Fewer Negative Surprises. More Predictable Outcomes.
In ever increasing numbers, plan sponsors are turning to target date funds. But as recent experience has made clear, not all target date funds are created equal.
BlackRock's LifePath Funds were the industry's first target date funds. For nearly twenty years, our philosophy has been to deliver more predictable retirement outcomes with fewer negative surprises.
It's not just the experience that counts — it's what you do with it. Our twenty years of firsthand experience has driven LifePath's evolution, creating a robust investment process and a sophisticated target date fund.
We have worked with some of the largest plans available and have consulted on plan design, participant communications, and even "graduated" two target date funds into retirement portfolios.
Experience Across All Market Cycles
The average target date fund has a tenure of little more than five years;1 LifePath has been here for nearly two decades.
Our experience, combined with proprietary behavioral research and increasingly sophisticated risk models, has helped us make thoughtful adjustments to the funds so that they can address the challenges of a changing world.
Investing in target date funds involves risk including loss of principal. The target date in the name of the fund is the approximate date when an investor plans to start withdrawing money. The blend of investments in each portfolio are determined by an asset allocation process that seeks to maximize assets based on an investor's investment time horizon and tolerance for risk. Typically, the strategic asset mix in each portfolio systematically rebalances at varying intervals and becomes more conservative (less equity exposure) overtime as investors move closer to the target date. The principal value of a fund is not guaranteed at any time, including at the target date.
Your clients should consider the investment objectives, risks, charges and expenses of each target date mutual fund carefully before investing. The prospectuses and, if available, the summary prospectuses contain this and other information about the funds, and are available, along with information on other BlackRock funds, by calling 800-882-0052. The prospectuses and, if available, the summary prospectuses should be read carefully before investing.
The LifePath strategies are among various investment strategies that are managed by BlackRock as part of its investment management and fiduciary services. Strategies may include bank collective investment funds maintained and managed by BlackRock Institutional Trust Company, N.A., which are available only to certain qualified employee benefit plans and governmental plans and not offered or available to the general public. Accordingly, prospectuses are not required and prices are not available in local publications. To obtain pricing information, please contact your local service representative. There are structural and regulatory differences between collective funds and mutual funds that may affect their respective fees and performance. Strategies maintained by BlackRock are not insured by the Federal Deposit Insurance Corporation and are not guaranteed by BlackRock or its affiliates.
Prepared by BlackRock Investments, LLC, member FINRA. BLACKROCK and LIFEPATH are registered and unregistered trademarks of BlackRock, Inc. or its subsidiaries in the United States or elsewhere.