The Target-Date Industry in 5 Charts
Highlights from Morningstar's 2014 Target-Date Series Research Paper.
Morningstar recently released its 2014 Target-Date Series Research Paper. Here are a few of the findings that may matter the most to target-date fund investors, via some of the paper's most interesting--and sometimes surprising--charts.
1. What a Difference a Year Makes
To the chagrin of some fund companies and the relief of others, target-date series saw their 2008 returns roll off of their five-year performance numbers in 2013. For many series, losing the record connected to that year’s market turmoil resulted in dramatic changes in their relative results.
Janet Yang, CFA does not own (actual or beneficial) shares in any of the securities mentioned above. Find out about Morningstar’s editorial policies.