What have we learned about target date funds in the 10 years since the Pension Protection Act took effect, driving a surge in target date assets? Brad Vogt, principal investment officer of American Funds Target Date Retirement Series®, provides some insights to help plan sponsors and advisors evaluate target date funds. He discusses:
• The shift toward greater equity among many target date
• Why an excessive focus on low fees can potentially be
detrimental to participant outcomes.
• The benefits of having flexible global and multi-asset funds.
• Managing risk in the years leading up to retirement.
• What makes American Funds Target Date Series different and successful in the 10 years since its launch.