e growth portfolio consist of 100% stocks, it is high risk with high return, and should be entered into for at least 10 years. A growth portfolio consist of 70% stock, 25% bonds, and 5% money market, it is high risk with high return and is entered into for at least 7 years. Of these two strategies only a growth portfolio gives the investor some liquidity in the form of the money market mutual fund. A balanced portfolio consist of 50% stock, 40% bonds, and 10% money market, it is of lower risk and lower return and is entered into for at least 4 years. A conservative portfolio consist of 20% stock, 50% bonds, and 30% money market, it is low risk and low return and is entered into for a period of 2 to 4 years. Of these two strategies both are still yielding a return higher than alternatives such as a bank certificate of deposit or savings account. Lastly, a short-term portfolio consist of 100% money market mutual funds, it is a low return and usually invested in for less than 2 years. Note: MMMF are not FDIC.Table 3 displays several bond funds, their risk, and their return yield. To achieve the stock market average of 12% over a period of 15 20 years, it is important to include stock funds or individual stocks to ones portfolio. Municipal bonds and bond funds have the advantage of being having tax-free interest, however, they have a lower return on average than a corporate bond fund.Table 3. Bond Funds Managing CompanyTypeRiskYieldUSAA Income FundLong-Term Bondhigh6.48%USAA Growth & Tax Strategy FundDomestic Hybridlow2.76%USAA VA BondMuni Single State Long-term bondaverage5.49%Dreyfus Insured Muni BondMuni National Long-term bondhigh4.99%Dreyfus Institutional Short Term Treasury FundShort-term government bondlow5.58%Kemper State Tax-Free Income Ohio Class AMuni Single State Long-term bondaverage4.65%Kemper Short-term US Government Class AShort-term government bondlow5.16%Kemper Municipal Bonds Class AMuni National Long-term bo...
