Waddell & Reed

Managed Allocation Portfolios (MAP)

Sometimes getting from point A to point B is as easy as it seems... especially if you have the right map. When the journey involves charting your investment path, your Waddell & Reed Classic Advisor may recommend MAP – Managed Allocation Portfolios to help get you there.

MAP emphasizes asset allocation and determining an investment mix that provides the best balance for your financial goals. You’ll start with a questionnaire that pinpoints your financial goals and investment preferences then work with your advisor to match your profile to one of our model portfolios.

MAP offers a straight path to your financial goals and exclusive benefits to keep you in tune with your investment, including:

  • Customized investment models tailored to your objectives and risk tolerance. Your advisor will analyze your personal investment profile and recommend a mix of investments to help you meet your goals.
  • Financial planning services based on your MAP account type and household account size.
  • One flat fee based on a percentage of your assets. No per-trade commissions.1
  • Periodic portfolio rebalancing to keep your mutual fund mix aligned with your goals.
  • Online access to your account balance and other account specific information
  • Consolidated statement that allows you to monitor your MAP investment in an easy-to-read, easy-to-access format.
  • Independent analysis by Morningstar, the world leader in mutual fund research.2

(1) MAP Contingent Fee Disclosure - PROSPECTIVE MAP INVESTORS MUST READ CAREFULLY THE FOLLOWING DISCUSSION OF THE MAP CONTINGENT FEE BEFORE YOU DECIDE TO INVEST IN MAP.

Waddell & Reed compensates your Financial Advisor for services they provide in connection with the establishment of each MAP account. Waddell & Reed may advance to your Financial Advisor a portion of the first three (3) years of asset-based fees for investments in a MAP account. This payment is not deducted from the funds you invest in your MAP account. You also do not pay an upfront sales charge to Waddell & Reed upon the purchase of Waddell & Reed mutual funds in a MAP account. Instead, you will pay an asset-based fee as set forth in the Advisory Services Brochure for Waddell & Reed Classic Investment Advisory Programs.

If you terminate your MAP account for any reason or withdraw assets from your MAP account during the first three (3) years (except through certain types of withdrawals described in the Advisory Services Brochure for Waddell & Reed Classic Investment Advisory Programs), the compensation described above advanced by Waddell & Reed to your Financial Advisor will be recouped by deducting from your MAP account a contingent deferred sales charge calculated according to the following schedule:

  • First year: 3% of the amount invested in your MAP account (without giving effect to any appreciation in the account).
  • Second year: 2% of the amount invested in your MAP account (without giving effect to any appreciation in the account).
  • Third year: 1% of the amount invested in your MAP account (without giving effect to any appreciation in the account).

The three (3) year contingent deferred sales charge schedule described above applies to your initial and all subsequent investments into your MAP account and is in addition to the asset-based fee you pay Waddell & Reed and your Financial Advisor for investment management services. Consequently, the contingent deferred sales charge may act as a disincentive to clients who wish to terminate their MAP account for any reason or withdraw assets from their MAP account (except through certain types of withdrawals described in the Advisory Services Brochure for Waddell & Reed Classic Investment Advisory Programs). “Aged Shares” (Waddell & Reed Advisor and Ivy Funds Class A shares held at least three years, Class B shares held at least 6 years and Class C shares held at least one year) may be invested in the MAP Program and the contingent fee described above will not apply. However, any subsequent contributions of non-aged shares will be subject to a contingent deferred sales charge. You should know that the assessment of a contingent deferred sales charge on investment advisory transactions is not a customary practice. You should also know that Waddell & Reed offers other similar investment advisory products that do not impose a contingent deferred sales charge on the investments made into it.

These include:

  • MAPPlus - Available at a higher minimum investment and higher asset-based fee
  • MAPChoice - Available only through a Waddell & Reed Choice Advisor

If you want to learn more about these products, please ask your Financial Advisor for additional information.

