TARGET-RETIREMENT STRATEGIES

Retirement income solutions

Asset allocations through retirement

With Vanguard's Target Retirement suite, participants have asset allocation choices through retirement.

A participant can choose to remain invested in our Target Retirement Income strategy, our core investment solution for retirees. Its conservative 30/70 asset allocation is intended to help retirees meet spending needs while balancing growth and risk.

Or

A participant can choose our Target Retirement Income and Growth strategy. Its 50/50 asset allocation is intended for someone comfortable with more equity risk.

Neither asset allocation nor diversification can ensure a profit or prevent loss. All investing subject to risk. 
Vanguard Retirement Income and Growth Trust gives participants an option around age 65 (or at the target date) to maintain an asset allocation of 50% stocks/50% bonds instead of continuing on the glide path to a more conservative 30%/70% allocation around age 72 (or seven years after the target date).

A digital experience to guide participants

Employees can quickly determine if a higher equity allocation might be right for them. Our Equity Landing Point tool can help pre-retirees make the right choice. It uses a short questionnaire to help participants consider each investment solution.

The benefits of providing retirement income options

Providing investment strategies to support retirees benefits both participants and employers.

Benefits for participants:

  • Guidance from a trusted source.
  • Lower costs compared with similar products and services offered to personal investors.
  • Continued plan fiduciary oversight by their employer.

Benefits for plan sponsors:

  • More options and support to meet various participant needs at no extra cost.
  • More features to attract and retain employees in an environment of intense competition for talent.
  • Increased scale and negotiating power with potential for more assets retained in the plan.
We're here to help

Your Vanguard team can answer your questions and pave the way for a smooth implementation process.

 

Let's get in touch

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. 

For more information about Vanguard funds, visit vanguard.com 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 carefully before investing. 

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 subsidary of The Vanguard Group.