Goal-based investing starts with what the money is for. It does not require a universal product map or fixed-return assumption.
Comparison factors
- Target amount and date
- Contribution flexibility
- Liquidity and lock-in
- Capital-loss and credit-risk exposure
- Costs, taxes and operational rules
How to use the comparison
Use these characteristics to test whether a product fits the goal; this article does not prescribe a product. Model more than one user-selected return scenario when future market outcomes matter.
Illustrative scenario
Illustrative scenario: compare the same contribution under lower and higher user-selected return assumptions, then inspect the funding gap. Neither assumption is a forecast.
Common interpretation errors
- Selecting a product from horizon alone
- Treating a modeled return as expected
- Ignoring lock-in, taxes or goal flexibility
Next step
Write down the assumptions and compare scenarios before choosing how to fund the goal.
Official references
This material is educational and does not provide a personal recommendation. Product rules, costs and tax treatment can change; verify the current official documents before acting.