Back in October, TD Ameritrade and XShares Advisors launched a series of Target Date ETFs aimed at “Goal-Based” investors.
The basic idea is that an investor can get a combination of investments that rebalance over time with a specific exit date that ranges from 2010 to 2040 depending on the fund.
The companies cite several benefits including:
- Simplicity – all of the benefits of a diversified portfolio available in a single fund.
- Diversity – multiple securities available under one umbrella.
- Low expense ratio – standard commissions apply.
- Buy any number of shares – solutions for all investors, no matter how much is available to invest.
- Auto-allocation and rebalancing – which helps simplify the investing process.
To learn more, visit the TDA Independence ETFs website.
What do you think?
Does a target date ETF meet the needs of you or your clients?
What questions do you have?