- Model Portfolios contain no actual client performance data. Model Portfolios were created to depict how particular asset allocations have performed historically.
- While most of clients have invested their portfolio in accordance with one or combination of our Model Portfolios, some clients have customized portfolios, which contain securities that differ from what is portrayed in our Model Portfolios. This may result in performance figures materially different from the figures portrayed in the model.
- Model Portfolios returns were generated using actual live fund data and historical index data. DFA Fund data is provided through DFA Returns Software. All other fund data is derived from Morningstar Advisor Workstation. Please see the Model Folio Asset Classes page for details of the data sources.
- Model Portfolios do not reflect the deductions of advisory fees, trading commissions, or any other expenses that client would have paid. We charge a flat advisory fee that ranges from $1,000 to $5,000. Since we do not charge a percentage based on assets under management, we are unable to post Model Portfolio returns with advisory fees deducted.
- Model Portfolio returns are calculated taking dividend reinvestments into consideration. Client portfolios may or may not reinvest dividends at the discretion of the client.
- As of January 2014, ALL Model Portfolios will be rebalanced annually. We learned from our past experiences, most clients are hesitant to rebalance monthly due to incurring high trading costs and capital gains in taxable accounts. Annual rebalancing will also apply to our back-tested annualized returns and will be updated accordingly. Previously up to December 2013, our Model Portfolios were rebalanced monthly.
- Past performance does not guarantee future results. Performance of clients invested in accordance with the Model Portfolios will vary from the posted performance due to advisory fees, timing of the deduction of the advisory fee, market fluctuations, trading costs, portfolio cash flows, custodian fees, and frequency and precision of rebalancing.
- As with any other investment, there is potential for profit as well as the possibility of loss investing in our Model Portfolios.
- There are inherent limitations in model and back-tested results, particularly the fact that such results did not represent actual trading and that they may not reflect the impact that material economic and market factors might have had on the adviser’s decision making if the adviser were actually managing clients’ money.
- Vanguard Global and International Equity Model Portfolios have no exposure to International Real Estate unlike DFA and WisdomTree Global and International Equity Model Portfolios.
- The following are the investment objectives for DFA Target Model Portfolios:
|Model Portfolio||Investment Objective|
|DFA Target 10||A globally diversified portfolio with a target equity allocation of 10% and a fixed income allocation of 90%|
|DFA Target 20||A globally diversified portfolio with a target equity allocation of 20% and a fixed income allocation of 80%|
|DFA Target 30||A globally diversified portfolio with a target equity allocation of 30% and a fixed income allocation of 70%|
|DFA Target 40||A globally diversified portfolio with a target equity allocation of 40% and a fixed income allocation of 60%|
|DFA Target 50||A globally diversified portfolio with a target equity allocation of 50% and a fixed income allocation of 50%|
|DFA Target 60||A globally diversified portfolio with a target equity allocation of 60% and a fixed income allocation of 40%|
|DFA Target 70||A globally diversified portfolio with a target equity allocation of 70% and a fixed income allocation of 30%|
|DFA Target 80||A globally diversified portfolio with a target equity allocation of 80% and a fixed income allocation of 20%|
|DFA Target 90||A globally diversified portfolio with a target equity allocation of 90% and a fixed income allocation of 10%|
|DFA Target 100||A globally diversified portfolio with a target equity allocation of 100% and a fixed income allocation of 0%|
FPL Capital Management, LLC is a Registered Investment Adviser. Advisory services are only offered to clients or prospective clients where FPL Capital Management, LLC and its representatives are properly licensed or exempt from licensure. This website is solely for informational purposes. Past performance is no guarantee of future returns. Investing involves risk and possible loss of principal capital. No advice may be rendered by FPL Capital Management, LLC unless a client service agreement is in place.
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