Fidelity launches 'target date' retirement funds

The new range is a series of open-ended mutual funds which start off around 35 years from a retirement date and then every five years the asset allocation of the fund changes in line with the age of the investor. Fidelity says the new range is an attempt to shake up the retirement savings market as the funds allow people to build up an investment portfolio through a series of six funds before moving into the retirement income fund which provides an income but still retains some investment in equities. It argues this approach means a retiring saver has the ‘optimum balance of investments...