(2) Independent analysis by Morningstar, the world leader in mutual fund research. Waddell & Reed, Inc. is not related to or affiliated with Morningstar

Consider all factors. Please remember that an investment in a mutual fund involves risk. The investment return and principal value of an investment will fluctuate, and shares, when redeemed, may be worth more or less than their original cost. Participation in a MAP account is not necessary to purchase mutual fund shares offered within the MAP Program. Shares of the mutual funds in MAP Program portfolios may be purchased directly from your financial advisor. However, these shares may have a front-end load or back-end charges, which do not apply to shares in the MAP Program portfolio. Some products & services may not be available with all accounts.

For a full description of MAP and other investment advisory products, including fees and expenses, review the Advisory Services Brochure for Waddell & Reed Classic Investment Advisory Programs and/or the Advisory Services Brochure for Waddell & Reed Choice Investment Advisory Programs, as appropriate depending on your investment needs and the product minimum qualifications for the products discussed in each brochure. Mutual fund expenses, as described in fund prospectuses, apply. Brokerage products purchased and sold in Choice investment advisory accounts are cleared through Pershing LLC. Securities products and investment advisory services are made available through Waddell & Reed, Inc., in its capacity as a broker-dealer and federally registered investment adviser.

A personal investment profile assesses your objectives, tolerance for risk and time frame and recommends one of our five MAP model portfolios, each comprised of an appropriate balance of asset classes and investment styles. Your advisor then works with you to recommend a mix of mutual funds to customize the portfolio to fit your investing personality.

MAP Model Portfolios

Conservative Income




Income




Conservative Growth




Growth




Aggressive Growth

These illustrations are designed to provide a general representation of each model's mutual fund holdings. These are hypothetical examples only and are not indicative of specific allocations the models will employ at any given time.

Consider all factors. Please remember that an investment in a mutual fund involves risk. The investment return and principal value of an investment will fluctuate, and shares, when redeemed, may be worth more or less than their original cost. Participation in a MAP account is not necessary to purchase mutual fund shares offered within the MAP Program. Shares of the mutual funds in MAP Program portfolios may be purchased directly from your financial advisor. However, these shares may have a front-end load or back-end charges, which do not apply to shares in the MAP Program portfolio.

Not all account types may be available on all platforms. Some products & services may not be available with all accounts. Brokerage, investment and financial advisory services are made available through Waddell & Reed, Inc., in its capacity as a registered investment adviser. Brokerage accounts cleared through Pershing LLC. For a full description of managed account services, including fees and expenses, review the Advisory Services Informational Brochure or Advisory Services Informational Brochure for your Choice Account.

Free financial planning through Waddell & Reed’s FOCUSPlan services extends your financial path. To ensure you stay on track, your advisor will meet with you periodically to discuss strategies and solutions to help you make informed investing decisions.

The level of financial planning services available varies based on your MAP account type and household account value.

Financial Planning Services available through MAP
MAP Household Value Available Financial Planning Services
$50,000 to $99,999 FOCUSPlan Select Module
FOCUSPlan Start-Up Plan
FOCUSPlan
$100,000 to $249,999 Any of the services above, plus:
FOCUSPlan Tax Sensitive
Wealth Forecasting Strategy
Investment Planning Strategy
$250,000 to $999,999 Any of the services above, plus:
FOCUSPlan Tax Sensitive with Detailed Cash Flow
Estate Planning Strategy
Business Planning Strategy
$1,000,000 and above Any of the services above, plus:
FOCUSPlan Premier

Consider all factors. Please remember that an investment in a mutual fund involves risk. The investment return and principal value of an investment will fluctuate, and shares, when redeemed, may be worth more or less than their original cost. Participation in a MAP account is not necessary to purchase mutual fund shares offered within the MAP Program. Shares of the mutual funds in MAP Program portfolios may be purchased directly from your financial advisor. However, these shares may have a front-end load or back-end charges, which do not apply to shares in the MAP Program portfolio.

Not all account types may be available on all platforms. Some products & services may not be available with all accounts. Brokerage, investment and financial advisory services are made available through Waddell & Reed, Inc., in its capacity as a registered investment adviser. Brokerage accounts cleared through Pershing LLC. For a full description of managed account services, including fees and expenses, review the Advisory Services Informational Brochure or Advisory Services Informational Brochure for your Choice Account.

