|
OPEC, Allies Hike Output Again as Hormuz Traffic Starts Recovering WSJOil Prices Are Falling, but OPEC Plus Pledges to Pump More The New York TimesOPEC set to approve another oil output increase, sources say CNBCOPEC Ratifies Planned Oil Quota Hike as Gulf Flows Rebound Bloomberg.com
|
|
Kylian Mbappé of France scores 19th career World Cup goal, 1 behind Golden Boot rival Messi AP NewsFrance's Kylian Mbappé on Paraguay tactics: 'We can also get our hands dirty' ESPNVictorious Mbappe levels Messi in World Cup golden boot race, did Paraguay's tactics go too far? - The Athletic The New York TimesFrance records another ho-hum win, as it aims for a third-straight World Cup final NBC News
|
|
I don't ignore my retirement accounts, but I consider myself mostly a set-it-and-forget-it investor. I prefer to pick an investment strategy, arrange automatic contributions and then sit back without tinkering much with my portfolio. For that reason, I used a target-date fund in my 401(k) when I had one (I'm self-employed now). My husband invests in a fund with a 2050 target date through his employer plan.
A target-date fund aims to create an appropriate investment mix for the investor's age and approximate retirement date. A fund designed for someone with many years until retirement includes a high proportion of stocks for growth. Over time, the fund regularly rebalances, allocating a greater percentage of assets to less-risky, income-producing investments, such as bonds, as retirement nears.
We're far from alone in our preference for target-date funds. Among 401(k) participants in their twenties, 54% of their assets were in target-date funds at the end of 2019, and investors in their thirties had 45% of assets in target-date funds, according to a study from the Investment Company Institute and Employee Benefit Research Institute. Many large employer plans automatically enroll employees and use target-date funds as the default investment choice.
SEE MORE PODCAST: The Pros and Cons of Target Date Funds with Tony Drake
Evaluating Your Plan.
Target-date funds are attractive for their simplicity. But if you're dissatisfied with your plan's target-date offerings or have the appetite to construct a customized portfolio, you can typically select among a menu of several other investment options. If you have decades to go until retirement, you may want to dedicate 80% to 90% of your portfolio to stocks. I
|
|
