Target Date Funds
SSgA Target Retirement Funds offer plan sponsors an ideal default investment option for their plan's investment menu. At SSgA, we believe a thoughtfully calibrated nonlinear glidepath, strategic forecasts, and broadly diversified sub-asset class exposure are all key elements of a well-designed target date solution to help your participants achieve their retirement goals.
A nonlinear approach helps mitigate risk
Our glidepath is designed to address the most common risks that participants face when investing for retirement: shortfall, market volatility, inflation and longevity.
We target higher levels of growth when their time horizon is long and can better weather short-term market ups and downs. Then, as they get close to or enter retirement and wealth preservation is increasingly important, we work to manage volatility and inflation more aggressively while achieving more moderate levels of growth.
SSGA Systematic Risk Reduction Policy
The information shown in this chart is intended for illustrative purposes only. Actual returns and risks will vary.
Strategic forecasts offer optimized asset allocation
The primary driver of how your participants' investments will perform is asset allocation. We identify an optimal asset mix by generating strategic forecasts for each asset class and then incorporate those forecasts into our portfolios.
Combining our proprietary macroeconomic research with decades of institutional portfolio management experience, we design the most efficient long-term asset allocations for our target retirement solutions.
SSgA Target Retirement Solutions GlidePath
Effective June 29, 2012
Manage risk through broad sub-asset class exposure
We manage our glidepath by traditional means of adjusting the mix of equity and fixed income over time. And we take it one step further by changing our exposure to key sub-asset classes designed to create a more efficient portfolio in the process.
As a result, participants' investments may benefit from reduced risk, dampened volatility and the potential to maximize returns over time.
SSgA Target Retirement Solutions Asset Allocation
Effective June 29, 2012
You need to ensure the design and the structure of these funds are aligned with your plan's investment philosophy. From traditional target date solutions to customized approaches, our extensive experience working with plan sponsors translates into meaningful results for your participants.
Let's talk about target date solutions.