Evolving our BlackRock Canada LifePath Index offering

Apr 4, 2022
  • BlackRock

For nearly three decades, the LifePath® target date fund team has utilized BlackRock’s long-term economic outlook and deep lifetime asset allocation research to understand how participants earn, save, and spend over a lifetime. These insights inform LifePath’s proprietary lifecycle model – and its continued evolution.

Investors are increasingly turning to ESG index strategies as a transparent and cost-efficient means of utilizing sustainable investing insights to pursue their financial goals in core multi-asset portfolios. A growing body of research suggests that companies with positive environmental, social and governance (ESG) practices may be positioned to deliver strong long-term investment returns. Additionally, evidence finds that traditional financial models may not capture the potential impact of exposure to material ESG risks.

A history of research-backed innovation becomes tradition

Through rigorous research and review, we have determined that sustainable investing may help build more resilient portfolios, as well. In the late second half of 2022, we will begin to transition the equity components of BlackRock’s Canada LifePath Index Funds to sustainable building blocks. Our paper outlines the research that informs this decision, explains the changes, and describes the expected impact on portfolio outcomes. The approach we are taking in Canada is in keeping with how we have evolved our LifePath funds to include sustainable building blocks in other markets.

Importantly, plan sponsors and participants can continue to seek to achieve their retirement goals by investing in BlackRock Canada LifePath Index Funds knowing that the funds’ investment objective and overall glidepath and asset allocation remain the same, while our research and added sustainability insights position our portfolios for the future.