ITDD

📎 Investment Objective

The iShares LifePath Target Date 2040 ETF seeks to provide investment results that correspond generally to the performance of the MSCI USA IMI Extended ESG Focus Index, which is designed to provide exposure to large-, mid-, and small-capitalization U.S. equity securities with relatively high environmental, social, and governance (ESG) performance.

✨ Key Features

• Seeks to provide exposure to a diversified portfolio of U.S. stocks and bonds with a tilt towards companies with higher ESG ratings
• Automatically adjusts asset allocation to become more conservative as the target date approaches
• Expense ratio of 0.00%, making it a low-cost option for investors
• Suitable for investors with a long-term investment horizon of around 20 years

⚠️ Primary Risks

• Market risk: The value of the fund's investments may fluctuate due to changes in the overall stock and bond markets
• Concentration risk: The fund's focus on U.S. equities and bonds may make it more vulnerable to economic and political developments in the U.S. market
• ESG investment risk: The fund's ESG focus may result in it underperforming funds that do not consider ESG factors
• Target date risk: The fund's asset allocation may not be appropriate for investors who do not plan to retire around the target date

👤 Best For

The iShares LifePath Target Date 2040 ETF is best suited for long-term investors with a retirement target around the year 2040, who are looking for a diversified portfolio with a tilt towards companies with higher ESG ratings. It may be particularly appealing to investors who want a hands-off approach to managing their retirement investments.