SWERX

About SWERX

The Schwab Target 2040 Fund is a diversified mutual fund designed for investors planning to begin withdrawals around the year 2040, typically targeting individuals preparing for retirement in that timeframe. Its primary function is to provide a balanced and professionally managed investment solution that automatically adjusts its asset allocation over time, gradually shifting from a growth-oriented portfolio dominated by equities to a more conservative mix with increasing exposure to fixed income and cash as the target date approaches. The fund invests across a wide array of asset classes, with significant holdings in both U.S. and international stocks, complemented by bonds, real estate, and other sectors, aiming for broad diversification and risk management. Managed actively, the fund leverages the resources and research capabilities of Charles Schwab, drawing from both affiliated and external underlying funds. With assets exceeding $1.2 billion, the Schwab Target 2040 Fund plays a notable role in the retirement planning segment, offering investors a hands-off, lifecycle investment approach that adapts to their changing needs over time.