Thanks for settling the matter. I was puzzled at the headline that investors are leaving target-date funds, except as part of a much larger demographic trend about the aging of America, but I didn't think that demographics would yet lead to net outflows. You answered my unasked questions: It's the CITs.
You definitely do see outflows from the nearer dated target dates (even in more placid times) reflecting people moving the money out as they enter retirement but it’s usually more than offset by influx of monies to the longer dated target dates. True of both TDFs and CITs.
Thanks for settling the matter. I was puzzled at the headline that investors are leaving target-date funds, except as part of a much larger demographic trend about the aging of America, but I didn't think that demographics would yet lead to net outflows. You answered my unasked questions: It's the CITs.
You definitely do see outflows from the nearer dated target dates (even in more placid times) reflecting people moving the money out as they enter retirement but it’s usually more than offset by influx of monies to the longer dated target dates. True of both TDFs and CITs.