The Schwab Target series offers a fairly solid lineup of underlying funds. However, the series' subadvisor oversight team lost its leader and is of modest size, the underlying holdings have seen fund and manager turnover, and sub-asset-class adjustments have created uncertainty about its prospects. The series’ single share class earns a Morningstar Analyst Rating of Neutral.
Schwab Target 2040 SWERX
NAV / 1-Day Return
16.52
/
0.60
%
Total Assets
1.0 Bil
Adj. Expense Ratio
Adjusted Expense Ratio excludes certain variable investment-related expenses, such as interest from borrowings and dividends on borrowed securities, allowing for more consistent cost comparisons across funds.
0.650%
Expense Ratio
0.650%
Fee Level
Average
Longest Manager Tenure
8.56
years
Category
US Fund Target-Date 2040
Investment Style
Large BlendCredit Quality / Interest Rate Sensitivity
Medium / ModerateStatus
Open
TTM Yield
1.97%
Turnover
15%
Premium
Morningstar’s Analysis
The Morningstar Analysis section contains a thorough evaluation of an investment’s merits and drawbacks and often discusses the most important or decisive factors leading to the fund’s overall rating.
The Morningstar Analysis section contains a thorough evaluation of an investment’s merits and drawbacks and often discusses the most important or decisive factors leading to the fund’s overall rating.
Will SWERX outperform in future?
Get our overall rating based on a fundamental assessment of the pillars below.
Process Pillar
The Process Pillar is our assessment of how sensible, clearly defined, and repeatable SWERX’s performance objective and investment process is for both security selection and portfolio construction.
People Pillar
The People Pillar is our evaluation of the SWERX management team’s experience and ability. We find that high-quality management teams deliver superior performance relative to their benchmarks and/or peers.
Parent Pillar
The Parent Pillar is our rating of SWERX’s parent organization’s priorities and whether they’re in line with investors’ interests.
This target-date series has seen numerous changes.
