Guidance is the heart of Guidance Online. This module encompasses a personalized six-step program that provides asset allocation guidance for investing deferred compensation plan assets based on specific needs and desires. It offers personalized goal planning, takes into account outside assets, offers retirement income analysis and includes an advanced "bear market simulator."

Step 1. Getting started. Morningstar Guidance Online’s initial step eases you into the program with a few basic pieces of personal information. You can choose whether or not you wish to include partner information as well.

Step 2. Current situation. In this section, you provide information on your financial situation, including your own and your partner’s income, savings, investments, and pension coverage. You can enter as much or as little detail as you like—creating anything from a focused view of your retirement plan assets to a complete survey of your family finances.

Step 3. Pick a plan. Morningstar Guidance Online tells you whether your current strategy will achieve your goals and details alternative approaches. Building on the information entered in the first two steps, Guidance Online outlines a series of complete solutions from which to choose. You can test out alternative solutions by changing up to 12 variables that will affect your ultimate retirement income.

Step 4. Bear market simulator. This test gives you a feel for the risks entailed in the plan you’ve chosen. Guidance Online gauges your reaction to portfolio fluctuations in turbulent market conditions. This helps you affirm your commitment to maintain your strategy even in difficult periods.

Step 5. Investment suggestions. Morningstar Guidance Online’s unique holdings-based analyses create a complete picture of your own financial assets. From this information, Guidance Online generates personalized investment suggestions. You can tailor these recommendations to your preferences, specifying fund families, active or indexed strategies, or the number of funds in which you want to invest.