Fund Evaluator:
BlackRock LifePath® Index 2040 Inv A (LIKAX)
Follow This Fund
Best Performing in Target-Date 2040 Over the Last Year
| 28.5% | SP Funds 2040 Target Date Investor (SPTBX) |
| 21.0% | Fidelity Advisor Freedom Blend 2040 Z (FHHFX) |
| 20.4% | Fidelity Advisor Sust Trgt Dt 2040 Z (FSYDX) |
| 20.3% | Victory Target Retirement 2040 (URFRX) |
| 20.3% | Fidelity Advisor Sust Trgt Dt 2040 I (FSYBX) |
Fund Details
BlackRock LifePath® Index 2040 Inv A Overview
BlackRock LifePath® Index 2040 Inv A (LIKAX) is an actively managed Allocation Target-Date 2040 fund. BlackRock launched the fund in 2011.
The investment seeks to provide for retirement outcomes based on quantitatively measured risk. The fund allocates and reallocates its assets among a combination of equity and bond index funds and money market funds (the "underlying funds") in proportions based on its own comprehensive investment strategy. It will invest, under normal circumstances, at least 80% of its assets in securities or other financial instruments that are components of or have economic characteristics similar to the securities included in its custom benchmark index, the LifePath Index 2040 Fund Custom Benchmark.
About BlackRock LifePath® Index 2040 Inv A (LIKAX)
There are 3 members of the management team with an average tenure of 3.07 years: Michael Pensky (2025), Christopher Chung (2020), Peter Tsang (2025). Management tenure is more important for actively managed funds than passive index funds.
The fund has 2 primary benchmarks: Russell 1000 TR USD index with a weighting of 100% and Bloomberg US Agg Bond TR USD index with a weighting of 100%. BlackRock LifePath® Index 2040 Inv A has 13 securities in its portfolio. The top 10 holdings constitute 99.6% of the fund’s assets. The fund meets the SEC requirement of being classified as a diversified fund. The fund is not considered to have an ESG focus with its investment selection and management.
BlackRock LifePath® Index 2040 Inv A is part of the Allocation global asset class and is within the Allocation fund group. BlackRock LifePath® Index 2040 Inv A has 29.8% of its portfolio invested in foreign issues. The overall assets allocated to domestic stock is 43.4%. There is 28.2% allocated to foreign stock, and 0.0% is allocated to preferred stocks. The bond allocation as a percentage of total assets is 23.0% (21.5% domestic bond, 1.5% foreign bond and 0.0% convertible bond). BlackRock LifePath® Index 2040 Inv A has 2.3% of the portfolio in cash.
Assets Under Management
The fund has $130 million in total assets, which is below the $1 billion average for the Target-Date 2040 category. Normally, lower assets under management translates to higher average expense ratios, and greater total assets are desired. However, for some investment categories, such as small-cap investing, it may be difficult for the manager to fully employ the desired active strategy if assets grow too large or too quickly.
LIKAX Performance and Fees
The expense ratio measures how much of a fund’s assets are used for administrative expenses and operating expenses, including adviser fees and fees for the transfer agent and custodial services. The BlackRock LifePath® Index 2040 Inv A expense ratio is below average compared to funds in the Target-Date 2040 category. BlackRock LifePath® Index 2040 Inv A has an expense ratio of 0.39%, which is 42% lower than its category average, making the fund expense ratio grade a B. While it is difficult to predict returns, it is known that high annual expense ratios reduce your rate of return, and excessive fees are difficult to overcome. Active management normally comes with higher expense ratios than passive index management. Certain investment categories such as small company and foreign also normally have higher expense ratios. It is best to compare fund expense ratios against the category averages for meaningful assessments.
High portfolio turnover can translate to higher expenses and lower aftertax returns. BlackRock LifePath® Index 2040 Inv A has a portfolio turnover rate of 16%, indicating that holds its assets around 0.1 years. By way of comparison, the average portfolio turnover is 22% for the Target-Date 2040 category.
