Charles Schwab Investment Management Inc. has added to its line of target-date funds (TDFs) with 2045, 2050 and 2055 retail offerings.
Charles Schwab Bank has added two funds to its collective trust fund lineup
for eligible retirement plans—the Schwab Managed Retirement Trust Fund 2055
(SMRT 2055) and Schwab Indexed Retirement Trust Fund 2055 (SIRT 2055)—which
offer target-date portfolios in a collective trust vehicle, diversified across
traditional and nontraditional asset classes. The SMRT Funds use a combination
of active and passive investments, and the SIRT Funds use primarily passive
These additions complete Schwab’s suite of retail and institutional
target-date funds. The Schwab Target 2045, 2050 and 2055 Funds are retail mutual funds that offer
shareholders a diversified portfolio of active and passive management, as well
as a combination of proprietary and externally managed strategies, and become
more conservative over time.
“These new funds are designed for young people who want an affordable,
accessible solution for a more distant retirement,” said Omar Aguilar, senior
vice president and chief investment officer of equities for Charles Schwab
Investment Management. “Whether you’re investing in the funds directly or
through an employer’s retirement plan, they deliver broad asset allocation and
ongoing professional investment management.”
Schwab Managed Retirement Trust Funds are available in four unit classes with
all-in operating expense ratios starting at 0.45%. The Schwab Indexed
Retirement Trust Funds are available in a single unit class with no investment
minimums and an all-in operating expense ratio of 0.18%. Plan sponsors and
their advisers may learn more about the funds at www.schwabbankfunds.com.
The Schwab Target Funds have net operating expense ratios ranging from 0.55%
to 0.84% and an account minimum of $100. For more information about the
funds, visit www.schwab.com/target.