That's about what most target date funds do? Most glide down starting at age 40 and hit 50/50 at retirement. They are the default option for most people for a reason.I really appreciate the feedback. I had the impression that the position would be all bonds by the date but that is not the case - thank you for letting me know that. My only gripe with TDFS is the lower return compared to having all stocks and then allocating 50/50 the decade or so before you retire. Is it really worth having a bond position at all before you are nearing retirement? Also are TDFs eligible for foreign tax credit?
I don't like to assume I know more than the experts at Vanguard, Schwab, Fidelity, Blackrock, T Rowe Price, and I don't deviate from their collective wisdom lightly. There's a lot of resources going into formulating TDFs, the investments they choose, and the glide paths they use.
Statistics: Posted by BackToSchoolDad — Sun Mar 03, 2024 5:41 pm — Replies 20 — Views 1427