The settings established here pertain to new plans setup under the Investment Planning tab.
The drop down menu located next to Default Market Assumptions for New Plans allows you to choose the default Market Assumptions that will be used to produce the Efficient Frontier and Wealth Forecast within any new investment plan created. The three standard Market Assumptions provided by Morningstar are:
Morningstar Basic: This is the standard set of market assumptions. The degree of granularity falls in between the Morningstar Consolidated market assumptions and the Morningstar Expanded market assumptions.
Morningstar Consolidated: This is the broadest set of market assumptions, and will populate the broadest set of asset classes.
Morningstar Expanded: This is the set of market assumptions with the highest degree of granularity.
The ability to create your own set of market assumptions is available under the Workspace tab of Morningstar Office. If you have created a custom set of market assumptions, this will be an available choice in the drop down options as well.
In the Default Planning Benchmark field, click the magnifying glass icon and select the benchmark you want to use for all new plans. If you would like to return to the original setting, click the Restore button.
By checking the box next to Show Asset Allocations associated with selected Market Assumptions on Efficient Frontier Graph, the asset allocations with varying risk levels will be plotted on the Efficient Frontier Graph. For example, if the default market assumptions chosen are the Morningstar Basic assumptions, the graph will automatically plot the point on the graph where the very conservative, conservative, moderate, moderately aggressive, and aggressive asset allocation of the Morningstar Basic assumptions would be.
Place a check in the box next to the option to Include liquidated holdings in Securities List by default to include securities that have been liquidated from accounts.
Click OK to save these options for all newly created Investment Plans, or click Cancel to leave the screen without saving any changes.