BlackRock LifePath Dynamic 2025 Fund
Data updated: 2024-11-26
C000089949 — BlackRock LifePath Dynamic 2025 Fund. Target Date / Glide Path Allocation · $135.64M AUM. Holdings, fees, performance and SEC filings.
C000089949 Fund Overview
BlackRock LifePath Dynamic 2025 Fund is a US mutual fund managed by BlackRock Funds III, categorised as Target Date / Glide Path Allocation. ABC INVEST provides holdings, performance, costs, cashflows, risk data, prospectus documents and SEC filings, sourced from SEC filings.
- Type: US mutual fund
- Manager: BlackRock Funds III
- Category: Target Date / Glide Path Allocation
- Assets under management: $135.64M
- 1-year return: 20.7%
- SEC CIK: 0000893818
- SEC series ID: S000029259
- Share class ID: C000089949
C000089949 Investment Objective and Strategy
BlackRock LifePath Dynamic 2025 Fund describes its objective and strategy as follows, from its latest prospectus filed with the SEC by BlackRock Funds III.
Investment objective
The investment objective of BlackRock LifePath ® Dynamic 2025 Fund (“LifePath Dynamic 2025 Fund” or the “Fund”), a series of BlackRock Funds III (the “Trust”), is to seek to provide for retirement outcomes based on quantitatively measured risk. In pursuit of this objective, the Fund will be broadly diversified across global asset classes, with asset allocations becoming more conservative over time.
Principal investment strategy
LifePath Dynamic 2025 Fund invests all of its assets in the 2025 Master Portfolio, a separate mutual fund with a substantially identical investment objective, which allocates and reallocates its assets among a combination of equity, bond and money market funds (the Underlying Funds), direct investments in equity securities of issuers that are primarily engaged in or related to the real estate industry (real estate-related equity securities) and derivatives in proportions based on its own comprehensive investment strategy. Under normal circumstances, the Fund intends to invest primarily in affiliated open-end funds and affiliated exchange-traded funds (ETFs). In connection with its investments in derivatives related to issuers that are primarily engaged in or related to the real estate industry (real estate-related derivatives), the Fund may invest in derivatives, including but not limited to, futures, options, contracts for difference, forward contracts and/or swaps, including interest rate swaps and credit default swaps, for purposes of managing risk or to seek to enhance total return.
The Fund may also use such real estate-related derivatives for leverage, in which case their use would involve leveraging risk. In addition to investments in real estate-related derivatives, the Fund may, when consistent with its investment goal, buy or sell options or futures, or enter into total return swaps and foreign currency transactions (collectively, commonly known as derivatives). The Fund may seek to obtain market exposure to the securities in which it primarily invests by entering into a series of purchase and sale contracts or by using other investment techniques (such as reverse repurchase agreements or dollar rolls). The Fund may use derivatives as a substitute for taking a position in an Underlying Fund and/or as part of a strategy to reduce exposure to certain risks. The Fund may also use derivatives to enhance return, in which case their use may involve leveraging risk.
Derivatives that are used as a substitute for taking a position in an Underlying Fund, to reduce exposure to risks (other than duration or currency risk) or to enhance return will increase or decrease the Funds equity or fixed income allocations for purposes of the glide path by the notional amount of such derivatives. Derivatives that are used to manage duration or hedge currency risk will not be allocated to the Funds equity or fixed income allocations for purposes of the glide path. The Fund is designed for investors expecting to retire or to begin withdrawing assets around the year 2025. The Fund seeks to provide for retirement outcomes based on quantitatively measured risk. BFA employs a multi-dimensional approach to assess risk for the Fund and to determine the Funds allocation across asset classes.
As part of this multi-dimensional approach, BFA aims to quantify risk using proprietary risk measurement tools that, among other things, analyze historical and forward-looking securities market data, including risk, asset class correlations, and expected returns. As of March 31, 2018, the Fund held approximately 59% of its assets in equity Underlying Funds, real estate-related equity securities and equity related derivatives, 37% of its assets in fixed income Underlying Funds and fixed income related derivatives and the remainder of its assets in Underlying Funds that invest primarily in money market instruments. Certain Underlying Funds may invest in real estate investment trusts (REITs), foreign securities, emerging market securities, below investment-grade bonds, commodity-related instruments and derivative securities or instruments, such as options and futures, the value of which is derived from another security, a commodity, a currency or an index.
