Example 2: Nearing Retirement. Allen has been investing on his own in his company's 401(k) plan. Because he's retiring in just two months, he recently met with an advisor to review his portfolio and seek professional advice. He has reduced his allocation to stock funds and increased bond and money market fund holdings to help reduce the ups and downs in portfolio value. However, he still invests a significant portion of his retirement savings in stock funds, since he expects a retirement of 25 or more years and needs to continue seeking some asset growth to balance the potential effects of inflation.
|
Previous allocation |
New allocation |
| Stock funds |
80% |
50% |
| Bond funds |
15% |
35% |
| Money market funds |
5% |
15% |
Example 3: Job Change. At age 35, Kyle was recently downsized out of an executive position. She's maintained both a 401(k) account and another investment account. She's just consulted both a headhunter and a financial advisor, and the advisor has recommended a change in her non-401(k) portfolio to help protect its current value from the ups and downs of the market. Unlike her 401(k) investment, this other account may be needed for income while she's between jobs.
|
Previous allocation |
New allocation |
| Stock funds |
90% |
65% |
| Bond funds |
10% |
20% |
| Money market funds |
0% |
15% |
Taxable or tax-advantaged bond funds?
Generally, tax-advantaged investments are not appropriate for tax-deferred retirement investing, since your contributions and their earnings in a retirement plan aren't subject to current taxes. However, in a non-retirement account, tax-advantaged investments can be beneficial.
Your financial advisor can help you determine whether there might be a benefit for you in tax-advantaged bond funds. But regardless of your decision, chances are you'll find a Calvert bond fund that's appropriate for your goals and time horizon:
The fund company's reputation
Talk with your financial advisor about any mutual fund company you might be considering for bond fund investing.
We think your advisor will tell you that Calvert is a recognized leader in fixed-income investing, with a competitive history of sound financial performance. And, because different companies approach bond fund investing differently, they'll be sure to emphasize Calvert's own FourSightTM management strategy, which simultaneously manages duration, monitors the yield curve, optimizes sector allocation, and analyzes credit. Some other fund companies only use one or two of these strategies, but we've learned through experience that employing all four is critical to finding the most attractive opportunities in any market.
In addition, corporate responsibility has been a cornerstone of Calvert's investment philosophy and business conduct, inside and outside the company.
Calvert offers its employees innovative opportunities, including alternative work programs and flexible benefits. The company has been selected as one of the 100 Best Companies in America for Working Mothers each year since 1993 in surveys conducted by Working Mother magazine. In 1997, Calvert's work/life programs received national recognition in BusinessWeek magazine.
Calvert also strives to give back to the community through a company-sponsored community outreach program, which encourages employees to take time out from their work schedules to participate in community service activities.
From our quality investing programs to the way we conduct our business, we've demonstrated a commitment to responsibility and integrity throughout our history.
Talk with your financial advisor today about which Calvert fixed-income investments may be best suited to your needs and overall investment profile. If you don't have a financial advisor, use our free Advisor FinderTM Service to locate a qualified investment professional in your area. You can also contact our Sales Department at 800.368.2748.
