Browsing Tag
Target Date Funds (TDF)
309 posts
Target date funds (TDF) , also known as lifecycle or target-retirement funds, are investment funds designed to automatically adjust their asset allocation over time to become more conservative as a specific target date (usually a retirement year) approaches. They offer a convenient “set-it-and-forget-it” approach to investing, particularly for retirement savings.
6 in 10 Plan Sponsors Want to Retain Participant Assets Post-Retirement
Cerulli finds asset managers respond to demand with increased decumulation product development and distribution efforts
3 Shocking Facts You Should Know About Target Date Funds
Despite their popularity, Ron Surz says target date funds have serious deficiencies, but a few problems are shockingly imprudent and unrecognized
Private Real Estate in DC Plans: The Next 10 Years
Greg Jenkins and Jani Venter outline four reasons why they believe this asset class will continue to make inroads into defined contribution plans over the coming decade
Theory vs. Practice in Target Date Fund Glidepaths
Academics developed a theory of lifetime investment glidepaths. Target date funds say they use this theory, but it’s marketing malarkey. Who knew?
401(k) Fiduciaries Put Defaulted Participants at Great Risk when they Cross this Bright Red Warning Line
Ron Surz says 401(k) fiduciaries choose the risk for defaulted participants, and in doing so unwittingly step over a bright red line into excessive risk that jeopardizes lifetime savings of defaulted participants near retirement
Managed Accounts See Higher Adoption: Vanguard
The latest Vanguard research finds professionally managed allocations are up 40% compared to 10 years ago
The Secret Metamorphosis of Target Date Funds
Ron Surz says non-oligarchs are taking the lead in solving the “one-size-fits-all” problem in TDFs
Custom Target Date Funds Need Personalization
Ron Surz says the critical requirement for an effective customized solution is sound risk management along personalized glidepaths
State Street Embeds Annuity in New Target Date Series
State Street, Global Trust Company and Annexus Retirement Solutions launch “innovative, low-cost” TDF Series to answer participant demand for lifetime income
CITs to Overtake Mutual Funds as Most Popular Target Date Vehicle Within 2 Years
Morningstar report highlights ongoing adoption of Collective Investment Trusts as plan sponsors’ preferred vehicle