Management process
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To find out if Target Destination Funds might be a good fit for one of your clients, contact your wholesaler today. Or, visit the Nationwide Sales and Service Center to find out more about our unique solutions that are built around your needs.

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Money managers

We operate on an independent, subadvised platform to meet the individual mandates of each investment. We routinely monitor our fund managers’ performance and always keep potential candidates ready in case we need to make a change.

The investment decisions in Target Destination Funds are made by renowned money managers, including:

  • BlackRock Investment Management, LLC
  • Federated Investment Management Co.
  • Goldman Sachs Asset Management, L.P.
  • Nationwide Asset Management

An objective perspective

With our Nationwide Target Destination Funds, we strive to meet your needs and those of your clients. That's why we don't limit our funds' ability to help you by relying solely on proprietary funds and management teams. Instead, we follow a carefully orchestrated and objective approach:

  • Asset allocation by Ibbotson Associates, Inc. - the experts in asset allocation provide the long-term strategic direction for our model portfolios
  • Subadvised fund platform - while the funds all carry the Nationwide name, the day-to-day management of the underlying funds is handled by well-known money managers, including BlackRock, Federated and Goldman Sachs
  • Rigorous manager selection process - we use a four-step process that includes quantitative research, a qualitative review, risk analysis and monitoring

The Fund's principal value is not guaranteed at any time, including at the target date designated in the Fund's name. The target date is the approximate date when an investor may choose to retire and/or begin withdrawing from the Fund. Over time, each Fund's allocations to different asset classes will become more conservative, with greater emphasis on investments that provide for income and preservation of capital, and less on those offering the potential for growth.

Important Disclosures

Investors should carefully consider a fund's and each of its underlying funds' investment objectives, risks, fees, charges and expenses before investing any money. To obtain this and other information on Nationwide Funds, please instruct your clients to call 1-800-848-0920 to request a summary prospectus and/or a prospectus, or download a summary prospectus and/or a prospectus at nationwide.com/mutualfunds. Please instruct them to read it carefully before investing any money.

The Nationwide Target Destination Funds are designed to provide diversification across a variety of asset classes, primarily by investing in underlying funds. Therefore, in addition to the expenses of the Nationwide Target Destination Funds, each investor is indirectly paying a proportionate share of the applicable fees and expenses of the underlying funds.

In general, a fund with a later target date is expected to be more volatile, and thus riskier, because of its greater allocation to equity securities than a fund with an earlier target date. A fund at its target date through the next 20 years is expected to be less volatile than a fund in its "pre-target-date" stage. The Nationwide Retirement Income Fund, which is the vehicle intended to serve investors who are approximately 20 years beyond a fund's target date, is expected to be the least volatile of the Funds due to the Retirement Income Fund's further reduced exposure to equity securities.

Asset allocation is the process of spreading assets across several different investment styles and asset classes. The purpose is to potentially reduce long-term risk and capture potential profits across various asset classes.

There is no assurance that the investment objective of any fund (or that of any underlying fund) will be achieved or that a diversified portfolio will produce better results than a nondiversified portfolio. Diversification does not guarantee returns or insulate an investor from potential losses, including the possible loss of principal.

Each Fund is subject to different levels of risk, based on the types and sizes of its underlying asset class allocations and its allocation strategy. In addition, each Fund's underlying funds may be subject to specific investment risks such as those associated with: (i) bonds and short-term instruments, (ii) small companies, (iii) mid-sized companies, (iv) international securities, (v) real estate investment trusts (REITs), and (vi) initial public offerings (IPOs).

Because a fund's allocation may not match a particular investor's retirement goal and an investor may have different retirement needs than anticipated, there is no guarantee that an investor will have the desired level of retirement assets available. Also, an investor may have different retirement needs than the allocation model anticipates.

Ibbotson Associates, Inc. ("Ibbotson") is a registered investment advisor and wholly owned subsidiary of Morningstar, Inc. The Ibbotson name and logo are properties of Ibbotson. Ibbotson and its affiliates are not related to Nationwide and its affiliates.

Because each asset class has target allocation ranges based on research conducted by Ibbotson for Nationwide Funds GroupSM, these allocations will vary. Day-to-day market activity will likely cause a Fund's asset allocations to fluctuate from the stated target. Under ordinary circumstances, the Adviser will periodically rebalance the assets of each Fund in order to conform its actual allocations to those stated in the then-current prospectus. The asset class target allocations are subject to change at any time and without notice.

Distributor

Nationwide Funds distributed by Nationwide Fund Distributors LLC (NFD), Member FINRA, 1000 Continental Drive, Suite 400, King of Prussia, Pa. 19406. NFD is not affiliated with Ibbotson Associates, Inc.

Nationwide, Nationwide Financial, the Nationwide framemark, Nationwide Funds and Nationwide Funds Group are service marks of Nationwide Mutual Insurance Company.

©2013 Nationwide Funds Group. All rights reserved.

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