Target date retirement funds work up to a point. Here’s when you may want to reconsider
Charles Sachs, chief investment officer at Kaufman Rossin Wealth, was interviewed by CNBC for an article that details how consumers can tell whether it’s time to ditch their target-date fund entirely. His commentary provides insights on how a target-date fund can be disadvantageous to older or more experienced investors and why tracking it is so crucial for everyone.
Article Excerpt: “The not-so-good thing is that you put it on autopilot for the next 20 years and as it’s getting larger, you’re progressing in your career and life, and you’re getting other assets,” said CFP Charles Sachs, chief investment officer for Kaufman Rossin Wealth in Miami.
“Then the target fund is working in isolation, and that’s the point when you need some coordination,” Sachs said.
“It could be working for you or against you, but you have to track it to know,” Sachs said. “So don’t set and forget it forever.””
Read the full article at cnbc.com.
Charles Sachs, CFA, CFP®, is a Chief Investment Officer at Kaufman Rossin Wealth, LLC, a Registered Investment Adviser.