The "target date" of a target date fund is the anticipated year of retirement: each of our 14 Fidelity Freedom Funds has a year in its name. Choose a Fidelity Freedom Fund based on the year you expect to retire. You don't need to adjust your asset allocation over time because Fidelity...
There are two types of target date funds. Those that glide into the most conservative portfolio mix on the target date (exactly in 2050 for a “2050” fund) are considered “to” funds. Those that extend the glide path to a point in the future that’s past your target date are called...
Retirement Strategy, Insight, Education and more ›› Target Date ›› Target Date 2025Target Date 2030 Target Date 2035View All Target Date Allocation Funds ›› IncomeBalancedConservative/BalancedConservative Tactical AllocationUS AllocationInternational Allocation ...
Sign up for Fidelity Viewpoints weekly email for our latest insights. Subscribe now What is a target date fund? Target date funds (TDFs) invest in a diversified mix of securities, including stocks, bonds, and other investments. TDFs are commonly used for retirement savings, with investors se...
In target date funds, investors elect to contribute to one fund based on their estimated retirement date. From 58 percent equities and 42 percent fixed income portfolio, Russell will shift to 95 percent equity and 5 percent fixed income.Smolkin...
Inside this recentMorningstar articleabout the pros and cons of Fidelity’s Freedom Funds was an interesting chart that incorporated data from all of the target-date retirement funds. These funds were getting really popular as a set-and-forget type of investment, until many people found found ou...
The professional manager of the target date fund decides how much risk he or she thinks you should be taking at a certain time period before retirement. That may be less aggressive than you wish to be or more aggressive than you wish to be. For example, most of these funds start out at...
All Target Date Funds are NOT created the same…Consider the huge gap in possible equity percentages vs. time (glide path). …but the Big 3 TDFs are all relatively similar.Before retirement age, the glide paths are very close. They start to differ more significantly after the retirement ta...
An investor's anticipated year of retirement is the "target date" of a target-date fund. This type of fund works best for those who can estimate their retirement age and year. Many financial institutions offer target-date funds. The fund names are transparent, like Fidelity Freedom 2050 (FFF...
Target-Date Funds: An Overview Target retirement funds are designed to be the only investment vehicle that an investor uses to save for retirement. Also referred to aslife-cycle fundsor age-based funds, the concept is simple: Pick a fund, put as much as you can into the fund, then forge...