Yield based on the most Aggressive Target Income portfolio. Choose from four different portfolio strategies, ranging from 4.53% to 5.81%.
Blended 30-day SEC yield as of 12-21-2024.
BlackRock Target Income
Performance
- Average outcome
- Outcome range
Total returns | +6.1% |
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Annualized returns | +6.1% |
Starting balance | $50,000 |
Projected balance | $53,066 |
This investment analysis tool presents hypothetical outcomes. Modeled portfolio performance is based on the selected portfolio strategy, risk level, account type, initial investment, and Betterment's management fees. Projected performance assumes the portfolio maintains the target allocation for the entire period, is composed of its primary funds, includes fund fees, and reinvests dividends immediately. Individual performance results may vary over time.
This investment analysis tool lets you explore a model portfolio's performance and projected returns, based on the user's inputs. Inputs represent choices Betterment users see in their accounts, but outcomes presented in this tool are hypothetical and do not represent individual outcomes. All individual performance is dependent on the specific timing of individual trades into and out of the portfolio's funds. Actual results will vary.
The tool allows users to select one of several portfolio strategies offered by Betterment, and to customize their allocation based on a user's desired risk tolerance for their goal.
The tool's default state shows a $50,000 deposit, which represents a realistic scenario of an individual investor accumulating assets for a long or medium-term purpose, such as retirement. You may adjust your initial deposit amount based on the amount you anticipate contributing to your goal. The initial deposit amount balance is used to display the charts' default visualization net of Betterment's management fee, which is 0.25% for a $50,000 balance. Betterment's standard management fee for balances below a $20,000 balance may be as much as $4 per month as displayed in this tool. When “Premium management fees” is selected, 0.40% is added to 0.25% for a total fee of 0.65% annually. Users should use an amount closest to their realistic deposit size to get as realistic a net-of-fees projection as possible. See pricing details. The option to exclude management fees from the performance tool is meant to allow clients to understand the impact of fees on hypothetical performance, and clients should understand that their actual performance will be net of fees.
The model's historical performance and projections assume:
- The portfolio is assumed to always be at its target weights. In reality, Betterment executes rebalances only when the portfolio's drift surpasses a certain level. Actual results will vary based on exact market conditions.
- The selected allocation is the same for the entire period; the tool does not account for allocation adjustments, neither automated nor ad hoc.
- All dividends are reinvested as soon as they're received, which is in line with Betterment's practices (though actual time of reinvestment may vary and is dependent on timing of trades).
- Prices are based on market close, and rounded to the nearest penny.
- The portfolio uses the primary funds for the portfolio; no secondary funds (used for tax-loss harvesting) are incorporated into the models for the tool's performance display.
- For net-of-fees views, all fees are calculated daily, except for when Betterment's $4 monthly fee applies (when balances are below $20,000), which is calculated monthly.
Projections utilize Betterment's standard goal projection methodology. This methodology relies on a forward-looking calculation of expected returns, which we use to forecast a range of probable outcomes.
The default state for the BlackRock Target Income Portfolio is the Aggressive Target Income strategy, one of four selections available for this bond-only portfolio. 3 other allocations can be selected. The default state for the BlackRock Target Income Portfolio display shows one year projected performance. The portfolio performance display also includes historical performance from the portfolio inception date of Sept. 13, 2017, and historical performance includes all portfolio model changes and fund selection decisions since that date.
No default state in the tool should be taken as a recommendation; Betterment's investment advice is made available to clients through its application.
Holdings | Based on the Aggressive portfolio allocation |
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Additional Resources
BlackRock Target Income Portfolios DisclosureAllocations as of Feb. 7, 2024
This portfolio strategy has 4 different allocation options to choose from. The “Aggressive Income” portfolio has been selected to show the underlying funds of the other portfolio allocations. Different allocations will have different weights of each asset class. This is not a recommendation to select the “Moderate Income” portfolio as individual client risk tolerance can vary. The holdings shown reflect the portfolio model for tax-deferred accounts, like IRAs or 401(k)s. Expect differences in taxable accounts.
Invested with benefits.
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Tax Savings.
Automated and optimized tax strategies designed to help minimize tax impact on returns. -
Lower costs.
Keep more money in your portfolio with low-cost exchange-traded funds (ETFs) and our transparent pricing.
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Adjusts automatically.
Your investments are rebalanced as the market moves once at the minimum account balance, with dividends getting reinvested.