The Balanced portfolio invested 70% of the plan in a money market fund FRTXX and the PIMCO bond fund PTTRX. The company stock EMN in spite of a 95% return in 2009 barely had a positive 5yr Sharpe ratio of 0.03. Another example of volatility killing compunding. The stock 5yr average return was 13.5% but the annualized return was 4.48% with a standard deviation of 51.87%. The employee portfolio had 16.2% of the portfolio in company stock which more than doubled their volatility risk.
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