Funds that adjust the asset allocation weights in the portfolio to match the needs of an investor who is nearing retirement are known as

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Target date funds are designed to automatically adjust the asset allocation as the investor nears retirement. The fund's name typically includes the target date, which represents the year the investor plans to retire. As the target date approaches, the fund gradually shifts the allocation to more conservative investments such as bonds and cash equivalents to help minimize the impact of market volatility on the investor's retirement savings.

Funds That Adjust the Asset Allocation Weights in the Portfolio