Target-date funds (TDFs) are asset allocation portfolios named by the year in which the investor plans to retire or use the assets. The mix of asset classes and degree of risk becomes more conservative as the target year approaches. Conversely, the customisation of 401(k) separately managed accounts is a draw as it is developed to an investor’s specifications in terms of goals, risk tolerance and overall financial position. TDFs do not consider these. Managed investment accounts tend to have higher savings rates and investment returns than TDFs alone.