Tags » Target-Date Funds

Are You Devoting 88% of Your Attention to Target Date Funds?

By 2019, it is projected that 88% of new retirement plan contributions will be invested in target date funds.¹ Since introduction of the Pension Protection Act in 2007, the use of TDFs as Qualified Default Investment Alternatives (QDIAs) has increased from 36 to 86%.² As a retirement plan advisor, you may not be devoting 88% of your attention to the TDFs, but in the future your process for determining the target date solution you recommend will be increasingly vital. 900 more words

Risk appetite awakens

The U.S. stock market, as measured by the MSCI US Broad Market Index returned 12.7% in 2016, with a powerful rally in the final weeks. Animal spirits seemed to be running wild. 618 more words

Economy & Markets

The Lake Wobegon Effect and indexing in target-date funds

If you are a Vanguard investor, or have read almost any commentary from us in the past, you probably know we are big believers in index investing. 770 more words

Investments

The charges of the light brigade

The publication by the Investment Association of a report that puts hidden costs in funds on a par with the Loch Ness Monster has been met with elation by fund managers and derision by their customers. 958 more words

Pensions

Why do retirees maintain high equity allocations?

In a prior blog post, I debunked the myth that millennials were staying out of the stock market. That was good, but I came up with a new head-scratcher. 647 more words

Retirement

Are Target Date Funds Really on Target?

Currently there are millions of different investments that people can choose when it comes time for them to create their own unique portfolio. Since financial markets were created, we have seen a multitude of new investments come and go. 692 more words

Investments