In a world of heightened fee pressure and low long-term returns, asset managers are redesigning widely used TDFs and some are turning to strategic beta.
Tag: Lifecyle funds
Advocating for aggressive plan design, to help ensure what workers save goes the distance
While retirement plans have made great improvements in the past few years, a great deal more work still needs to be done.
DCIO insiders discuss challenges
Data & Research
Data & Research
Now in its sixth year of publication, the PLANADVISER Defined Contribution Investment Only (DCIO) Survey continues its trend of finding a steady increase in DC plan assets among the survey’s 41 participating providers.
The growth of 4.67% is the highest quarterly bump for the index since the end of 2013.
The use of automatic features has also benefited participants, Vanguard says.
Morningstar found for allocation funds, the do-nothing portfolio, such as TDFs, and investor returns were nearly identical and both were ahead of the average fund.
Nationwide Launches All Cap Growth Fund; MFS Adds R6 Shares to 20 More Mutual Funds; Fidelity Releases Municipal Income Fund 2025; and more.
A federal judge called comparisons to other funds insufficient, and noted that funneling participant investments into a default fund is normal.
J.P. Morgan’s head of target-date strategies urges plan advisers to reexamine the “critical role of fixed-income assets in target-date funds,” highlighting ways they can help clients generate stronger risk-adjusted returns and manage volatility.
With TDFs growing rapidly in the DC market, providers are exploring new ways to stand out from the crowd.
The firm’s target-date mutual fund lineup will now have access to institutional-quality direct real estate investments.
Consultants interviewed by PIMCO weighed in on which target-date strategies are best for which plans, which active strategies are best for which investments, and more.
There are strategies to help retirees create a lifetime income stream that can reverse this trend.
An increase in the number of TDF providers has been a positive development for investors, as it has led to lower fees and more product choices, according to Mercer research.
The lawsuit claimed the defendants breached their fiduciary duties by investing a significant portion of the plans’ assets in risky and high-cost hedge fund and private equity investments through custom-built target-date funds.
A new study finds Millennials are almost unanimous in their support of TDFs and auto-escalation features; moreover, they want their employers to help them save for retirement.
Many folks under 30 are “do-it-for-me” type investors.
This was followed by $835 billion in hybrid funds, which include target-date funds, ICI found.