Because a target date fund is a “fund of funds,” it will bear its allocable share of the costs and expenses of the underlying investment vehicles in which it invests (including its allocable share of the management fees and incentive compensation payable to the investment managers of such vehicles). These funds are designed to become more conservative over time as the target date approaches.
The principal value of these funds is not guaranteed at any time, including at the target date.
1 The target date (or retirement date, as applicable) for these funds is the approximate date when an investor plans to start withdrawing the assets from their retirement account.
