Vanguard Target Retirement 2040 Fund Summary

Expecting to retire in about 35 years? You still have time to capitalize on the growth that Target Retirement 2040 Fund can provide before it gradually glides to the income-oriented focus you’ll want for your later life stages.

Slide the pointer in the graph below to see how the fund automatically grows more conservative as you approach retirement.

Current age: 29–33 Retirement date: 2038–2042 Vanguard® Target Retirement 2040 Fund invests in these funds: Stocks Vanguard Total Stock Market Index Fund Vanguard European Stock Index Fund Vanguard Pacific Stock Index Fund Vanguard Emerging Markets Stock Index Fund Bonds Vanguard Total Bond Market Index Fund

View the most recent asset allocation and fund allocation for Vanguard Target Retirement 2040 Fund.

Vanguard Target Retirement 2040 Fund will gradually become more conservative by strategically decreasing its stock investments and increasing its bond investments. Ultimately, the fund's asset mix will be the same as that of Vanguard Target Retirement Income Fund.

You can be confident you’ve invested wisely when you choose a Vanguard Target Retirement Fund:

• It’s a simpler, more convenient strategy: You’ll never have to think about hiring an advisor or constantly monitoring your investments—we’ll do all the adjustments and analysis for you automatically.
• It’s diversified across asset classes: Each Target Retirement Fund gives you a complete portfolio in one convenient package—small-, mid-, and large-cap stocks; domestic and international stocks; investment-grade bonds; and, eventually, inflation-protected securities and money market instruments.
• It's a great value: The minimum $3,000 investment is significantly lower than what you’d need to invest separately in each of the funds in this portfolio. In addition, the expense ratio is less than one-third the industry average for similar funds*, and you get the low-cost advantage of market-tracking performance that’s characteristic of index funds.
• It’s from Vanguard: You’ll share investment strategies that are based on time-tested principles and extensive research from the investment management company known for an unwavering focus on clients, exceptional value, and plain talk.

Learn more about this fund