Under normal circumstances, the asset allocation will change over time according to a glide path as the Fund approaches its target date. The glide path below represents the shifting of asset classes over time. As the glide path shows, the Funds asset mix becomes more conservative prior to retirement as time elapses. This reflects the need for reduced investment risks as retirement approaches and the need for lower volatility of the Fund, which may be a primary source of income after retirement. The following chart illustrates the glide path the target allocation among asset classes as the Fund approaches its target date. The following table lists the years until retirement and the target allocation among asset classes for each of the BlackRock LifePath Dynamic Funds as set out in the above chart: Name of Fund Years Until Retirement Equity Funds (includes REITs) 1 Fixed- Income Funds 1 BlackRock LifePath Dynamic Retirement Fund 0 40 % 60 % BlackRock LifePath Dynamic 2020 Fund 2 46 % 54 % BlackRock LifePath Dynamic 2025 Fund 7 59 % 41 % BlackRock LifePath Dynamic 2030 Fund 12 70 % 30 % BlackRock LifePath Dynamic 2035 Fund 17 80 % 20 % BlackRock LifePath Dynamic 2040 Fund 22 89 % 11 % BlackRock LifePath Dynamic 2045 Fund 27 96 % 4 % BlackRock LifePath Dynamic 2050 Fund 32 99 % 1 % BlackRock LifePath Dynamic 2055 Fund 37 99 % 1 % BlackRock LifePath Dynamic 2060 Fund 42 99 % 1 % 1 BFA may adjust the allocation to equity and fixed-income in the Fund, based on an assessment of the current market conditions and the potential contribution of each asset class to the expected risk and return characteristics of the Fund.
In general, the adjustments will be limited to +/- 10% relative to the target allocations. The asset allocation targets are established by the portfolio managers. The investment team, including the portfolio managers, meets regularly to assess market conditions, review the asset allocation targets of the Fund, and determine whether any changes are required to enable the Fund to achieve its investment objective. Although the asset allocation targets listed for the glide path are general, long-term targets, BFA may adjust the allocation to equity and fixed-income in the Fund, based on an assessment of the current market conditions and the potential contribution of each asset class to the expected risk and return characteristics of the Fund. In general, the adjustments will be limited to +/- 10% relative to the target allocations.
BFA may determine, in light of market conditions or other factors, that a greater variation is warranted to protect the Fund or achieve its investment objective. Investments in Underlying Funds will be allocated towards the equity and fixed income percentages based on their classification. The Fund may also seek asset allocation to equity and fixed income by investing in funds that invest in a mix of equity and fixed income instruments (multi-asset funds). Investments in multi-asset funds will be allocated towards the equity and fixed income percentages listed for the glide path based on the multi-asset funds underlying investments in equity and fixed income instruments. BFAs second step in the structuring of the Fund is the selection of the Underlying Funds, equity securities and derivatives.
Factors such as fund classifications, historical risk and performance, and the relationship to other Underlying Funds in the Fund are considered when selecting Underlying Funds. The specific Underlying Funds selected for the Fund are determined at BFAs discretion and may change as deemed appropriate to allow the Fund to meet its investment objective. See the Details About the Funds Information About the Underlying Funds section of the prospectus for a list of the Underlying Funds, their classification into equity, fixed income, multi-asset or money market funds and a brief description of their investment objectives and primary investment strategies. The specific securities or derivatives selected for the Fund are determined at BFAs discretion and may change as deemed appropriate to allow the Fund to meet its investment objective.
