Tag: TDF

The investment firm will be shifting all of its focus to its CIT target-date series.

In 2016, the average plan offered 27 investment options, according to a report from BrightScope and ICI. 

At year-end 2018, 66% of new plan entrants were enrolled via automatic enrollment.

While automatic enrollment gets participants into plans, a sizable segment are starting their average contributions at a minimum 3.3% rate and failing to take any additional action to increase that, according to J.P. Morgan Asset Management.

In addition, a person invested in a stable value fund versus someone invested in a target-date fund could end up with a balance as much as 59% lower, BlackRock says.

Nearly half of workers feel confident about their retirement prospects, an AllianceBernstein survey found.

Cerulli says retirement specialist advisers are becoming more knowledgeable about and comfortable with CITs, and the research firm expects CITs will continue to expand their share of 401(k) plan assets.

This is despite having lived through two bear markets.

How Hearst Corp. followed a prudent process to choose its qualified default investment alternative.

With many Boomers retiring, the research firm says the industry is at “an inflection point.”

The latest though leadership from the firm asks an increasingly important question: “What should the TDF glide path look like as participants move from accumulating asset balances to spending down those balances in retirement?”

The flows went primarily to bond, stable value and money market funds.

In a Q&A with BlackRock Managing Director Anne Ackerley, PLANADVISER hears about emerging opportunities to deliver retirement income solutions to DC plan participants, including through TDFs.  

“There is no such thing as a passive glide path design, and this, as well as the many other active decisions that go into the creation and management of a TDF, can translate into meaningful differences in investment risks and results, even among passive TDFs,” observes Jake Gilliam at Charles Schwab.

This is down from three-quarters last year, a PIMCO survey found

Employer contributions and loans are also prevalent, a Brightscope/ICI report says.