After Retirement, the Shinhan Lifetime Income TIF Fund That Accumulates Like a Salary Payment

In two years, the retirement date for subscribers of TDF2025, which accounts for the largest share (22%) of the domestic Target Date Fund (TDF) market, will arrive. Shinhan Asset Management (CEOs Jaemin Jo and Heesong Kim) has introduced the ‘Shinhan Lifetime Income TIF Fund’ as an optimized product to address investors' concerns about managing retirement assets after retirement.

The TIF (Target Income Fund) is an asset allocation fund designed to preserve pension assets accumulated through TDFs or other products as much as possible while generating a stable income after retirement. It generally has a global income fund structure. By diversifying investments into preferred stocks, bonds, high-dividend stocks, REITs, and real estate infrastructure, it secures steady dividend income, interest income, and rental income. This allows it to defend returns stably even during volatile periods while pursuing higher income compared to fixed deposits.

In particular, the ‘Shinhan Lifetime Income TIF’ has shown top-tier performance in the industry since the beginning of the year, with returns of 2.09%, 0.12%, and 3.12% over the past 3 months, 6 months, and year-to-date respectively (based on Zeroin data as of March 6, 2023) among TIFs managed for more than three years. Those approaching retirement or already retired who need a regular income source should pay attention to the Shinhan Lifetime Income TIF Fund, which helps preserve assets with stable performance. Additionally, as the baby boomer generation (born 1955?1963) begins to enter the retirement market in earnest, the use of TIF funds as a pension investment tool is expected to expand further.

Kim Eui-chan, fund manager of the Global Investment Management Division at Shinhan Asset Management, stated, “The Shinhan Lifetime Income TIF invests about 70% in stable domestic and international bonds and ETFs. If the recent rapid rise in interest rates stabilizes, additional bond price increases are expected, which should further improve the fund’s returns.”

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