Last year's flat equity markets did little to slow the volume of funds flowing into target-date funds, according to Morningstar's 2016 Target-Date Fund Landscape Report.
By the end of the year, total TDF assets hit $763 billion, up from $706 billion at the end of 2014. The $69 billion in positive flows was a record. For context, the Standard and Poor's 500 Index was down marginally for 2015.
Ten years ago, before passage of the 2006 Pension Protection Act, which allowed sponsors of defined contribution plans to default participants into TDFs, the funds held $116 billion. Morningstar expects TDFs to continue to attract more assets.
Recommended For You
Complete your profile to continue reading and get FREE access to BenefitsPRO, part of your ALM digital membership.
Your access to unlimited BenefitsPRO content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- Breaking benefits news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical converage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
© 2025 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
Nick Thornton
Nick Thornton is a financial writer covering retirement and health care issues for BenefitsPRO and ALM Media. He greatly enjoys learning from the vast minds in the legal, academic, advisory and money management communities when covering the retirement space. He's also written on international marketing trends, financial institution risk management, defense and energy issues, the restaurant industry in New York City, surfing, cigars, rum, travel, and fishing. When not writing, he's pushing into some land or water.
