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Vought Aircraft Industries, Inc.
Savings and Investment Plan
to maximize your return for the level of risk that is appropriate for your retirement goals. For example, the Vought 2040 Fund is designed for participants at the beginning of their careers, while the Vought Retirement Fund is designed for participants who are already at or near retirement.
Choose your target fund
You should select the target fund that is closest to the date you plan to start withdrawing money from your account. For example, if you plan to retire in 2026 and to start withdrawing money from your account in 2029, you would select the 2030 fund.
If your target year falls between two portfolios, you may invest in the portfolio that most closely matches your tar-get date or you can invest in both portfolios. For example, if your target year is 2035, you can invest in both the Vought 2030 Fund and the Vought 2040 Fund. The Vought Target Date Retirement Funds are:
• Designed as complete investment solutions for participants in the SIP.
• A broadly diversified portfolio with a mix of stocks, bonds, and other securities based on a projected retirement date.
Owning just one fund will provide you with a well-diversi-fied retirement strategy managed by Barclays Global Investors, N.A.
How do they work?
You choose the portfolio – the Vought 2020 Fund, for example – that represents the approximate year when you plan to start withdrawing your money (usually when retirement commences). As time passes, the investment manager gradually shifts the investment mix from a greater concentration of higher-risk investments (stock funds) to a greater concentration of lower-risk investments (bond funds and money market instruments). As you get closer to retirement, the investment manager gradually adjusts the portfolio’s mix to try
If you have any questions about the Savings and Investment Plan (SIP), you can access the SIP website (SIP Online) at http://benefits.voughtaircraft.com or call the SIP toll-free line at 1-800-556-7380.
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Vought Target Date Retirement Funds
Make a one-stop choice for a well-diversified
retirement account
or
The Savings and Investment Plan (SIP) also offers the essential building blocks in the form of professionally- managed investments for you to create your own diver-sified investment portfolio. To build your portfolio, you should have a strategy that takes into consideration how much time you have to save and your comfort level with risk.
In general, higher-risk investments have the potential to earn more over time than low-risk investments. The trade-off, however, is that the value of riskier invest-ments may rise and fall dramatically, especially in the short term. All investments, including those made through the SIP, involve some degree of risk.
Diversification is a technique designed to reduce your over-all risk. By owning a mix of these funds, you can minimize the impact of one fund’s negative performance on your over-all portfolio value. Remember, when creating your own port-folio, it is important to understand each fund, diversify your assets and regularly review your asset allocation.
Use individual core funds to create
and monitor your own strategy
You can mix and match any of the core funds to create your own portfolio. For more details about these options, please refer to the additional investment fund infor-mation available at SIP Online or the SIP Line at
1-800-556-7380.
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Vought Core Funds
Build and monitor your own investment
portfolio of core funds
The Vought Core Fund Investment Choices
MAjOR ASSeTCLASS CORe FuNDS TYPe OF INVeSTMeNT
Stable Value Vought Stable Value Fund Conservative
Bond Funds Vought Fixed Income Fund Moderate
Domestic equity Vought Large Cap equity Fund Moderate/Aggressive
Vought Small Cap equity Fund Aggressive
International equity Vought Global equity Fund Aggressive
Along with the Vought Core and Target Date Retirement Fund choices, the SIP offers the Schwab Personal Choice Retirement Account ® (PCRA). Providing access
to over 2,400 mutual funds, the Schwab PCRA is a self-directed brokerage account within the SIP for knowl-edgeable investors who seek a greater role in managing their retirement savings. Contributions to the Schwab PCRA can only be made through the SIP. You can invest up to 75% of your SIP balance in the PCRA; the rest of your balance must be invested in Vought Core or Target Date Retirement Funds.
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Personal Choice Retirement Account
Select from no-load, mutual funds available through
Charles Schwab & Co. Inc. (member SIPC).
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To participate in the Schwab PCRA, you must enroll in the program with the required forms at SIP Online or by calling the SIP line at 1-800-656-7380. Special provi-sions apply to the Schwab PCRA, as there is an initial fee to open an account, fees to maintain an account, and minimum investment requirements.
For more information regarding the Schwab PCRA and enrollment, please visit SIP Online or call the SIP Line at 1-800-556-7380.