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Target date funds have ‘quantitatively large effects’ on stock prices

johnNjohnN
edited March 2021 in The Bullpen
https://mitsloan.mit.edu/ideas-made-to-matter/target-date-funds-have-quantitatively-large-effects-stock-prices

Target date funds have ‘quantitatively large effects’ on stock prices
Betsy Vereckey Mar 16, 2021
Why It Matters
*If TDFs continue to grow in popularity, they could further decrease volatility in the stock market and increase the correlation between stocks and bonds.

With so much money tied up in TDFs, do they affect the markets? New research from MIT Sloan shows the extent to which they do — an effect that could become more pronounced as the investment option continues to grow in popularity....*







IMHO TDFs are important and excellent vehicles to have/ hold in portfolio and so easy to manage. Just leave them, Don't do anything for 15 20 yrs, you maybe pleased after 20 yes when come back
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