Retirement Asset Allocation Models | American Funds

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Retirement Planning

Retirement Asset Allocation Models

Use our retirement asset allocation models to build a retirement investment portfolio based on your time frame.

How do you know which investments to include in your retirement portfolio? Your selections will help determine the health of your finances in retirement.

Ideally, your mix of investments would grow enough to support you in retirement while buffering you from the ups and downs of market fluctuations. But how do you find the right combination of investments?

Your financial professional can work with you to create a customized savings plan. Together, you should assess your overall situation, including your other assets, specific financial needs and risk tolerance.

You can also use the American Funds asset allocation models as a guide when choosing your investments. This collection of sample portfolios was designed for investors based on their retirement time frames. The fund categories shown — growth, growth-and-income, equity-income/balanced and bond — are commonly found in retirement plans. Find the model designed for your time frame below.

Asset Allocation for Retirement

Click on any model for more details and to see how the portfolios compare.

Fund Categories

Growth funds provide the highest potential risk and reward, followed in order by growth-and-income, equity-income, balanced and bond funds. Your company’s retirement plan may not offer funds in every investment category.

Models Balance Risk and Return Based on Time Until Retirement

It makes sense for younger investors to invest with the goal of achieving higher returns so that their retirement savings grow and stay ahead of the rate of inflation. As retirement approaches, older investors tend to move into investments with less risk in an effort to protect the money they’ve saved.

That’s how our asset allocation models were designed. Model A puts heavy emphasis on growth for younger investors. Models B, C and D each focus more on income and lower volatility than the preceding model.

If you find yourself more than 10 years into retirement and more dependent on your savings, you may want to consider investing mainly in funds that aim to preserve what you’ve saved.

Reassess Your Investment Mix Regularly

Because your needs, goals, portfolio and situation may change over time, be sure to re-evaluate your investment strategy at least once a year. You can always choose a different model or create your own mix.

Models Are Not Investment Advice

Remember that the models are intended only as a general guide. Your financial professional can help you decide if the models make sense for you. Whether you use the models or not, you’ll need to decide which specific funds to invest in.


Investments are not FDIC-insured, nor are they deposits of or guaranteed by a bank or any other entity, so they may lose value.

Investors should carefully consider investment objectives, risks, charges and expenses. This and other important information is contained in the fund prospectuses and summary prospectuses, which can be obtained from a financial professional and should be read carefully before investing. 

The return of principal for bond funds and for funds with significant underlying bond holdings is not guaranteed. Fund shares are subject to the same interest rate, inflation and credit risks associated with the underlying bond holdings.