At RiverFront, we believe asset allocation (the choice between asset classes, such as stocks versus bonds/cash, or US stocks versus international stocks) is by far the most important decision an investor makes.  Since there is no ‘index’ that is customized for an investor’s risk tolerance and retirement needs, some active decision regarding asset allocation is necessary, in our view.  In recent years, ‘target date’ products that are marketed to meet a retirement date have become extremely popular because the concept is simple.  We are alarmed by the high percentage allocation to bonds, as the retirement date approaches, within many target date products.  In the current interest rate environment and with life expectancy expanding, we think bonds are much less appropriate than they used to be when rates were higher, especially relative to inflation.  

David Fuller's view

Here is The Weekly View.

I agree, and I think the risk of a panicky spike in bond yields, as one-way traffic reverses, is uncomfortably high.