Efficient Frontier: Graph

1. Click on the different segments of the efficient frontier curve to select an asset allocation for the client. As you click different segments, the corresponding asset allocation, return, and standard deviation data will appear in the Proposed Asset Allocation area.

2. The initial curve shown assumes no constraints on any of the 14 asset classes. If you'd like to limit the exposure to any  particular asset class (for example, limiting international stock to no more than 15% of the overall allocation), click . The Edit Constraints dialog box opens. Type in desired minimum and maximum percentages for asset classes. Click OK. A new efficient frontier curve will be drawn, reflecting your desired constraints.

3. If you want to edit the market assumptions used in creating the efficient frontier graph, click . (Changes made to market assumptions will affect results of efficient frontier plans and goal-based plans for all of your client files.)

4. When you have selected your desired asset allocation, click . The Recommendations screen opens.

Tip: Click to copy the graph and paste it in a document.