So-called target-date and target-risk asset allocation funds portend to make investing easier for 401(k) participants, but the proliferation of these products in recent years can make choosing which to offer a headache for sponsors.

According to the Investment Company Institute, there are more than 400 asset allocation funds with more than $300 billion in assets. Target-date, or lifecycle funds, saw a 50% increase in flows in 2006, compounding the 57% increase the year before.

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