TIAA-CREF made allocation changes to all seven of its lifecycle funds, said Chad Peterson, director-corporate media relations. It increased the initial equity allocation to 90% from 80%; increased the equity exposure at their target retirement dates to 50% from 35%; and increased the equity exposure at 10 years beyond the target retirement date to 40% from 35%. It also increased exposure to international equity, added high-yield bonds, introduced inflation-linked and short-term bond exposure 10 to 15 years before the target retirement dates and reduced REIT exposure. Details of those changes werent available, Mr. Peterson said.
Our plan participants have told us that they are continually looking to maximize the performance of their retirement investments to meet their long-term savings goals while seeking to minimize downside market risk, Padelford Lattimer, senior managing director, product management, TIAA-CREF, said in a news release.