Within the prescribed percentage allocations to equity and fixed-income, BFA seeks to diversify the Fund. The equity allocation may be further diversified by style (including both value and growth funds and issuers), market capitalization (including both large cap and small cap funds and issuers), region (including domestic and international (including emerging market) funds and issuers) or other factors. The fixed-income allocation may be further diversified by sector (including government, corporate, agency, and other sectors), duration (a calculation of the average life of a bond which measures its price risk), credit quality (including non-investment grade debt or junk bonds), geographic location (including U.S. and foreign-issued securities), or other factors. The percentage allocation to the various styles of equity and fixed-income are determined at the discretion of the investment team and can be changed to reflect the current market environment.
C000089949 Holdings
Top 10 holdings of BlackRock LifePath Dynamic 2025 Fund by percentage of net assets, from the fund's latest SEC N-PORT filing.
| Holding | % of net assets |
|---|---|
| BlackRock Diversified Fixed Income Fund | 32.90% |
| Diversified Equity Master | 24.27% |
| Blackrock Cash Funds Treasury Sl Agency Shares | 20.35% |
| iShares TIPS Bond ETF | 7.84% |
| MASTER INVESTMENT PORTFOLIO - International Tilts Master Portfolio | 4.69% |
| BlackRock Tactical Opportunities Fund | 3.41% |
| iShares Developed Real Estate Index Fund | 1.74% |
| iShares MSCI EAFE Small-Cap ETF | 1.66% |
| BlackRock Advantage Emerging Markets Fund | 1.58% |
| BlackRock High Yield Portfolio | 0.49% |
C000089949 Portfolio Allocation
Asset-class allocation of BlackRock LifePath Dynamic 2025 Fund by percentage of net assets, from the latest SEC N-PORT filing.
| Asset class | Allocation |
|---|---|
| Equity | 78.6% |
| Cash & Equivalents | 20.4% |
| Derivatives | 0.5% |
C000089949 Performance
Total returns for C000089949 (as of 2026-10-01), from SEC filings.
| Period | Total return |
|---|---|
| 1 year | 20.7% |
| 3 years (annualised) | 3.1% |
| 5 years (annualised) | 6.5% |
C000089949 Risk Information
Risk metrics for C000089949, derived from monthly returns in SEC filings.
- 1-year volatility (annualised): 9.1%
C000089949 Costs and Fees
C000089949 costs about $59 per $10,000 invested per year in fund expenses.
- Net expense ratio: 0.59%
- Gross expense ratio: 0.83%
- Portfolio turnover: 49%
- Brokerage commissions: 0.84 bps of average net assets (SEC N-CEN)
C000089949 Cashflows
Over the 12 months to 2024-09, BlackRock LifePath Dynamic 2025 Fund had net inflows of $32.28M, from monthly SEC N-PORT filings.
| Month | Net flow |
|---|---|
| 2024-09 | $647.00K |
| 2024-08 | $273.37K |
| 2024-07 | −$404.19K |
| 2024-06 | $1.61M |
| 2024-05 | $1.17M |
| 2024-04 | −$1.10M |
C000089949 Debt Constituents
No individual debt constituents are reported in BlackRock LifePath Dynamic 2025 Fund's latest SEC N-PORT filing.
C000089949 Prospectus and SEC Filings
Official BlackRock LifePath Dynamic 2025 Fund filings on SEC EDGAR — prospectus, portfolio holdings and annual reports.
- Prospectus (485BPOS) — filed 2023-04-27
- Prospectus supplement (497) — filed 2024-08-16
- Prospectus supplement (497) — filed 2022-09-30
- Portfolio holdings (N-PORT) — filed 2024-11-26
- Portfolio holdings (N-PORT) — filed 2024-08-26
- Portfolio holdings (N-PORT) — filed 2024-05-28
- Annual census (N-CEN) — filed 2024-03-14
- Annual census (N-CEN) — filed 2023-03-10
Related Funds
Other Target Date / Glide Path Allocation funds tracked on ABC INVEST:
Data Sources
ABC INVEST compiles this page from public filings made to the U.S. Securities and Exchange Commission (SEC) through EDGAR: portfolio holdings and monthly cashflows from Form N-PORT, expenses and returns from fund prospectuses (Form 485BPOS) and the SEC DERA Risk/Return Summary data sets, annual data from Form N-CEN, and shareholder reports from Form N-CSR.