Asset allocation outlines the peer groups offered to the client and is specified in the Investment Policy Template. There are three options when applying an asset allocation to an Investment Policy and they are found below:
Peer Group Name Only
This option displays the peer groups being offered to a client. This option is used for Participant Directed Plans and other clients that do not have a targeted allocation.
With Targets & Ranges
This option displays the peer groups being offered and provides the opportunity to establish the target percentage allocation alongside the upper and lower limit constraints. These constraints will aid with re-balancing.
This option is used for Individual Clients, Trusts, Foundations/Endowments and Committee Directed clients.
This option does not display any asset allocation guidelines in the Investment Policy Statement nor does it track the asset allocation within the monitoring report. It essentially lets you skip the asset allocation step.
Either option will impact the areas of action section in the Monitoring Report.