Defined contribution QDIA options*
In their role as a qualified default investment option (QDIA), target date funds have become the centerpiece of many DC plans. We offer several default investment strategies to meet the unique needs of your plan.
Institutional Target Date Funds¹
Help your participants reach their retirement income replacement goals by offering them multi-manager target date funds diversified across a broad range of underlying equity, real asset and fixed income funds. Our target date funds combine cost-effective active and passive strategies with a glide path designed to help manage participants’ risk. Learn more about our target date funds.
Custom Target Date Funds
For larger DC plans, custom target date funds let you maintain control over underlying investment manager selection and construct a glide path designed to help meet your participants’ specific income replacement needs. Russell Investments has proven expertise in building and building custom target date funds. Learn more about custom target date funds (PDF).
Adaptive Retirement Account
The next generation of default investing looks beyond the “one size fits all” target date fund with allocations based on age alone, and creates a customized allocation for each participant based on age, plus salary, contribution rate, account balance and market impact. Learn more about our Adaptive Retirement Accounts.
*QDIA compliance is not determined by Russell. Please note; it is the plan sponsor’s responsibility to determine QDIA compliance.
¹These are collective trust funds which are bank-maintained collective investment funds managed by Russell Trust Company, a Washington State non-depository trust company, and are not registered mutual funds. The funds are only available to certain qualified employee benefit plans and government plans and are not offered to the general public.
Target date fund investing involves risk, principal loss is possible. The principal value of the fund is not guaranteed at any time, including the target date. The target date is the approximate date when investors plan to retire and would likely stop making new investments in the fund.
Please remember that all investments carry some level of risk, including the potential loss of principal invested. They do not typically grow at an even rate of return and may experience negative growth. As with any type of portfolio structuring, attempting to reduce risk and increase return could, at certain times, unintentionally reduce returns.