Pimco unveils target date funds

Pacific Investment Management Co. LLC has announced that it is launching the Pimco RealRetirement Funds, a series of funds meant to help retirees stay ahead of inflation by maximizing their purchasing power. The Newport Beach, Calif.-based company’s new target date funds automatically re-balance portfolios as they move toward the investor’s expected retirement date. “Unlike many of the target date products in the market today, Pimco’s retirement solutions focus on facilitating adequate retirement purchasing power, which is the primary success factor of many plan sponsors,” said Stacy Schaus, senior vice president and leader of Pimco’s defined contribution practice, said in a statement. The five Pimco RealRetirement funds are differentiated by target retirement dates for 2010, 2020, 2030, 2040 and 2050. Each fund of funds contains allocations of various Pimco funds that include domestic and international securities, as well as real assets such as real estate and commodities. Pimco has more than $746 billion assets under management and is owned by Allianz Global Investors AG, a subsidiary of the Munich, Germany-based Allianz Group.