Why choose this strategy?
- As a potential qualified default investment alternative (QDIA) that aims to help investors meet their retirement goals.
- As a target date fund that benefits from active and passive investments, unique managers and investment styles, and incorporation of ESG (Environmental, Social, Governance) considerations in manager and security selection.
- A target date series with target retirement dates in five-year increment.
Investment strategy
- Each fund’s asset allocation glide path is adjusted to balance the appropriate levels of risk and reward throughout the investor’s lifetime, becoming more conservative over time, with each fund managed to and through a specific target retirement date.
- Fund allocations are carefully constructed and are well diversified across multiple dimensions including asset classes, investment styles within asset classes, active and passive strategies, differentiated investment managers, and approaches to incorporating ESG considerations.
- In selecting managers to include in the funds, the team aims to prioritize managers that incorporate ESG considerations in decision-making processes in an effort to drive better financial outcomes for participants as we believe that considering ESG factors can aid in risk management and alpha generation.
- Consistent with the funds’ multi-disciplinary structure, each of the managers selected for the funds may consider ESG factors differently and may implement differing approaches to incorporating ESG considerations.
- The team continually executes and manages change throughout the entire investment process, reviewing factors including the glide path, asset classes, asset class construction, and underlying managers, as well as intended and unintended biases.
