Nuveen model portfolios (“models”) are intended to illustrate how combinations of Nuveen affiliated products could be used to achieve the stated investment objectives. Results are inherently limited and do not represent actual results and may not account for the impact of the general market. Models are not automatically rebalanced; allocations may not achieve model objectives and are not guaranteed. Both the actual underlying Funds and model allocations may vary. Allocations are reviewed periodically and may change based on Nuveen's strategic and tactical views. There are no management or other fees at the model level; however fees apply for the underlying Funds as outlined in each Fund’s prospectus. The models’ risks are directly related to those of the underlying Funds, as described below. Allocations may not match a client’s actual experience from an account managed in accordance with the model portfolio allocation.
A word on risk
Mutual fund investing involves risk; principal loss is possible. There is no guarantee the Funds’ investment objectives will be achieved. Fixed income securities may be susceptible to general movements in the bond market and are subject to credit and interest rate risks. Credit risk arises from an issuer’s ability to make interest and principal payments when due, as well as the prices of bonds declining when an issuer’s credit quality is expected to deteriorate. Interest rate risk occurs when interest rates rise causing bond prices to fall. The portfolios’ income could decline during periods of falling interest rates. Investments in below investment grade or high yield securities are subject to liquidity risk and heightened credit risk. The issuer of a debt security may be able to repay principal prior to the security’s maturity, known as prepayment (call) risk, because of an improvement in its credit quality or falling interest rates. In this event, this principal may have to be reinvested in securities with lower interest rates than the original securities, reducing the potential for income. Non-U.S. investments involve risks such as currency fluctuation, political and economic instability, lack of liquidity and differing legal and accounting standards. These risks are magnified in emerging markets. These and other risk considerations, such as active management, derivatives, extension, illiquid investments, issuer, and income volatility risks, are described in detail in the Fund’s prospectus. Investments in debt securities issued or guaranteed by governments or governmental entities are subject to the risk that an entity may delay or refuse to pay interest or principal on its sovereign debt because of cash flow problems, insufficient foreign reserves, or political or other considerations. In this event, there may be no legal process for collecting sovereign debts that a governmental entity has not repaid. The risk that interest payments on, or market values of, inflation-indexed investments decline because of a decline in inflation (or deflation) or changes in investors’ and/or the market’s inflation expectations. The value of convertible securities may decline in response to such factors as rising interest rates and fluctuations in the market price of the underlying securities. Preferred securities are subordinate to bonds and other debt instruments in a company’s capital structure and therefore are subject to greater credit risk. Certain types of preferred, hybrid or debt securities with special loss absorption provisions, such as contingent capital securities (CoCos), may be or become so subordinated that they present risks equivalent to, or in some cases even greater than, the same company’s common stock. Prices of equity securities may decline significantly over short or extended periods of time. Large companies are more mature and may grow more slowly than the overall market. Growth stocks tend to be more volatile than other equities and can experience sharp price declines. Investments in smaller companies are subject to greater volatility than those of larger companies. Concentration in infrastructure-related securities involves sector risk and concentration risk, particularly greater exposure to adverse economic, regulatory, political, legal, liquidity, and tax risks associated with MLPs and REIT. The use of derivatives involves substantial financial risks and transaction costs. The real estate industry is greatly affected by economic downturns or by changes in real estate values, rents, property taxes, interest rates, tax treatment, regulations, or the legal structure of the REIT. Concentrating assets in a particular industry, sector of the economy, or markets may increase volatility because the investment will be more susceptible to the impact of market, economic, regulatory, and other factors affecting that industry or sector compared with a more broadly diversified asset allocation. A portfolio that tracks an index is subject to the risk that it may not fully track its index closely due to security selection and may underperform when factoring in fees, expenses, transaction costs, and the size and timing of shareholder purchases and redemptions. Fund investments in ETFs may involve tracking error. Please see fund prospectuses for additional risks and disclosure.
Portfolio allocations will be principally to funds managed by affiliates and to affiliated sub-advisers, which may present a conflict of interest.
CFA® and Chartered Financial Analyst® are registered trademarks owned by CFA Institute.
FRM® (Financial Risk Manager) is a trademark owned by the Global Association of Risk Professionals.
About the benchmarks
The model portfolios seek to deliver different levels of sustainable income, with a similar risk profile to their respective reference benchmarks.
Conservative Income Index Blend is comprised of a weighting of 8% S&P Municipal Yield, 20% S&P Municipal Bond Intermediate, 10% Bloomberg Barclays U.S. Aggregate Bond, 14% Bloomberg Barclay Global Aggregate Ex US Hedged USD, 8% ICE BofA BB-B US CP High Yield Constrained, 20% Bloomberg Barclays US Treasury Inflation Note 1-10 Year, 20% Bloomberg Barclay US Govt/Credit 1-3 Year. Moderate Income Index Blend is comprised of a weighting of 2% S&P Global Infrastructure Net, 19% S&P Municipal Yield, 20% S&P Municipal Bond Intermediate, 5% JPM EMBI Global Diversified, 11% Bloomberg Barclays U.S. Aggregate Bond, 9% ICE BofA BB-B US CP High Yield Constrained, 15% Bloomberg Barclays US Treasury Inflation Note 1-10 Year, 5% FTSE Nareit All Equity REITs, 14% Bloomberg Barclay US Govt/Credit 1-3 Year. High Income Index Blend is comprised of a weighting of 6% S&P Global Infrastructure Net, 2% Russell 2000 Value®, 7% Credit Suisse Leveraged Loan, 19% S&P Municipal Yield, 3% ICE BofA US All Capital, 18% S&P Municipal Bond Intermediate, 11% JPM EMBI Global Diversified, 2% Bloomberg Barclays U.S. Aggregate Bond, 20% ICE BofA BB-B US CP High Yield Constrained, 12% FTSE Nareit All Equity REITs. It is not possible to invest directly in an index.
Before investing, carefully consider fund investment objectives, risks, charges and expenses. For this and other information that should be read carefully, please request a prospectus or summary prospectus from your financial professional or Nuveen at 800.257.8787.
Featuring portfolio management by Nuveen Asset Management, LLC, an affiliate of Nuveen, LLC. The investment advisory services, strategies and expertise of TIAA Investments, a division of Nuveen, are provided by Teachers Advisors, LLC and TIAA-CREF Investment Management, LLC.
Nuveen Securities, LLC, member FINRA and SIPC.