Schlichter Strikes Again, This Time Against Takeda Pharma’s 401(k)
The lawsuit alleges that plan fiduciaries selected unproven TDFs for the plan, failed to monitor them and failed to replace them when they underperformed.
Investment Product and Service Launches
Nuveen expands TDF solutions with new series; Avantis releases first bond ETF; Vanguard offers TRFs; and more.
‘Annexus Retirement Solutions’ Launch Signals Rise of DC Plan Lifetime Income
The firm says the formal launch of Annexus Retirement Solutions precedes the rollout of innovative in-plan retirement income solutions in 2021.
Managers Expect Annuity Allocations to be Incorporated Into TDFs
In addition, Cerulli says it expects that plan sponsors and retirement plan providers will engage in more exploratory discussions about including private equity in target-date funds.
Lawsuit Claims Underperforming TDFs Caused $65M Loss to 401(k)
A former participant in the Allstate 401(k) plan accuses plan fiduciaries of keeping poorly performing target-date funds on the investment menu and as the plan's default investment.
No Decision to Come in Lawsuit Over Mismanagement of TDFs
The lawsuit against Principal Global Investors and related entities was abandoned.
Intel Now Faces Consolidated Suit Over Alternatives in TDFs
Now that the U.S. Supreme Court has ruled on the meaning of 'actual knowledge,' Christopher Sulyma has joined a lawsuit filed against Intel last year.
PANC 2020: Is It Time to Re-evaluate TDFs?
There are a variety of TDF solutions to meet participants needs, so when should a custom solution be considered, and how do advisers evaluate TDFs in an unprecedented year for the markets?
Biogen Faced With Lawsuit About Use of Active TDF Suite
The lawsuit is one of many filed recently claiming that the use of an index suite of Fidelity TDFs is more prudent.
Estee Lauder Faces 401(k) Plan Excessive Fee Lawsuit
The lawsuit argues that while the TDFs in the plan are CITs, they are private label CITs with much higher expense ratios than the typical CITs offered by JPMorgan.
Suit Challenging TDFs in Walgreen Retirement Plan to Proceed
Citing previous court decisions, a judge said dismissal is not proper at this early stage and the plaintiffs lack the information to detail their claims until discovery proceeds.
When Target-Risk Makes More Sense Than Target-Date
The reason why target-risk funds gave way to target-date funds is the perceived simplicity of just using one’s retirement date to set the portfolio's investment risk tolerance—but this approach doesn’t work optimally for all participants.
Investment Product and Service Launches
Franklin Templeton launches new funds, and Wells Fargo incorporates changes to TDFs.
‘Made to Stick’
401(k) Investors Increase Trades Amid Volatility
Investors continue to favor fixed income, the Alight Solutions 401(k) Index finds.
The Case for ‘Blend’ TDFs
PIMCO says that rather than go with an all-actively managed target-date fund (TDF) or an all-passively managed TDF, a mix of the two makes sense—and that there is particular logic to assigning the fixed income portion of the portfolio to active management due to outperformance.
Investment Product and Service Launches
Lincoln Financial Group and Capital Group combine TDFs and annuities; Federated Investors, Inc. to rename brand and ticker symbol; and MSCI publishes principles of sustainable investing.
Keeping Defaulted Participants on the Right Path
Ideas for a QDIA Design That Will Better Serve Participants Ready to Retire
Jason Shapiro notes that some DC plan participants may stay in their plan after retirement and rely on TDFs’ asset allocation for retirement income for possibly 30 years or even more.
Study Suggests Private Equity Should be a Consideration in TDFs
The research paper not only illustrates potential return characteristics and diversification benefits, but also offers allocation strategies to guide investment decision making.