While I am not remotely close to retirement, throughout my career I've had several colleagues embark on this next step in life. At the office farewell party, I've often listened to friends and coworkers talk about fishing excursions, traveling and spending more time with their family. Yes, it's easy to get caught up in the fantasy, but then reality weighs in. I wonder: how will I save enough?

Admittedly, at first I was overwhelmed with the thought of constantly monitoring my 401(k) plan. However, I've found there is a way to achieve retirement goals without the hassle of constantly supervising your portfolio. The trick is to use a life cycle fund.

Life cycle funds automatically adjust the asset allocation in your portfolio over time, a worry-free product that makes all the cumbersome decisions for you.

But how great are these asset allocation products at providing diversification in your portfolio? Joseph C. Nagengast, president and founder of Turnstone, recently conducted a study, "Popping the Hood II," of most life cycle plans. Not surprisingly, he found that not only are fund managers providing good choices for life cycle funds, but they are also increasing their real estate allocation due to real estate and REITs' superb diversification factor. To read more on this trend, turn to "Time of Your Life."

Turning Pages

The start of a new year is the time to step back and look at the past 12 months. No one could have imagined the ride the REIT industry took in 2007, highlighted by the biggest takeover ever and the mortgage meltdown. What is in store for the industry in 2008? Portfolio turned to six leading industry professionals and got their thoughts on themes for this year. Turn to "Year with a View" to see their vision on globalization, cap rates and REIT privatizations for 2008.

As the saying goes, one needs to see the forest through the trees, which is just what Rick Holley, CEO of Plum Creek Timber Company, does every day. He oversees maximizing value of the company's assets, which include 8.2 million acres of timberland in the United States. The woodlands not only provide timber for products such as building materials and household products, but the land also provides natural resources, such as coal and natural gas, as well as potential real estate opportunities. To read more on Holley and Plum Creek, turn to "Root Cause."

Erin Corcoran
Managing Editor