LGIM launches Pathway target-date funds into DC market

Calendar deadlineLegal & General Investment Management (LGIM) has launched a range of target-date funds for defined contribution (DC) investors.

The L&G Pathway Fund Range is meant to offer flexibility before and during retirement, the firm says.

Each Pathway fund allows member of DC schemes to choose a target date for retirement. There are three ‘Journey Plans’ that cover a range of retirement objectives, such as stable income generation, or continued investment for growth.

The funds invest predominantly in equities and fixed income, typically by investing in other funds. Managed by LGIM’s solutions group, the funds’ asset allocation will be regularly reviewed to reflect factors such as changing demographics, evolution in market trends and regulatory developments. The team will also give attention to risk management and investment diversification.

Emma Douglas, head of DC distribution at LGIM, says: “An increasingly flexible pensions landscape calls for significant innovation to help members meet their retirement income requirements. Our Pathway Funds offer an asset allocation that keeps evolving to and through retirement.”

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