- Meets the unique needs of larger DC plans
- Leverages off-the-shelf funds, additional asset classes, or open architecture
- Offers specialized solutions designed to provide guaranteed income at retirement
LifePath's philosophy and process incorporates the latest financial behavioral, economic and demographic research into its glidepath. The result is a target date fund suite that meets the needs of the large majority of participants. The same process and philosophy can also be used to meet the special target date fund needs of large DC plans.
Plans with unique participant demographics, special investment needs or significant participation in a traditional defined benefit pension plan may want to explore customized approaches that may leverage off-the-shelf funds, additional asset classes, even open architecture. Our investment strategies team can work with plan sponsors to perform a customization analysis.
Traditional sources of retirement income, such as defined benefit pensions or social security, play a shrinking role in the retirement expectations of today's participants. That's why BlackRock has pioneered a target date fund approach that substitutes an annuity pool for the fixed income allocation. As the participant nears retirement, their share of the institutionally priced annuity grows, providing a stream of guaranteed lifetime income at retirement.
BlackRock's 2011 Retirement Survey shows a clear correlation between secure retirement income streams and participant confidence about retirement.