Securing Your Future for the Long-Term
MMBB preaches several principles of sound investing. Adopt a long-term investment strategy. Diversify your portfolio. And, periodically, review and assess your opportunities and your risk tolerance.
There are certain principles to which MMBB adheres in constructing the range of investment options members can choose:
- Know your risk tolerance – MMBB offers a range of investment options, everything from the low volatility Money Market and Stable Value Funds to the International Blended Equity Fund. They tend to produce different returns over time and they tend to vary in the level of volatility that members experience when investing in each. Be sure to take a look at the scatter diagram depicting these differences so that you can compare the options and select which one or ones are right for yourself. Do you know your tolerance of risk? If not, take this investment risk tolerance quiz from Rutgers University.
- Be diversified – Diversity is one of the accepted tenets of investing, both for individuals and for institutions like MMBB. Why? A diverse mix of asset classes in your portfolio can moderate the volatility you experience compared to a portfolio concentrated in just the higher returning asset classes. At the same time, your return will likely be higher, over extended periods of time, than if you concentrated your investments in just the lower risk asset classes. MMBB offers two multi-asset class funds, the Balanced Fund and the New Horizons Fund, for those seeking a convenient way to diversity their investments. But you can certainly mix any of our options to create a custom portfolio tailored to your specific investment goals and comfort with risk.
- Get the best talent available – Take a look at the names of the money managers of each investment option. Through MMBB, you get access to some of the premier names in the business. Guided by our investment committee and chief investment officer, MMBB scouts out the best managers and brings their talents to bear in the management of your portfolio..
- Mind the expenses – One of the advantages of being an MMBB member is that your assets become part of a multi-billion dollar pool at cost levels only available to large institutions. As a not-for-profit financial services institution, MMBB’s ministry is to offer high quality investment options to those working at Christian institutions. To achieve that mission, MMBB constantly looks for the most cost efficient ways to manage your investments.