AARP, has started selling three mutual funds geared toward retirement savings.

The three funds -- conservative, moderate and aggressive -- are designed to simplify investment choices for seniors. Each fund, carrying the AARP brand, invests in a diversified mix of stocks, bonds and other securities, with the allocation based on the level of risk, it said.
The funds are part of a new move by the powerful seniors lobby to compete for the dollars of baby boomers.

The three portfolios of each mutual fund are based on market indexes for U.S. stocks (MSCI U.S. Investable Market 2500 Index), international stocks (MSCI EAFE Index) and U.S. bonds (Lehman Brothers Aggregate Bond Index).

The funds are no-load, meaning that they don't charge sales fees. Annual operating expenses will have a 0.50 percent ratio. Expense ratios for index funds generally range from about 0.10 percent to 1.8 percent.
What does everyone think of this?

The words 'pension' and 'investment' don't ring so well of late. Pension fund has become a dirty word.

http://biz.yahoo.com/bizwk/060426/pi...9367.html?.v=1
Great analysis on AARP funds.

This is fairly interesting. Might be something to steer my parents towards, potentially. Who is managing the fund for them though? I would be curious as to what kind of experience and track record they are bringing to the table.

AARP always wanted to get into things like this. It might be "good", but I don't like them any better than the NEA.