A custom fixed income allocation option may be an attractive solution for Defined Contribution (DC) plan sponsors that wish to offer fixed income diversification without increasing menu clutter.
A custom fixed income allocation model comprises a diverse range of fixed income investments in a single investment option. It may help DC plan participants manage volatility while offering the potential for attractive returns. Similar to target date funds, a single fixed income allocation option also may help overcome participant indecision and inertia.
With advancements in many recordkeepers’ technology, implementing and maintaining custom fixed income allocation options is easier than ever.
These views represent the opinions of OppenheimerFunds, Inc. and are not intended as investment advice or to predict or depict the performance of any investment. These views are as of the publication date, and are subject to change based on subsequent developments.