NEW YORK, Jan. 6, 2010 (GLOBE NEWSWIRE) -- Dow Jones Indexes, a leading global index provider, today announced it has updated its Dow Jones Target Date and Real Return index series. The Dow Jones U.S. Target Date 2050, Dow Jones Global Target Date 2050 and Dow Jones Real Return 2050 indexes were launched to complement and continue the existing index series to enable market participants to use the indexes to help measure the performance of their "lifecycle" portfolios as they prepare for retirement.
Additionally, the Dow Jones Target 2005, Dow Jones U.S. Target 2005 and Dow Jones Real Return 2005 indexes will be decommissioned as each has reached 5 years past its target maturity date.
The Dow Jones Target Date Index family consists of the global Dow Jones Target Date, the Dow Jones U.S. Target Date and the Dow Jones Real Return Target Date indexes. All of them are designed to serve as benchmarks for lifecycle portfolios that start out aggressively to grow assets and end with a conservative mix of investments based on the portfolio's "target date". These "target dates" are set at five-year intervals out to 40 years.
The global and U.S. versions of the Dow Jones Target Date Indexes allocate among stocks, bonds and cash on a monthly basis to hit predefined relative risk levels. Over the life of each index, its relative risk ranges from 90% of the risk of the global equity market at its most aggressive point, to 20% of the global equity markets risk at its most conservative point -- when the index reaches its target
The Dow Jones Real Return Target Date Indexes allocate among stocks, bonds, TIPs, commodities and real estate securities. These asset classes are weighted within each index to measure a targeted level of risk. Over time the weights are adjusted based on predetermined formulas to adjust the risk level systematically as the index's target date approaches. For example, the Dow Jones Real Return 2050 Index includes approximately 90% component allocation to the high-risk assets (equities, real estate and commodities). When the index reaches its target date, the composition will have changed to about 70% in the low-risk component assets (bonds, U.S. TIPs).
For more information on the Dow Jones Target Date Index family, please visit www.djindexes.com.
Journalists may e-mail questions regarding this press release to PR-Indexes@dowjones.com.
About Dow Jones Indexes
A full-service index provider, Dow Jones Indexes develops, maintains and licenses indexes for use as benchmarks and as the basis of investment products. Best known for the Dow Jones Industrial Average, Dow Jones Indexes also maintains its benchmark index series, the Dow Jones Total Stock Market Indexes, which is anchored by the Dow Jones U.S. Total Stock Market Index and covers more than 12,000 securities in 65 markets. Beyond equity indexes, Dow Jones Indexes maintains a number of alternative indexes, including measures of the hedge fund and commodity markets. Dow Jones indexes are maintained according to clear, unbiased and systematic methodologies that are fully integrated within index families. www.djindexes.com
About Dow Jones
Dow Jones & Company (www.dowjones.com) is a News Corporation company (Nasdaq:NWS) (Nasdaq:NWSA) (ASX:NWS) (ASX:NWSLV) (www.newscorp.com). Dow Jones is a leading provider of global business news and information services. Its Consumer Media Group publishes The Wall Street Journal, Barron's and MarketWatch. Its Enterprise Media Group includes Dow Jones Newswires, Dow Jones Factiva, Dow Jones Client Solutions, Dow Jones Indexes and Dow Jones Financial Information Services. Its Local Media Group operates community-based information franchises.
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