Throughout your life, your financial objectives and needs can change dramatically and your financial portfolio should anticipate and keep pace with those changes.

The following examples feature different types of investors at different life stages and sample portfolios which are best suited to meet their needs. These examples are provided as a guideline for structuring a portfolio tailored to meet a particular situation.

The percentages shown are merely illustrative and not intended to represent a recommendation for your personal situation.

Young Professionals

Investment Goal:
Maximum long- and short-term growth.
Singles and couples have the advantage of time in planning their investment future. With no dependents and no need to supplement income, they can afford a relatively high degree of risk.

• Growth funds to maximize capital over the long- and short-term.
• A tax-free money market for savings and to reduce taxes on current income.
• An IRA or retirement plan to maximize tax-deferred income.
• Automatic monthly investments should be started now.

Peak Earners with Older Children

Investment Goal:
Current income and long-term growth; reduce tax liability.
With older children nearing college, there is a need to maximize current income, while taking advantage of these high-earning years to accumulate assets for retirement. Taxes also are a significant concern.

• Invest equally in blend funds for growth, and bond funds to maximize income.
• Invest the remainder in money market funds for cash reserve.

Working Family with Young Children

Investment Goal:
Long-term growth without high risk.
Working couples with children need to build assets while still meeting major needs -- a new home, retirement and education. Combined income puts them in a high tax bracket, so they need to lessen their tax burden and fund IRAs or other retirement plans.

• Growth funds.
• Municipal bond funds and tax-free money market funds to maximize safety and tax-free income.
• Continue or increase automatic investments.

Empty Nesters

Investment Goal:
Current income and growth with added stability.
Free from child-rearing expenses and education, it's time to invest in safer, more conservative funds for tax-free income, along with growth funds to continue to build assets for retirement.

• A mix of short-term and long-term municipal bond funds provides tax-free income.
• Divide the remainder between growth funds and a money market for cash reserve.

Retirement

Investment Goal:
Current income and safety of principal.
The culmination of your lifetime planning, retirement is a time to enjoy income from investments and IRAs, but not a time to stop investing. Safety is a priority now, as well as current income. Your income tax bracket may have dropped making tax relief  no longer an issue.

• Divide investments equally among money market funds, bond funds and value funds.