Participant Education

Johnston Investment Counsel works in conjunction with the client's record keeper to fully communicate the plan's characteristics and the various investment options that have been selected. In terms of investment education, Johnston Investment Counsel concentrates its information on the following key areas:

• Benefits of Participating
• Developing an Appropriate Asset Allocation
• Equity Diversification
• Bond Diversification
• Investment Option Description
• Portfolio Construction

Benefits of Participating

• Describe the plan's characteristics and why the participant should contribute.
• The importance of time in planning for retirement.
• Examples of how much to save.

Developing An Appropriate Asset Allocation

• Key factors to consider (cash flow, time horizon, risk tolerance).
• Historical capital market returns.
• "Typical" asset allocation ranges.

Equity Diversification

• What equity diversification is and why it is important.
• Equity market investment styles (company size, investment approach, international).
• Active vs. passive management.
• "Typical" equity allocation ranges.

Bond Diversification

• What bond diversification is and why it is important.
• Bond market investment styles (quality, maturity, international).
• "Typical" bond allocation ranges.

Investment Option Description

• Describing the key characteristics of the plan's investment options.
• Performance and risk characteristics.
• Fund expenses.

Portfolio Construction

• Examples of constructing well-diversified portfolios.

 

Home . Sitemap . Client Login . Contact Us
Welcome To JIC . Investment Management . Investment Consulting . Financial Planning . Retirement Plans . Research