings are.“We know how good they are. They’re a championship-contender team and they made good adjustments in the second half,” Fajardo said in Filipino.ADVERTISEMENT Slow and steady hope for near-extinct Bangladesh tortoises NEXT BLOCK ASIA 2.0 introduces GURUS AWARDS to recognize and reward industry influencerscenter_img Globe Business launches leading cloud-enabled and hardware-agnostic conferencing platform in PH Kammuri turning to super typhoon less likely but possible — Pagasa Don’t miss out on the latest news and information. Typhoon Kammuri accelerates, gains strength en route to PH Sans lead big man Greg Slaughter, Cruz and Aguilar combined for 33 points and nine rebounds in the Gin Kings’ 100-96 victory over the Beermen.Fajardo tried his best to keep San Miguel afloat but failed to rescue the Beermen despite his mammoth stat line of 33 points, 11 rebounds, four assists, and four steals.FEATURED STORIESSPORTSWATCH: Drones light up sky in final leg of SEA Games torch runSPORTSLillard, Anthony lead Blazers over ThunderSPORTSMalditas save PH from shutoutBut rather than feel down with the loss, the reigning four-time PBA MVP sees the first defeat of the 2018 PBA Philippine Cup as a reality check of sorts.“It happens. We can’t win all of our games. So we have to move on and learn from our lapses,” he said as he rued the Beermen’s 18 turnovers in the matchup. San Miguel still sits atop the standings at 5-1, but the Cebuano giant knows that his squad can’t be complacent as it seeks to bounce back on Sunday against red-hot Magnolia.”It’s a good thing that it happened to us midway through the conference, so we still have time to adjust. But we need to move on and win our remaining games,” he said. MOST READ View commentslast_img read more