Investment Options

Key Private Bank offers various investment options for our Special Needs Trusts (SNT). The investment objective for your portfolio is developed in conjunction with a review of your financial resources and goals, an evaluation of your risk preference, and rate of return objectives.

Return Objective Risk Tolerance
 

Cash Equivalents

Appropriate for investors who desire no principal volatility with competitive market returns. Low – Preservation of principal is sole objective.
 

Income

Appropriate for investors who desire high current income with a Moderate/Average risk profile. Moderate/Average – High levels of current income with moderate principal volatility.
 

Income/Growth

Appropriate for investors who desire moderate growth, modest current income and have an Average risk profile. Average – Average principal risk with average inflation protection
 

Balanced

Appropriate for investors who desire moderate growth, modest income and have an Average/Above Average risk profile. Average/Above Average – Moderate to above average risk with above average inflation protection.
 

Growth/Income

Appropriate for investors who desire moderate growth with a secondary provision for income and an Above Average/High risk profile. Above Average/High – Moderate to above average risk with above average inflation protection.
 

 

Growth

Appropriate for investors who desire long-term growth, have minimal income needs, and accept volatility of principal through an Above Average/High risk profile. Above Average/High – Risk can be substantial with aggressive investments to seek high returns.

Allocation Guidelines

Cash Equity Fixed Income Real Assets Alternatives
Cash Equivalents 100% 0% 0% 0% 0%
Income 0% – 20% 10% – 30% 65% – 85% 0% – 10% 0% – 20%
Income/Growth 0% – 20% 30% – 50% 45% – 65% 0% – 10% 0% – 20%
Balanced 0% – 20% 40% – 60% 35% – 55% 0% – 10% 0% – 20%
Growth/Income 0% – 20% 50% – 70% 25% – 45% 0% – 10% 0% – 20%
Growth 0% – 20% 70% – 90% 5% – 25% 0% – 10% 0% – 20%

Please note that choosing the investment option that is most appropriate to your needs, we also consider the amount of funds in the trust, the frequency of disbursements, and your comfort with fluctuation int he account value (e.g. risk tolerance).

 

For investments over $250,000, you may wish to speak with Key Private Bank’s Portfolio Manager.

 

For a copy of the Weekly Investment Newsletter from Key Private Bank, please see below.

July 3, 2017

July 10, 2017

July 31, 2017

August 7, 2017

August 14, 2017

If you have more questions, please contact the Trust Team.