The MAPIncome Program is intended for clients that are approaching or in retirement seeking protection from risks to their retirement income while also seeking appropriately allocated retirement portfolios that are properly positioned for the growth necessary for today’s extended retirement periods. This is accomplished by employing a strategy that uses a variable annuity (VA) with a guaranteed lifetime withdrawal benefit (Nationwide Destination Architect) to complement a traditional mutual fund portfolio (MAPIA) with appropriate asset allocation and systematic rebalancing. The guaranteed lifetime withdrawal benefit on the VA portfolio helps to create a consistent stream of income from the VA in retirement. This income is intended to supplement other sources of retirement income, reduce any identified gaps in required or desired retirement income and lessen potential income fluctuations from the total retirement portfolio.

MAPIA - A collection of mutual fund portfolios designed to help you continue accumulating assets during retirement.

Nationwide Destination Architect® - A deferred variable annuity with a guaranteed lifetime withdrawal benefit, commonly referred to as a VA+GLWB, to help you create guaranteed income for the rest of your life, subject to restrictions and limitations of the contract.

    The benefits you may receive with MAPIncome
  • Income for your lifetime
  • More income potential and less income risk
  • Investment models selected based on your investment objectives and risk tolerance
  • Financial planning tools, accessible at various levels of investment
  • Periodic rebalancing: systematic management to keep your portfolio position in line with your goals

Consider all factors. Please remember that an investment in a mutual fund involves risk. The investment return and principal value of an investment will fluctuate, and shares, when redeemed, may be worth more or less than their original cost. Participation in a MAPIA account is not necessary to purchase mutual fund shares offered within the MAPIA Program. Shares of the mutual funds in MAPIA Program portfolios may be purchased directly from your financial advisor. However, these shares may have a front-end load or back-end charges, which do not apply to shares in the MAPIA Program portfolio.

Not all account types may be available on all platforms. Some products & services may not be available with all accounts.

MAPIA is a mutual fund asset allocation product offered by Waddell & Reed, Inc., in its capacity as a registered investment adviser. An investor or prospective investor should review the fee, cost and payment information contained in the fund prospectuses and the MAP Advisory Services Brochure, in order to ensure that they are fully informed before making investment decisions and are aware of the potential conflicts of interest involved with MAPIA.

Variable annuities are contracts that purchased from an insurance company and are designed for long-term, tax-deferred investment, particularly for retirement. They will fluctuate in value, and their rate of return will vary with the performance of the investment options you pick within them.

If you take early withdrawals from a variable annuity:

  • You may have to pay a 10% tax penalty on top of ordinary income taxes
  • Your death benefit and cash value will be reduced

The guarantees annuities provide are subject to the claims-paying ability of the insurance companies that issue them. These guarantees don't cover the investment performance of the variable accounts, which is subject to investment risk, including the possible loss of the money invested.

Variable products are sold by prospectus. Both the product prospectus and underlying fund prospectuses for the Nationwide Destination Architect can be obtained from your investment professional or by writing to Nationwide Life Insurance Company, P.O. Box 182021, Columbus, OH 43218-2021. Before investing, carefully consider the fund’s investment objectives, risks, charges and expenses. The product prospectus and underlying fund prospectuses contain this and other important information. Read the prospectuses carefully before investing.

Nationwide is not affiliated with any third party that may be authorized by the contract owner to direct allocations, including Waddell & Reed and its affiliates.

Nationwide variable annuities are underwritten by Nationwide Life Insurance Company, Columbus, Ohio, a member of Nationwide Financial. The general distributor for variable annuity contracts is Nationwide Investment Services Corporation, member FINRA. In MI Only: Nationwide Investment Svcs. Corporation.

Nationwide Destination Architect is an individual, flexible premium, deferred variable annuity contract issued by Nationwide Life Insurance Company.

Morningstar Research Reports

Each quarter Morningstar provides an in-depth review and analysis of mutual funds listed below. Please note that Morningstar is paid a fee based partly on assets invested in the MAP Program.


