Patent ID: 8180695

Claim:
A method of administering an investment fund, the method comprising: creating a plurality of shares in the investment fund for sale; providing a managed distribution schedule comprising a plurality of consecutive annual periods, a number of payments to be provided during each of the consecutive annual periods, and a formula for calculating a value for each of the payments, the value comprising 1/n th of a predetermined percentage of a designated value corresponding to one of the plurality of shares, wherein n equals a number of payments, and the designated value for at least one of the consecutive annual periods comprises a trailing Net Asset Value (NAV); providing an investment strategy for investing in assets to provide funds sufficient to meet the managed distribution schedule, including selecting an asset allocation strategy chosen from an efficient frontier of modeled asset allocation strategies plotted by probability of year-to-year decline and probability of maintaining real or nominal distributions, the assets composing an investment portfolio; issuing at least one share to an investor in exchange for funds received from the investor; investing the received funds according to the investment strategy; calculating annually, by a computer programmed to perform such calculations, the value of each of the payments to be provided according to the managed distribution schedule in a period; and providing each of the payments to the investor during the period.