AllianceBernstein has launched a default investment strategy for defined contribution schemes.
The investment manager said the offering - Customized Retirement Strategies - combines the best features of traditional lifestyling and diversified growth strategies.
The strategy consists of age-based funds which de-risk as the scheme members get older. The member invests in a target date fund maturing closest to their expected retirement date and AllianceBernstein takes responsibility for the ongoing asset allocation.
The firm said the funds are open-architecture - allowing trustees and sponsoring employers the option of selecting specific investment managers.
Chief executive Claude Chene said millions of new DC pension savers would emerge following the introduction of the National Employment Savings Trust from 2012.
He added: "We have spent considerable time researching the product design and the optimal way to deliver it, while being conscious of the need to build in flexibility in order to remain robust in a constantly changing world.
"By taking on the key investment decisions through a diversified age-based approach, our strategy will improve results for the majority of DC members who do not want to make their own investment decisions."
