PRC derives separate rates of return (ROR) for regular investment accounts, tax-deferred accounts and Roth accounts by beginning with the average expected ROR and standard deviations for each of up to 10 asset classes (entered by the Asset Class Table shown below), allocations of these assets to each of the account types (entered on the Asset Allocation page) and then using all of this information to calculate a weighted average. This weighted average is assumed to the geometric mean in fixed rate projections and an arithmetic mean in Monte Carlo simulations.
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