Op-ed: Target-date funds can be ‘a mixed bag’ for investors. Here’s why…

The article highlights:

  • 60 million Americans have 401K plans invested in target-date funds.

  • Target-date funds tend to mature over five-year intervals – one of the goals is to have a mix of stocks and bonds by rebalancing the holdings over time.

  • Fund holdings are sometimes too conservative for younger investors.

  • Target-date funds have some shortcomings, many of which highlight the value of a financial advisor.

Source:

https://www.cnbc.com/2024/03/07/op-ed-target-date-funds-are-a-mixed-bag-for-investors-heres-why.html

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