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A lifetime allocation with human capital: implications for target date fund

Author

Listed:
  • Seokkeun Ha

    (EDHEC Business School-Nice Campus)

  • Frank J. Fabozzi

    (EDHEC Business School-Nice Campus)

Abstract

In this paper, we propose a new target date fund that incorporates human capital. The proposed glide path for the target date fund is based on the capital asset pricing model in a way such that the asset allocation of the target date fund with human capital is matched with that of the global market portfolio with human capital. This new target date fund provides a customized retirement solution satisfying different human capital risk profiles.

Suggested Citation

  • Seokkeun Ha & Frank J. Fabozzi, 2022. "A lifetime allocation with human capital: implications for target date fund," Journal of Asset Management, Palgrave Macmillan, vol. 23(5), pages 365-375, September.
    • Handle: RePEc:pal:assmgt:v:23:y:2022:i:5:d:10.1057_s41260-022-00278-w
    DOI: 10.1057/s41260-022-00278-w
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    References listed on IDEAS

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