Minneapolis-based Ameriprise announced eight RiverSource Retirement Plus series funds, which are designed to serve as a core product for defined contribution or IRA funds, and that will seek long-term returns through a proprietary quantitative strategy.
"Our goal is to provide a holistic, value-added approach to target maturity funds--one that is new to the competitive landscape," said Paula Meyer, president of RiverSource Funds.
Investors choose from eight funds, each set at five-year intervals between 2010 and 2045, based on whichever is closest to the date they plan to retire. The managed funds-of-funds begin aggressive and are regularly rebalanced. The goal is to amass enough assets for regular withdrawals that would last 25 years after one's retirement date and be adjusted for inflation.
The RiverSource Investments Cambridge, Mass.-based management team will also manage the new RiverSource Disciplined International Equity Fund, which will invest in foreign-issued stocks in both developed and emerging markets with the aim of long-term growth.
The RiverSource Disciplined Small and Mid Cap Equity Fund will also be managed in Cambridge. The new fund will strive to provide long-term growth investing in companies with market capitalization under $5 billion or that rank on the Russell 2500.