Just days after BlackRock put out a white paper telling the world it was in favor of "to" vs. "through" target-date funds, its rivals at Fidelity Investments have taken the opposite stance.
Investors can accumulate greater wealth in 90 percent of potential macroeconomic scenarios when investing in target-date retirement strategies that employ a "through" glide path, Fidelity said in its own paper, titled, "Achieving Retirement Success: Do 'To or 'Through' Glide Paths Lead to Higher Wealth?"
"To" funds, of course, are those with a managed roll down of equity only until the day of retirement, after which the asset allocation remains static, while the equity allocation in "through" funds continues to diminish beyond retirement.
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