Family Office

TD Ameritrade links with XShares for index family

FWr Staff 10 October 2007

TD Ameritrade links with XShares for index family

TDAX target-date funds blend, U.S. and international stocks, fixed income. TD Ameritrade's Amerivest Investment Management subsidiary has agreed to team up with index-investment advisory XShares Advisors to launch TDAX Funds, a family of target-date ETFs.

"TDAX's 'Independence' ETFs keep it simple, making it a great choice for both sophisticated investors and those just beginning," says TD Ameritrade senior v.p. Dave Kelley. "Investors can access a diversified, asset-allocated portfolio that, over time, automatically adjusts its weighting across stocks and bonds."

Five funds

Designed for goals-based investors, TDAX's initial roster of five "lifecycle" funds provides exposure to U.S. and international equities as well as fixed income. The ETFs see to asset growth by weighting assets with stocks, and then, over time, move to "less risky" allocations, according to TD Ameritrade.

New York-based XShares built its private-label platform specifically for partnerships such as the one it has forged with TD Ameritrade, says Jeffrey Feldman, the firm's founder and chairman.

XShares launched its first -- and, to date, only -- fund family in January 2007. These "HealthShares" ETFs focus on medical therapies or devices. Last February it said it was planning to develop investment products based on carbon emissions credits in partnership with the Chicago Climate Exchange. -FWR

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