Patent ID: 8255308

Claim:
A computer-implemented method of evaluating target date funds, comprising using at least one processor and at least one storage medium for performing the following operations: receiving, at a first computer from at least one database, information concerning a plurality of target date funds, wherein each target date fund comprises a glide path and a target retirement date; determining a quantified diversification level of each of the plurality of target date funds; determining an equity ratio of each of the plurality of target date funds, wherein the equity ratio is based on the glide path allocation of each of the plurality of target date funds upon the target retirement date; outputting, via a user interface or user medium, a summary of the plurality of target date funds, the summary comprising at least a visual representation of both the diversification level and the equity ratio associated with each of the plurality of target date funds to facilitate a comparison among the target date funds; and selecting or formulating a target date fund based on the comparison and an investor's risk tolerance or investment goal, wherein the selecting or formulating comprises: creating a coordinate system showing at least a subset of the plurality of target date funds, plotting each of the subset of the plurality of target date funds on the coordinate system based on their respective diversification levels and equity ratios, and wherein measures of investor risk tolerance or investment goals are derived from an evaluation of a specific investor or investment plan sponsor, and the specific investor or investment plan sponsor can use the coordinate system to locate target date funds that are best suited for the specific investor or investment plan sponsor.