Disciplined Core Equity Fund - I Class · NASDAQ:AMEIX
Disciplined Core Equity Fund - I Class — American Century Investments — Investor Presentation (2023)
37 slides from Disciplined Core Equity Fund - I Class's investor presentation, Aug 10, 2023
Slide 1: 10th Annual Retirement Savers Survey
10th Annual Retirement Savers Survey Reflection, Risk and Resolve 2877107 The contents of this American Century Investments® presentation are protected by applicable copyright and trademark laws. No permission is granted to copy, redistribute, modify, post or frame any text, graphics, images, tradem
Slide 2: Discussion
Discussion ▪ Expectations, Worries and Regrets ▪ Perceptions of Employers and Plan Features ▪ The New Normal? Risk and Volatility ▪ The Next Act 2
Slide 3: Defining Generations at Work
Defining Generations at Work Boomer Gen X Millennial 1946-1964 1965-1979 1980-1994 3
Slide 4: Expectations, Worries and Regrets
Expectations, Worries and Regrets 4
Slide 5: Most People Consider Themselves "Average" Savers
Most People Consider Themselves “Average” Savers Three-quarters have graded their retirement savings efforts a C+ on average. 3.4 (C+) 3.6 (B-) 3.5 (C+) Average 2020 Average 2021 Average 2022 Men, those with incomes of $100k or more, and those with assets of $500k or more are most likely to give the
Slide 6: One in Three Expect a Better Standard of Living, Up from Last Year
One in Three Expect a Better Standard of Living, Up from Last Year Retirement Expectations Much better 6% than it is now 15% 33% A little better 19% than it is now Half of About the same Millennials 18% as it is now expect it to be better, driving A little worse the increase. than it is now Much wor
Slide 7: Market Volatility, Housing Costs and Credit Card Debt Trigger Worries
Market Volatility, Housing Costs and Credit Card Debt Trigger Worries Retirement Concerns Market volatility 41% (New) Housing expenses 37% Balancing work and family 35% Credit card debt 34% Losing my job 30% Percentage of participants who indicated the topic caused a great deal of worry or kept th
Slide 8: Employer Worries: Volatility and Employee Retirement Readiness
Employer Worries: Volatility and Employee Retirement Readiness Most concerning are market volatility for those about to retire, employee savings habits and proper asset allocation of those who choose their own investments Plan Sponsor Concerns Market volatility for those closest to retirement 67% Em
Slide 9: One-Third Work With an Advisor; 10% Use Online Advice/Software
One-Third Work With an Advisor; 10% Use Online Advice/Software 44% 33% 14% 9% Yes, a professional Yes, a professional advice Yes, both No financial advisor software or online platform Men are more likely to work with an advisor, use advice software, or both. Q19. Do you currently work with a profess
Slide 10: Perceptions of Employers and Plan Features
Perceptions of Employers and Plan Features 10
Slide 11: Four in Ten Want a "Kick in the Pants" or "Strong Nudge" to Save More
Four in Ten Want a “Kick in the Pants” or “Strong Nudge” to Save More 14% 32% 35% 19% Kick in the pants Strong nudge Slight nudge Leave me alone Boomers are more likely than Millennials and Gen Xers to want to be left alone. Among Millennials, 85% want at least a slight nudge Q17. Which best describ
Slide 12: Plan Sponsors Agree: We Need Help Educating Employees
Plan Sponsors Agree: We Need Help Educating Employees Most concur that employees want and need retirement education from employers and plan providers Our organization should have done more to encourage workers to start saving sooner 39% 40% 79% Many of our employees are not that educated and could n
Slide 13: Most Want Retirement Contributions Over Education Cost Help
Most Want Retirement Contributions Over Education Cost Help Employer Contribution Preference 79 Prefer a contribution to % 12 Prefer a contribution to % 9 Have no preference % retirement savings educational costs Even with concerns about student loan debt, employer retirement contributions are the o
Slide 14: Most Want Retirement Contributions Over Education Cost Help
Most Want Retirement Contributions Over Education Cost Help 90% 78% 75% Boomer Gen X Millennial Even with concerns about student loan debt, employer retirement contributions are the overwhelming preference for all generations—even among millennials. Q24. Suppose your employer offered the option to e
Slide 15: More Participants Agree With Auto-Enroll at a 10% Default
More Participants Agree With Auto-Enroll at a 10% Default 2022 2021 2020 71% 70% 68% 47% 46% Should auto enroll 10% Should auto enroll 6% for retirement plan for retirement plan The majority of participants of all generations support auto enroll at 10%. *NOTE: Respondents were asked only about 10% a
Slide 16: Interest in ESG Investing Varies Among Generations, and Is Growing
Interest In Environmental, Social, and Governance (ESG) Investing Varies Among Generations, and Is Growing Environmental Social Governance 61% express Men are more Millennials (71%) interest in ESG investments likely to be and Gen Xers (62%) as part of their retirement plan, interested in ESG. are m
Slide 17: ESG Is More Attractive If Performance Is Comparable
ESG Is More Attractive If Performance Is Comparable 58 would only be interested if % 30 would be interested only if % 11 % would be interested even performance is comparable performance is better if performance is worse Boomers are more likely to have interest in an ESG with comparable performance t
Slide 18: Plan Sponsors Agree on ESG With Comparable Performance
Plan Sponsors Agree on ESG With Comparable Performance 52% 31% 9% 7% 1% I would only consider I would choose an ESG even I would choose an ESG if its I would only choose an ESG choosing an ESG I would not choose it its performance is worse performance is comparable if its performance is better if my
Slide 19: The New Normal? Risk and Volatility
The New Normal? Risk and Volatility 19
Slide 20: Inflation & Interest Rate Risk Concerns Increased Significantly
