TARGET DATE ETFs

Access 30 years of retirement investing experience with a low-cost, tax-efficient ETF.
Video 01:48

WHAT ARE TARGET DATE ETFs?

Target date ETFs are a powerful pairing of the target date investing strategy and ETF technology. These ETFs are designed to take more risk early on and gradually become more conservative as the target retirement date approaches. The result? Funds that seek the right risk at the right time, from retirement investing to retirement income.

Target_Date_Fund

[00:00:04.50] Life has many twists and turns and picking the right investments to get you through decades of life changes and onto retirement can seem intimidating. Fortunately, iShares LifePath Target Date ETFs make it easy, by automatically adjusting your investments on your journey to retirement.

[00:00:23.50] Let's say you want to retire in 2058 when you turn 65. To select the ETF closest to your 'target date' - the year you plan to retire - you might consider the iShares LifePath Target Date 2060 ETF. For each Target Date ETF, the BlackRock LifePath team of experienced investment professionals selects and manages a mix of globally diversified stocks, bonds, and other investments based on each fund's particular time horizon and adjusts over time to help investors stay on the path to their target retirement date.

[00:00:58.47] When the target retirement date approaches, the ETF is designed to merge into the iShares LifePath Retirement ETF. This ETF is specifically designed for investors in retirement and seeks to help investors maintain consistent income. So, you can spend less time focusing on your investments and more time focusing on what's next.

[00:01:21.75] iShares LifePath Target Date ETFs make it easy to start planning for retirement today. Learn more at iShares.com/TDF. Visit www.ishares.com to view a prospectus, which includes investment objectives, risks, fees, expenses, and other information that you should read and consider carefully before investing. Investing involves risk, including possible loss of principal.

BENEFITS OF iSHARES® LIFEPATH® TARGET DATE ETFs

A time-tested approach to get on the path to retirement readiness—even without a 401(k).
EASY TO ACCESS
With just one trade, access a diversified portfolio of low-cost ETFs designed to help you work towards your retirement goals.
LOW COST
Low fees combined with the tax efficiency of ETFs can help keep more of your money invested and working toward your target retirement date.
TARGETS THE RIGHT RISK AT THE RIGHT TIME
Take asset allocation off your to-do list with a professionally managed portfolio that evolves over time, from retirement investing to retirement income.

HOW DOES IT WORK?

Investing for retirement is rarely a straight line from first investment to retirement freedom—shifts in the stock market, inflation and an evolving ability to take risks are just a few of the twists and turns retirement savers might encounter.

In a target date ETF, a team of investment professionals guide the portfolio toward its target retirement date by reducing risk over time through adjustments to the fund’s underlying mix of stock and bond ETFs.

iShares LifePath Target Date ETFs make it easy to navigate towards retirement by leveraging BlackRock's 30 years of experience managing retirement solutions. Simply select the fund closest to your ‘target date’ — the year you plan to retire. Over time, the LifePath Investments team will slowly change the mix of global stocks and bonds to reduce risk exposure as the target date approaches.

How your asset allocation adjusts over time

pie charts for target date funds allocation

Chart Description: Donut chart 1 shows the asset allocation of a target date fund that is 99% stocks and 1% bonds at the start of a person’s career in an effort to maximize growth. Donut chart 2 shows the asset allocation of a target date fund that is 87% stocks and 13% bonds at the halfway point of a person’s career where a higher percentage of bonds are added to the mix to seek more stability while still targeting growth. Donut chart 3 shows the asset allocation of a target date fund that is 40% stocks and 60% bonds at retirement where the ETF asset allocation is mostly a conservative mix of stocks and bonds seek consistent income while keeping up with inflation.

HOW TO SELECT THE RIGHT TARGET DATE ETF

Investing in target date funds is easy. In fact, getting started with picking the right target date fund can be as simple as answering one question: when do you plan to retire?

1.

Determine the age at which you plan to retire and begin taking money out of your retirement investments.
2.

Select the fund that is closest to your retirement year.
3.

Start investing for your retirement.

Retirement year: 2028-2032

iShares® LifePath® Target Date 2030 ETF

ITDB

Retirement year: 2033-2037

iShares® LifePath® Target Date 2035 ETF

ITDC

Retirement year: 2038-2042

iShares® LifePath® Target Date 2040 ETF

ITDD

Retirement year: 2043-2047

iShares® LifePath® Target Date 2045 ETF

ITDE

Retirement year: 2048-2052

iShares® LifePath® Target Date 2050 ETF

ITDF

Retirement year: 2053-2057

iShares® LifePath® Target Date 2055 ETF

ITDG

VIEW ALL TARGET DATE FUNDS

FREQUENTLY ASKED QUESTIONS

Consider choosing the target date closest to the year you would like to retire. For example, if you want to retire in 2044, consider the iShares® LifePath® Target Date 2045 ETF.

You can visit the ETF product page for more information on the specific fund you are interested in, including performance, portfolio characteristics, holdings, and more.

iShares LifePath Target Date ETFs invest in a portfolio of bond and stock ETFs which include at least six different asset classes, including real estate and infrastructure. With just one trade, get access to thousands of securities across stocks, bonds, and so much more. That’s thousands of ways to access growth and diversify your risk. Portfolio managers adjust this diversified set of investments over time to reduce risk as the target date approaches—so one fund may be all you need to plan for retirement. Diversification and asset allocation may not protect against market risk or loss of principal.

Moving to a different target date fund is not necessary. Each iShares LifePath Target Date ETF is managed by investment professionals at BlackRock and is designed to gradually reduce risk exposure over time.

Target date ETFs target the right risk at the right time. These ETFs are designed to provide a diversified investment strategy designed to maximize growth early- on and gradually become more conservative as the target retirement date approaches.

BlackRock's LifePath target date funds are designed to be an all-in-one retirement solution built on 30 years of target date expertise/research. Our aim is to provide a diversified investment that balances between growing your investment and managing risk to help you advance toward your retirement goals. Learn more about BlackRock LifePath.
icon: envelope

MARKET INSIGHTS

STAY CONNECTED

Stay in the know on iShares outlooks, insights and products.

SUBSCRIBE FOR UPDATES