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Industry leading target-date investments
Using a suite of target-date funds as the qualified default investment alternative in a retirement plan is an easy and effective way to help participants invest for their future income needs.
Vanguard Target Retirement Funds focus on meeting the long-term goals of wealth accumulation, balancing portfolio volatility, and maximizing spending ability during decumulation to help ensure investors have enough income in retirement.
Since the inception of our Target Retirement Funds more than two decades ago, our overarching goal has remained constant: to provide investors with a world-class solution that is low cost, straightforward, highly diversified, and durable.
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phase 1, early career. Given their long investment horizon, younger investors can likely afford to take more risks with a 90% stock allocation, which captures growth but is diversified with just enough bonds to temper the worst downturns. ](null)
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phase 1, early career. Given their long investment horizon, younger investors can likely afford to take more risks with a 90% stock allocation, which captures growth but is diversified with just enough bonds to temper the worst downturns. ](null)
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phase 2, transition. We start to gradually reduce stock exposure to build a more conservative portfolio in preparation for retirement.
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phase 2, transition. We begin to allocate assets to short-term Treasury Inflation-Protected Securities, further reducing volatility while providing inflation protection. Learn more
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phase 4, withdrawal. Our research shows 72 is the most common age to start withdrawals. This age is when our default glide path reaches its final asset allocation at 30% stocks and 70% bonds, transitioning to the Target Retirement Income strategy. This strategy is just one part of our holistic retirement income offer to support your participants through their retirement journey. Learn more
For clients who are eligible for collective investment trusts, we offer a choice of equity landing points.
Vanguard's Target Retirement glide path is constructed to help a broad range of participants meet their retirement spending needs. Our research shows a choice of equity landing points can benefit target-date investors.
Vanguard Target Retirement Income and Growth Trust's higher equity landing point (50%) may be more appropriate for participants who are comfortable with additional downside risks and have higher income, wealth, or desired spending.
Flexible retirement income strategy
With defined contribution plans playing such a pivotal role in participants' retirement success, plan sponsors are tasked with building an investment lineup that meets the needs of their diverse workforce. Vanguard offers target-date, fixed income, and stable value investment strategies, to help support participants through retirement.
Financial wellness and guidance
Helping participants achieve financial well-being is at the heart of our mission. That’s why we offer personalized financial wellness experiences aimed at living well in retirement.
Our spending guidance tools, including Retirement Withdrawal Coach, retirement plan paychecks, and required minimum distribution (RMD) services, are designed to help participants translate their retirement assets into income.
Through My Financial Wellness, an online hub with a financial assessment, participants can access our Live Well in Retirement guide, Health Care Cost Estimator, action plans, and digital tools and services.
Retirement Withdrawal Coach
Retirement plan paychecks
A key concern for retirees is how to replace their employment paycheck in retirement. With our retirement plan paychecks service, participants can convert their savings into income and initiate a retirement plan paycheck.
They can refine their payments as their needs and costs change. They can also pin a widget to their personalized dashboard, creating a helpful reminder of when their payment will be deposited into their bank account.
Want to talk about retirement income solutions for your plan?
Sources:
1 2024 In-Plan Insights Program. Greenwald Research, 2024.
2 2025 EBRI/Greenwald Retirement Confidence Survey, 2025.
3 Vanguard, 2024; 2024 Target-Date Strategy Landscape. Morningstar, 2024.
4 DC assets are based on AUM in both Vanguard-administered plans and those administered by others. Other figures are based on AUM market share of the TDF industry. Sources: Vanguard and Morningstar, as of December 31, 2024.
For more information about Vanguard funds, visit or call 800-523-1036 to obtain a prospectus or, if available, a summary prospectus. Investment objectives, risks, charges, expenses, and other important information about a fund are contained in the prospectus; read and consider it carefullybefore investing.
All investing is subject to risk, including the possible loss of the money you invest. There is no guarantee that any particular asset allocation or mix of funds will meet your investment objectives or provide you with a given level of income. Product guarantees are subject to the claims-paying ability of the issuing insurance company.
Investments in Target Retirement Funds and Trusts are subject to the risks of their underlying funds. The year in the fund or trust name refers to the approximate year (the target date) when an investor in the fund or trust would retire and leave the workforce. The fund/trust will gradually shift its emphasis from more aggressive investments to more conservative ones based on its target date. The Income Trust/Fund and Income and Growth Trust have fixed investment allocations and are designed for investors who are already retired. An investment in a Target Retirement Fund or Trust is not guaranteed at any time, including on or after the target date.
Vanguard Target Retirement Trusts are not mutual funds. They are collective trusts available only to tax-qualified plans and their eligible participants. Investment objectives, risks, charges, expenses, and other important information should be considered carefully before investing. The collective trust mandates are managed by Vanguard Fiduciary Trust Company, a wholly owned subsidiary of The Vanguard Group, Inc.
Advice services are provided by Vanguard Advisers, Inc., a registered investment advisor, or by Vanguard National Trust Company, a federally chartered, limited-purpose trust company.
© 2025 Morningstar, Inc. All rights reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results.