American Century Fund Helps Focus on Your Retirement Finish Line

The market�s ups and downs over the last five years has many investors questioning if they will be able to retire when planned. The American Century Livestrong 2025 Investor Shares (MUTF: ARWIX) may help those who still hope to retire in the next 15 years by setting a firm finish line.

The Livestrong Portfolio funds give investors a straightforward way to save for retirement based on the year they plan to retire. The fund�s target date, in this case 2025, is the approximate year in which investors plan to start withdrawing their money. �However, the principal value of the fund is not guaranteed at any time, so investors with specific needs may want to include the fund as part of a diversified investment strategy.

Here are the specifics for the American Century Livestrong 2025 Investor Share Fund for today�s mutual fund spotlight:

Investing Strategy: The fund invests mostly in other American Century mutual funds that represent a variety of asset classes and investment styles suitable for the fund�s targeted withdrawal date. Currently, 56% of the fund is in stocks, 33% is in bonds, with the remainder in cash and cash equivalents.

Expense Ratio: With a .84% expense ratio and no transaction fee, the fund is one of the lower cost funds in the large blend category and has a Morningstar Rating of five stars.

Top 5 Holdings: The top fund holdings in the American Century Livestrong 2025 Investor Share Fund include American Century NT Diversified Bond I (MUTF: ACLDX) at 22.40%, American Century NT Equity Growth Institutional Shares (MUTF: ACLEX) at 12.37%, American Century NT Large Company Val I (MUTF: ACLLX) at 11.70%, American Century NT Growth Institutional Shares (MUTF: ACLTX) at 10.23%, and American Century NT Intl Growth I (MUTF: ACLNX) at 7.85%.

Returns: The one-year return of 22.3% underperformed the Dow Jones Industrial Average�s return of 29.8% and the S&P 500, which returned 30.8% over the same period. Its 5-year return of 7.8% also underperformed the Dow�s 12.8% return, but beat the S&P 500�s 5.3% return.

Other Fund Statistics

• Total Assets: $1.01 billion (as of 7/5/11)
• Minimum Investment: $2,500
• Fund manager: Irina Torelli, Scott Wilson, Enrique Chang, Scott Wittman and Richard Weiss
• Fund Originated: December, 2004, December 2006, January 2009, June 2009, and May 2010, respectively.