About RAFTX
American Funds 2035 Target Date Retirement Fund Class R-1 is a diversified mutual fund designed as an all-in-one solution for individuals planning to retire around the year 2035. As part of a target-date series, its primary function is to simplify retirement investing by automatically adjusting asset allocation over time. Early in its lifecycle, the fund emphasizes growth by investing a higher proportion in equities, including U.S. and non-U.S. stocks, and gradually transitions towards a more conservative mix focused on income and capital preservation as the target date approaches.
The fund achieves diversification by allocating assets across a broad range of underlying funds managed by American Funds, covering various sectors such as information technology, health care, financials, and consumer staples, as well as fixed-income securities. The allocation is actively managed, reflecting both near-term market conditions and the long-term strategy of risk reduction as retirement nears. The fund's glide path ensures that its risk profile becomes progressively more conservative, aligning with the evolving needs of investors as they transition from accumulation to retirement spending.
This fund plays a significant role in retirement planning by offering a professionally managed approach to help investors balance growth and stability throughout their investment horizon.
Fund Family Capital Group
Category Target-Date 2035
Performance Rating Above Average
Risk Rating Below Average
Stock Exchange Nasdaq
Ticker Symbol RAFTX
Share Class Class R-1
Index S&P Target Date 2035 TR
RAFTX had a total return of 7.45% in the past year, including dividends. Since the fund's
inception, the average annual return has been 6.91%.
