SMP FAQ - What is a Target Date Fund?

June 28, 2016 - 10:06
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Question: 

What is a Target Date Fund?

Category: 
Contributions/Funds Information
Answer: 

It is a "mutual fund" that automatically resets the mix of stocks, bonds and cash equivalents in its portfolio according to a selected time frame that is age appropriate for an individual investor. For example, if you expect to retire in 2050 you might select that respective target date fund. Target date funds may carry more or less risk than an individual prefers.

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