OneAmerica unveils active target-date suite

OneAmerica unveils active target-date suite
Firm’s latest retirement plan products, structured as CITs, provide asset-allocation option for retirement plan participants.
MAR 08, 2024

OneAmerica is augmenting its shelf of retirement plan products with a new active asset-allocation suite.

The mutual company’s newly unveiled RetirementTrack American Funds are an active target-date series designed to offer a more cost-effective solution for investors in retirement plans.

The new funds – managed as a series of collective investment trusts by Great Gray Trust Company, with flexPath Strategies as a subadvisor – are structured to allow dynamic adjustments in asset allocation, optimizing the balance between equities and bond funds based on how close an investor is to retiring.

Available exclusively to qualified retirement plans, CITs have seen increased use as an alternative to mutual funds over the years as a result of their lower costs and potentially greater flexibility and customization.

According to one 2022 report from Sway Research, assets in the target-date fund market rose by an annual rate of 19% to reach $3.25 trillion in 2021. That included $1.45 trillion in CIT assets, which grew by 27%.

More recently, the firm reported that assets in target-date products rose 22% during 2023, including a 26% surge in CITs to reach $1.71 trillion.

“This is another great option for OneAmerica Financial clients who want to help their participants take control of their retirement strategy,” Alan Blaskowski, vice president of product, business development and innovation for retirement services, said in a statement.

The RetirementTrack American Funds also invest in mutual funds from American Funds, as well as a stable-value vehicle sponsored by American United Life Insurance Company. Those exposures, according to OneFinancial, help long-term investors maximize assets for retirement.

The RetirementTrack American Funds suite builds on OneFinancial’s original RetirementTrack series, which commemorated its third anniversary with over $1 billion in assets.

Overloading on stocks in retirement often makes sense, says Horizon CIO

Latest News

RIA moves: The Mather Group, Brand Asset Management announce deals
RIA moves: The Mather Group, Brand Asset Management announce deals

Consolidation continues in US wealth management industry.

US broker-dealer fintech aims for global footprint as it acquires international firm
US broker-dealer fintech aims for global footprint as it acquires international firm

Tech company democratizes access to US trading infrastructure.

Advisor moves: RBC swipes $1.7B UBS team, Baird duo departs for LPL's Linsco channel
Advisor moves: RBC swipes $1.7B UBS team, Baird duo departs for LPL's Linsco channel

RBC Wealth Management's latest move in New York adds an elite eight-member team to its recently opened Westchester office.

Stifel star broker, Chuck Roberts, leaves firm under cloud of investor complaints
Stifel star broker, Chuck Roberts, leaves firm under cloud of investor complaints

Stifel – so far - is on the hook for more than $166 million in damages, legal fees and settlements in investor complaints involving Roberts, a 35-year industry veteran.

iCapital secures $820M in latest funding, hits $7.5B
iCapital secures $820M in latest funding, hits $7.5B

The giant alt investments platform's latest financing led by T. Rowe Price and SurgoCap Partners, along with State Street, UBS, and BNY, will fuel additional growth on multiple fronts.

SPONSORED How advisors can build for high-net-worth complexity

Orion's Tom Wilson on delivering coordinated, high-touch service in a world where returns alone no longer set you apart.

SPONSORED RILAs bring stability, growth during volatile markets

Barely a decade old, registered index-linked annuities have quickly surged in popularity, thanks to their unique blend of protection and growth potential—an appealing option for investors looking to chart a steadier course through today's choppy market waters, says Myles Lambert, Brighthouse Financial.