With net contributions of $170 billion flowing into target-date strategies in 2021, total assets in the funds reached a record $3.27 trillion, up nearly 20% from 2020, according to data from Morningstar.
Roughly 86% of net inflows, or $146 billion, went into collective investment trusts, which now account for 45% of total target-date strategy assets, up from 32% five years ago.
“Plan sponsors are attracted to the lower costs of these vehicles, and we expect their growing popularity to persist,” the company said in a release on its report on target-date strategies.
Fees continue to influence target-date fund flows, with the cheapest quintile of target-date share classes amassing $59 billion in 2021, up from $41 billion in 2020. Collectively, the three more-expensive quintiles had outflows of more than $38 billion.
Elsewhere, Wells Fargo Advisors adds a $400 million Morgan Stanley veteran in Naples as an ex-Cetera advisor goes independent with LPL
According to a federal charges Bradley Heppner, 60, received more than $150 million in payments through funneling money from GWG Holdings to a shell company.
A $1B fund allegedly skimmed 30% off the top, then swapped cash for locked-up stock.
Insiders allegedly rewrote projections three times in four days.
TCI Wealth Advisors also has also tapped JIFFYAI to unify onboarding and servicing, while TradePMR adds ICE market data to its Fusion advisor platform
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