Inflation & Interest Rate Risk Concerns Increased Significantly Risk 2022 2021 Increase Inflation & Interest Rate 64% 49% 15% Longevity 58% 58% 0% Market 53% 51% 2% Growth 49% 43% 6% Human Error 42% 39% 3% Q12. When selecting investment options with your workplace retirement plan, how concerned are
Slide 21: Plan Sponsors Think Target Date Funds Address Most Important Risks
Plan Sponsors Think Target Date Funds Address Most Important Risks Inflation and Interest rates are the most important risks to address with target-date investors Market risk 43% 46% 10% 1% 29% said most important Growth risk 47% 43% 10% 22% said most important Longevity risk 44% 47% 9% 8% said most
Slide 22: Participants Are Split on Taking More/Less Risk in Today's Environment
Participants Are Split on Taking More/Less Risk in Today’s Environment Today’s market is so volatile that people my age 56% need to be more conservative with their money You must take significant investment risk in 55% today’s economy to see significant gains I would be interested in purchasing insu
Slide 23: Retirement Age Alignment and Low Fees Top List for Investments
Retirement Age Alignment and Low Fees Top List for Investments Extremely important Very important 2022 79% Aligns with your 2021 83% retirement age goal 2020 82% 2022 77% 83% 3/4 want an Low fees 2021 2020 83% investment that has an 2022 76% amount of Aligns with your risk tolerance 2021 80% risk th
Slide 24: Plan Sponsors: Active Management is Most Important TDF Attribute
Plan Sponsors: Active Management is Most Important TDF Attribute Affiliation with specific recordkeeper 39% 42% 16% 3% Collective Investment Trusts (CIT) instead of mutual funds 45% 38% 14% 3% Lowest fees 47% 41% 12% Active management instead of passive 51% 40% 9% Extremely Important Very Important
Slide 25: Plan Sponsors Were Asked "Would You Rather?" About TDFs
Plan Sponsors Were Asked “Would You Rather?” About TDFs 67% 2/3 prefer a target 32% date fund that protects against significant losses compared to one that 2% has the potential to outperform. A Target Date Fund that A Target Date Fund with Not sure helps most participants potential to outperform the
Slide 26: The Next Act
The Next Act 26
Slide 27: Most People Need Help Drawing Down
Most People Need Help Drawing Down 88 say they need guidance on % how to withdraw money from their retirement accounts. Women and those with assets below $500k are more likely to say they need a ton of help, while men are more likely to say they just need a little bit of guidance. Q35. Which best de
Slide 28: Nearly All Sponsors Agree They Should Offer Income Features
Nearly All Sponsors Agree They Should Offer Income Features Our participants need help turning their 44% 45% 10% 1% balance into a reliable income stream We believe it’s important to provide features that allow them to turn their balance into a reliable income stream 54% 40% 6% Strongly Agree Somewh
Slide 29: 4 in 5 Plan Sponsors Prefer Participants Keep Assets in the Plan
4 in 5 Plan Sponsors Prefer Participants Keep Assets in the Plan 48% 35% 9% 8% We have no We actively We prefer to retain We prefer to move preference on whether seek to retain assets but don’t retiree assets out of assets remain in the assets in plan actively encourage the plan plan or leave This i
Slide 30: One-Third Have Realistic Expectations About Generating Income
One-Third Have Realistic Expectations About Generating Income 40% expect to generate 6% or more. 31% 15% just don’t know. Boomers are more likely than Gen X and Millennials to expect less than 4%. Those with expect to generate $100k or more are likely to expect 6%. 5% of income from their Defined Co
Slide 31: Protecting Savings In a Market Crash Is Significantly Important
Protecting Savings In a Market Crash Is Significantly Important Importance of Protecting Value of 82% of participants want their account Entire Workplace Retirement Savings value protected before age 65. Extremely important 46% 3 in 10 say age 50 Very important 29% 4 in 10 say age 60+ Somewhat impor
Slide 32: Three-Quarters Want 100% Account Control & Flexibility in Retirement
Three-Quarters Want 100% Account Control & Flexibility in Retirement Extremely important 37% Very important 40% Somewhat important 17% Millennials are more likely to say Not at all important 1% they want control over their accounts compared to Boomers. Not sure 5% Q48. After you retire and begin tak
Slide 33: Clear Choice: Protect All & Let Me Choose Guaranteed Income Amount
Clear Choice: Protect All & Let Me Choose Guaranteed Income Amount 68% 30% 2% Protect all of my account balance leading Protect 30% of my up to retirement and account balance leading allow me to flexibility to Not sure up to retirement and choose how much base my income on this guaranteed income to
Slide 34: Summary
Summary ▪ Intentions are good but saving/investing is a slog – automate as much as possible ▪ Participants rely on their employers and advisors for help – keep on keeping on ▪ Volatility presents opportunity to revisit investment menus – is it time for a target-date deep dive? ▪ Accumulation battles
Slide 35: American Century Investments
American Century Investments ® Performance Focused Pure-Play Privately Controlled for 60 Years Business Model and Independent Our investment culture shares the Investment management is Unburdened by quarterly earnings common goal of delivering our sole business focus. pressure, our ownership structu
Slide 36: Methodology
Methodology The participant survey was conducted between December 7, 2022, and January 4, 2023. Survey included 1,509 full-time workers between 25 and 65 saving through their employer’s retirement plan. The data were weighted to reflect the makeup of key demographics (gender, income, and education)
Slide 37: Important Information
Important Information Managing Money, Making An Impact American Century Investments® is a leading asset manager focused on delivering investment results and building long-term client relationships while supporting research that can improve health and save lives. It’s how we and our clients together
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