TDFs shouldn’t be the only solution for 401(k)s

Published Updated 3 Min Read

As target-date funds continue to grow in popularity as an option for saving for retirement, some experts question whether they are achieving their goals, but say they remain a good default plan.

In 2004, just 13% of defined contribution plans offered a TDF option. That rose to 84% in 2012, according to Vanguard data. The company estimates 55% of all participants and 80% of new plan entrants will be entirely invested in a professionally managed allocation by 2017.

Brian M. Kalish
Online Managing Editor, Health Care Group

Kalish is a fomer managing editor of SourceMedia’s Employee Benefits Group.


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