….that they won’t meet investor expectations for avoiding losses.”
Retirement date funds, also known as Target Date Funds, have become the default fund of many 401(k) plans. However, Target Date Funds are actually riskier than many people perceive. Allocations are generally based on the date you may retire.
Therefore, they may not adjust to changing market conditions which could hurt performance and increase the chance your 401(k) account would lose value.
“A June 2018 report by Vanguard revealed, “Ninety-nine percent of all plans with automatic enrollment default participants into a balanced investment strategy—with 97% choosing a Target Date Fund as the default.”
Everyone has different dreams, goals, objectives and risk tolerance. By utilizing all of the choices available in your workplace retirement plan and making adjustments based on changing market conditions….
…you would likely improve your 401(k) account performance.
401(k) Maneuver™ uses all your investment choices to better manage your account allocations quarterly. Rebalancing is designed to improve your account performance when the market is strong and better manage downside risk during the tough times.