A new series from AllianceBernstein, co-managed by Morningstar Associates, invests in funds managed by several experienced investment managers, including AQR, Franklin Templeton, MFS and T. Rowe Price. AllianceBernstein designs and manages the series’ moderate-risk glide path, adjusting asset-class exposures as market conditions change, and provides overall program oversight. The fund seeks to reduce risk and generate uncorrelated returns. Morningstar selects funds from the broad offerings of each participating firm.
Encouraging early feedback from consultants and financial advisers shows the marketplace is interested in a target-date fund (TDF) that incorporates some of the suggestions from the Department of Labor (DOL) on target-date fund selection, says Craig Lombardi, managing director of AllianceBernstein’s defined contribution investment only (DCIO) sales. The DOL recommended that plan sponsors determine whether nonproprietary or custom target-date funds would be a better fit for their plans, Lombardi notes.
AllianceBernstein is a global investment management firm that offers research and diversified investment services to institutional investors.
Morningstar Associates is a registered investment adviser and wholly owned subsidiary of Morningstar Inc. It is part of the Morningstar Investment Management group.
More information about the fund series is on AllianceBernstein’s website.