Tell you through the history of FOF, why is it the best choice for providing for the aged? With the deepening of aging, "personal social security" and "annuity" are often difficult to achieve the high-quality pension we want. Therefore, as the "third pillar" of old-age care, personal old-age care has become a good way to deal with the problem of high-quality old-age care.

However, among the many financial products included in my pension, the pension target fund has attracted much attention since its debut. Is it appropriate for FOF to help us accumulate pensions? Let's take a look at the development of foreign pension target funds, which may give us some enlightenment.

1. The development of foreign pension target funds has gradually changed from 1974 to the present. After more than 40 years of difficulties, the United States has finally formed a perfect pension management system, and the FOF fund I am familiar with at this stage has gradually grown under the impetus of the pension system here.

The 40 1K pension plan in the United States has brought a relatively stable source of income for the rapid development of FOF. The plan means that the company and employees respectively deposit the corresponding assets into the same account according to a certain proportion, and the plan can provide 30 candidate funds for reference projects to invest and accumulate pension assets.

However, in the face of a large amount of funds, many investors will become at a loss when choosing. In the past, they will also face the variability of the market, dynamically adjust asset allocation on time and prevent risks. Because of the inconvenience in the whole process, the enthusiasm of employees to participate in the plan is reduced. In early years, the proportion of Americans participating in 40 1k was only 40% to 60%.

In order to solve this dilemma, American fund companies have developed and designed a "one-stop solution" called target date fund, in which fund companies choose and plan financial management for investors.

Target date fund is an important type of pension target fund. After 30 years of changes, by the end of 20021,the total size of American pension funds had reached 223 million dollars, which was a great success. At the same time, according to the analysis of relevant data, the long-term annualized income of American pension fund 10 can be close to 8-9%.

In addition, the biggest advantage of 40 1K plan is that pension income can enjoy tax deferral, and only when it retreats to the second line does it need to pay taxes. More importantly, in this process, every capital gain and year-end dividend need not be taxed. This will also help investors accumulate more pension funds.

2. What enlightenment does it bring us? Pension target funds can provide investors with a "one-stop solution", and choose the appropriate fund from more than 10,000 funds in the China market at present, helping investors to improve their financial planning and diversify risks for the second time. In China, most pension target funds are carefully planned, and key projects invest in fixed-income assets, with a low proportion of equity assets.

Investment for the purpose of providing for the aged needs to consider not only the long-term target income, but also the current risk tolerance. Therefore, in the process of investment, we need to focus on cross-cycle issues.

Therefore, investors can choose to embed the cross-cycle concept of pension target date fund in product design. This kind of pension FOF can better balance the proportion of equity assets allocation with the growth of investors' age, and can make cross-cycle investment without worrying too much about investors.