Newport Group Securities, Inc. ("The Newport Group"), a well-respected provider of asset management and retirement services, has designed a set of model portfolios that are expected to achieve various rates of return with the lowest amount of risk. How do they do this?
Risk
None
Some
High
Return %
4.0
4.5
5.0
5.5
6.0
6.5
7.0
7.5
8.0
8.5
9.0
Click a rate of return to see its model portfolio, risk, standard deviation, as well as appropriate time horizon and goals.
You should use these models only as a rough tool or starting point for your target asset allocation.
Remember, these models are based on commonly accepted asset allocation principals and The Newport Group's
assumptions about the long-term performance of the economy. These assumptions may not turn out
to be correct.
While The Newport Group created these model portfolios to span a wide risk/reward spectrum, it is ultimately your responsibility to accept, reject or modify the model allocations.
The expected rates of return shown are forecasted long-term averages. Actual rates of return in any given year or over a specific span of years may vary, sometimes significantly.
The model allocation does not reflect the performance of actual investments. It reflects only the performance of asset classes as measured by commonly accepted indices, and reflects reinvestment of dividends and other earnings.
Actual investments are subject to transaction costs and other fees, as well as taxes, all of which reduce a portfolio's rate of return.
Although The Newport Group is a well-respected provider of asset management and retirement services, Intuit has not verified and cannot guarantee the accuracy of The Newport Group's information or the formulas used to generate expected returns and model allocations.
