flexPATH funds

Have a question about your personal investments? No matter how simple or complex, you can ask it here.
Post Reply
datamonkee
Posts: 59
Joined: Wed Sep 07, 2011 10:40 pm

flexPATH funds

Post by datamonkee » Tue May 31, 2016 2:05 pm

Recently my 401k plan changed their options. The target date retirement fund is now replaced by something called "flexPATH" funds. There does not seem to be much good info about this company or their funds.

Is anyone familiar with "flexPATH"?

User avatar
Phineas J. Whoopee
Posts: 6698
Joined: Sun Dec 18, 2011 6:18 pm

Re: flexPATH funds

Post by Phineas J. Whoopee » Tue May 31, 2016 2:57 pm

They publish factsheets for their 126 funds here.

The main website wrote:About flexPATH strategies

flexPATH is the first custom target date solution with multiple glidepaths as well as both index and index+ management styles.

flexPATH offers best-in-class, open architecture manager selection.

flexPATH is a cost-effective solution that gives participants a new level of choice for their target date funds.

...

As of 2 May of this year they had seven employees and $850 million under management.

I hadn't heard of them before, but they appear to be new. They copyrighted flexPATH in 2014.

Given how little the firm manages, I suspect most of the 126 funds are only hypothetical.

PJW

datamonkee
Posts: 59
Joined: Wed Sep 07, 2011 10:40 pm

Re: flexPATH funds

Post by datamonkee » Wed Jun 01, 2016 8:46 am

Thanks for the reply. I had found the fact sheets page, but my main concern was the lack of info about this company.

Thanks for the credio page. that was definitely enlightening.

User avatar
David Jay
Posts: 4095
Joined: Mon Mar 30, 2015 5:54 am
Location: Michigan

Re: flexPATH funds

Post by David Jay » Wed Jun 01, 2016 8:55 am

Fee is .49% - lots worse in many 401Ks. Still, if you have a bond fund and an index fund (SP500 or large cap) at low cost it is unlikely that the flexpath funds can outperform enough to pay.

I see that all their offerings are funds-of-funds, using a variety of suppliers. I guess that is why they only need 7 employees.
Prediction is very difficult, especially about the future - Niels Bohr | To get the "risk premium", you really do have to take the risk - nisiprius

datamonkee
Posts: 59
Joined: Wed Sep 07, 2011 10:40 pm

Re: flexPATH funds

Post by datamonkee » Thu Jun 02, 2016 8:30 pm

i agree. i don't think I like these flexpath funds.

slowNsteady1
Posts: 3
Joined: Tue Dec 06, 2016 6:35 pm

Re: flexPATH funds

Post by slowNsteady1 » Tue Dec 06, 2016 6:51 pm

I checked out that website mentioned above. It seems their value offering is managing a fund-of-funds comprised of several money managers instead of one. I see value in that because I have always been concerned over my target-date being 100% from one company underneath the hood. How is it possible that one company delivers the best product in every asset class? And whose keeping them honest? I would be curious to learn more about the firm, as the expenses are pretty competitive and I'm wondering how they accomplish this.

User avatar
Phineas J. Whoopee
Posts: 6698
Joined: Sun Dec 18, 2011 6:18 pm

Re: flexPATH funds

Post by Phineas J. Whoopee » Tue Dec 06, 2016 10:53 pm

Hi slowNsteady1. I see it's your first day. Welcome to the forum.

slowNsteady1 wrote:I checked out that website mentioned above.

Back in May I found the two sites using simple Google searches.

slowNsteady1 wrote:It seems their value offering is managing a fund-of-funds comprised of several money managers instead of one. I see value in that because I have always been concerned over my target-date being 100% from one company underneath the hood. How is it possible that one company delivers the best product in every asset class?

It may or may not be possible, but what definitely is impossible is determining in advance which of the many products in every asset class will end up having been the best. Good enough should be the goal, and low costs are the best predictor, and conflation of verb tenses can be hazardous to one's wealth.

slowNsteady1 wrote:And whose keeping them honest?

Anybody can look up their SEC filings, if that's what you mean.

slowNsteady1 wrote:I would be curious to learn more about the firm, as the expenses are pretty competitive and I'm wondering how they accomplish this.

If I found that much using Google alone months ago, more and more might be found now.

PJW

Post Reply