I read in a trade posting earlier today that American Funds has won awards for some of their TDF offerings. But not being a fan of TDF's, I didn't dig too deeply into the article.
While you have your money in a TDF, how are you preparing for retirement? If you are going to let someone else do the heavy lifting necessary to run a portfolio, who is going to make the investment decisions for you when (if) your TDF matures? I say if because there are still 2011 maturity TDF's trading, so you have little assurance that the vehicle will work as designed. Investing is not something easily learned in a short period of time. You obviously can wait until retirement and start to learn about the markets then when your TDF's have gone to all fixed income. Coupled with the fact that fixed income has never kept pace with inflation, you now have gotten yourself in a real fix, no inflation hedge and no experience to work your way out of your predicament.
So, my over simplified answer to your question is the best TDF's are the one's you avoid while learning how to make well founded, competent investment decisions on your own or with the assistance or a professional.
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