Planning for retirement is a crucial step in securing your financial future. Our goal is to reduce the number of members who may be holding an incorrect target-date fund or too many target-date funds. We aim to achieve this by highlighting the risks of selecting a fund that doesn’t align with their retirement date.

Investing in too many or the wrong funds can result in two potential issues:

  1. If the chosen funds mature before retirement, their investments might become too conservative. When they mature early, earnings are limited from not participating fully in markets. This approach could prevent members from accumulating the necessary savings to meet their financial goals.
  2. If the chosen funds mature after retirement, a member could be taking on too much risk. When funds mature later, it could lead to losses and reduce retirement income.

Once educated, members can review and adjust their target date funds to ensure it aligns with their retirement date.

Timing:

The email campaign is scheduled for October 24, 2023. Additionally, starting in November, we’ll activate alert tiles on the member secure site. This occurs on an annual basis during Financial Literacy Month.

Questions?

Contact your Group Retirement representative.