May 2021 / RETIREMENT
Our Retirement solution is designed to help employees reach their retirement goals. Participants face several challenges to reach their goal: savings rates may be too low, life expectancy is rising, and retirement spending needs are uncertain.
- Our longest-standing target date solution, launched in 2002
- Focused primarily on potential to grow retirement savings
- Supported by a glide path that seeks to address longevity risk
- Strong track record of performance, with consistent returns that outpaced the industry benchmark
Our commitment to research gives us a deep understanding of evolving markets, demographics, and participant actions. Our proprietary models account for capital markets, savings rates, employer match, life expectancy, and employee preferences such as planning horizon, investment goals, risk aversion or depletion aversion. The data inputs are grounded in real-world data from our recordkeeping platform that allows for us to model a multitude of scenarios your employees face and enables a glide path construction to address those scenarios.
Our Retirement solution considers a wide range of participant needs and dynamically adjusts the risk to focus over time.
IMPORTANT CHANGES TO THE RETIREMENT FUNDS: T. Rowe Price is making changes to the glide path of our target date funds. The glide path will be transitioning to the allocations shown above. See Important Information below for more details.
Performance for the long term
Whether at retirement (Retirement 2020 Fund) or with many years to go until retirement (Retirement 2040 Fund), historically investors have experienced stronger performance after fees, even accounting for periods of volatility.
Hypothetical growth of $100,000 invested in the T. Rowe Price Retirement 2020 and 2040 Funds after fees (Investor Class, as of 3/31/2021)
Performance data quoted represents past performance and is not reliable indicator of future performance. Investment return and principal value will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance data quoted. To obtain the most month-end performance, visit troweprice.com
Chart shows a growth of a 100,000 USD hypothetical investment since fund inceptions on 30 September 2002 through the date above. Investors can not invest directly in an index. Figures include changes in principal value with dividends reinvested. Source S&P Dow Jones Indicies LLC.
Morningstar Analyst Rating (TM) as of 2/19/21
I Class Shares may not be available to all investors.
Ratings for other share classes may differ. The Morningstar category for all vintages for the Retirement Series is US Fund Target Date. See Morningstar Rating Disclosure for important information about the ratings.