How do I select the allocation method?

The method is the formula the allocation will use to calculate the allocation amount.

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How do I select the allocation method?

Average Daily Balance Ratio

Starts the calculation with the year-to-date balance at the beginning of the period and add in the account balance for each day of the period. Then divides the total accumulation during the period by the number of days in the period to find the average daily balance.

Fixed Percentage

Uses a fixed percentage to determine the percentage represented by each Allocation Ratio entry.

Period Amounts Ratio

Uses the period amounts for the selected period to determine the percentage represented by each Allocation Ratio entry.

Period Beginning Balance Ratio

Uses the year-to-date ending balance amounts to determine the percentage represented by each Allocation Ratio entry.

Period Ending Balance Ratio

Means that each entry in the Allocation Ratio contains a designated percentage and no analysis is performed.