The purpose of this paper is to detail the various tasks and processes Link Plan Management (LPM) performed pertaining to the research and construction of portfolios for plan members.

Our principal goal is to ensure the risk profile of a plan member is properly matched to a diversified investment portfolio which will assist them in realizing their investment objectives and financial goals.

Plan participants have two portfolio options available to them. The first is a customized solution tailored to a plan members’ unique risk tolerance, time horizon and investment objectives. The portfolio is constructed based on responses to Links’ proprietary investor profile questionnaire that the plan member completes. All of Links’ questionnaire-based portfolios use low-cost, Index-Tracking Exchange Traded Funds (ETFs) and are rebalanced on a regular basis to ensure a plan members’ asset allocation stays consistent with the risk profile established during the sign-up phase. The second option, or the default option, is a Target Date Fund managed by Fidelity Investments Canada. If a plan member does not wish to do the questionnaire their contributions will be invested in the Target Date Fund.

Links’ Portfolio Management process consists of the followings steps:

  • Establishing an Asset Allocation Strategy
  • Determining Which Asset Classes to Use
  • Selecting ETFs to Use in the Portfolios
  • Determining a Plan Participants’ Risk Profile and Investment Objectives
  • Ongoing ETF Monitoring and Portfolio Rebalancing

Whitepaper – LINK Investment Management Process (PDF)