Investment Grade Fixed Income Funds

Specialty Bond Funds

Domestic Large Cap Funds

Domestic Small/Mid Cap Funds

Global/International Funds

World/Allocation Funds

Sector Funds

Money Market Funds


 
Investment Grade Fixed Income
Waddell & Reed Advisors Bond (UNBDX)
Waddell & Reed Advisors Government Securities (UNGVX)
Waddell & Reed Advisors Municipal Bond (UNMBX)*
Ivy Bond (IBOAX)
Ivy Limited-Term Bond (WLTAX)
Ivy Municipal Bond (WMBAX)*
Specialty Bond
Waddell & Reed Advisors Global Bond (UNHHX)
Waddell & Reed Advisors High Income (UNHIX)
Waddell & Reed Advisors Municipal High Income (UMUHX)*
Ivy Global Bond (IVSAX)
Ivy High Income (WHIAX)
Ivy Municipal High Income (IYIAX)*
Domestic Large Cap
Waddell & Reed Advisors Accumulative (UNACX)
Waddell & Reed Advisors Core Investment (UNCMX)
Waddell & Reed Advisors Dividend Opportunities (WDVAX)
Waddell & Reed Advisors Tax Managed Equity (WTEAX)*
Waddell & Reed Advisors Value (WVAAX)
Waddell & Reed Advisors Vanguard (UNVGX)
Ivy Core Equity (WCEAX)
Ivy Dividend Opportunities (IVDAX)
Ivy Large Cap Growth (WLGAX)
Ivy Tax-Managed Equity (IYEAX)*
Ivy Value (IYVAX)
Domestic Small/Mid Cap
Waddell & Reed Advisors New Concepts (UNECX)
Waddell & Reed Advisors Small Cap (UNSAX)
Ivy Micro Cap (IGWAX)
Ivy Mid Cap Growth (WMGAX)
Ivy Small Cap Growth (WSGAX)
Ivy Small Cap Value (IYSAX)
Global/International
Waddell & Reed Advisors International Growth (UNCGX)
Ivy Cundill Global Value (ICDAX)
Ivy European Opportunities (IEOAX)
Ivy Global Equity Income (IBIAX)
Ivy International Core Equity (IVIAX)
Ivy International Growth (IVINX)
Ivy Managed International Opportunities (IVTAX)
Ivy Emerging Markets Equity (IPOAX)
World/Allocation
Waddell & Reed Advisors Asset Strategy (UNASX)
Waddell & Reed Advisors Continental Income (UNCIX)
Ivy Asset Strategy (WASAX)
Ivy Balanced (IBNAX)
Ivy Global Income Allocation (IVBAX)
Sector
Waddell & Reed Advisors Energy (WEGAX)
Waddell & Reed Advisors Science and Technology (UNSCX)
Ivy Energy (IEYAX)
Ivy Global Natural Resources (IGNAX)
Ivy Global Real Estate (IREAX)
Ivy Global Risk-Managed Real Estate (IVRAX)
Ivy Real Estate Securities (IRSAX)
Ivy Science and Technology (WSTAX)
Money Market
Waddell & Reed Advisors Cash Management (UNCXX)

* Not available in qualified retirement plans. Not all asset classes are available in each MAP model.


Consider all factors. Please remember that an investment in a mutual fund involves risk. The investment return and principal value of an investment will fluctuate, and shares, when redeemed, may be worth more or less than their original cost. Participation in a MAP account is not necessary to purchase mutual fund shares offered within the MAP Program. Shares of the mutual funds in MAP Program portfolios may be purchased directly from your financial advisor. However, these shares may have a front-end load or back-end charges, which do not apply to shares in the MAP Program portfolio.

Not all account types may be available on all platforms. Some products & services may not be available with all accounts. Brokerage, investment and financial advisory services are made available through Waddell & Reed, Inc., in its capacity as a registered investment adviser. Brokerage accounts cleared through Pershing LLC. For a full description of managed account services, including fees and expenses, review the Advisory Services Informational Brochure or Advisory Services Informational Brochure for your Choice Account.


Waddell & Reed, Inc. is not related to or affiliated with Morningstar.