This practice note discusses the alternatives to use of target date funds (TDF) as a qualified default investment alternative (QDIA) in an individual account plan (defined contribution plan) that is subject to the rules of the Employee Retirement Income Security Act (ERISA). Final regulations issued in 2007 describe mechanisms for investing participant accounts, ensuring that an investment qualifying as a QDIA is appropriate as a single investment capable of meeting a participant’s long-term retirement savings needs.
Alternatives to Using Target Date Funds as QDIAs
Posted: Nov 3, 2020 11:01:35 AM