Recently, in the month of July 2026, BlackRock LifePath® Index 2040 Inv A returned -0.8%, which earned it a grade of C, as the Target-Date 2040 category had an average return of -0.8%. The letter grades of A, B, C, D and F are based upon relative rankings within the investment category. A grade of A, for example, would indicate that the return is in the highest 20% for that time period compared to all funds in that category.
BlackRock LifePath® Index 2040 Inv A has a trailing yield of 2.03%, which is above the 1.91% category average. The fund normally distributes its income annually and its capital gains annually.
It’s natural to seek the best-performing investments, but you must consider the relationship between risk and return and the impact of costs and taxes on your realized returns.
BlackRock LifePath® Index 2040 Inv A Grades
Year to date, the fund has returned 8.2%, 0.5 percentage points worse than the category, which translates into a grade of D. The fund has returned 16.7% over the past year (grade of D), 13.8% over the past three years (grade of D) and 7.4% per year over the past five years (grade of D) and 9.7% per year over the past 10 years (grade of D).
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LIKAX Trailing NAV Total Returns Data as of 7/31/26
| Last Month |
Last Quarter |
Ann'l. 1Yr |
Ann'l. 3Yr |
Ann'l. 5Yr |
Ann'l. 10Yr |
|
| LIKAX Return (NAV) | -0.8% | 2.3% | 16.7% | 13.8% | 7.4% | 9.7% |
| LIKAX Grade | C | F | D | D | D | D |
| +/- Category | 0.0% | -0.5% | -0.5% | -0.4% | -0.3% | -0.2% |
| Target-Date 2040 Avg | -0.8% | 2.8% | 17.2% | 14.2% | 7.7% | 10.0% |
| LIKAX Tax Cost Ratio | na | na | 1.1% | 0.8% | 0.8% | 0.8% |
LIKAX Annual NAV Total ReturnsData as of 7/31/26
| 2026 | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | |
| LIKAX Return (NAV) | 8.2% | 17.3% | 12.4% | 18.2% | -17.9% | 15.7% | 13.8% | 24.6% | -7.3% | 19.6% | 7.8% |
| LIKAX Grade | D | C | D | C | C | C | D | B | B | D | C |
| +/- Category | -0.5% | -0.2% | -0.4% | 0.3% | -0.5% | -0.0% | -1.5% | 0.8% | 0.6% | -0.5% | 0.1% |
| Target-Date 2040 Avg | 8.8% | 17.4% | 12.8% | 17.9% | -17.4% | 15.7% | 15.3% | 23.8% | -7.9% | 20.1% | 7.8% |
| Risk Measures | |
| Standard Deviation: | 10.5% |
| Total Risk Index: | 0.85 - Average |
| Category Risk Index: | 0.99 - Average |
| Category Risk Grade: | C (41% Rank) |
| Beta: | 1.10 |
| R-Squared: | 97% |
| Leveraged Fund: | No |
| Inverse Fund: | No |
| Portfolio Characteristics | |
| Equity Investment Style: | Large-Cap Blend |
| Bond Investment Style: | na |
| Yield: | 2.0% |
| Dividend Distribution: | Annually |
| Cap Gains Distribution: | Annually |
| Total Assets: | $15235 Mil |
| Fund Total Assets: | $ 130 Mil |
| Share Class Type: | No Load |
| Portfolio Turnover: | 16% |
Management Team
| Number of Managers: 3 | |||
| Longest Tenure: 6.2 years | |||
| Average Tenure: 3.1 years | |||
| Managers (Year): Chung Christopher (2020), Tsang Peter (2025), Pensky Michael (2025) | |||
Portfolio Composition (as of 6/30/26)
| # of Holdings: | 13 |
| % in Top 10 Holdings: | 99.6% |
| Fund is Non-Diversified: | No |
| % in Foreign Issues: | 29.8% |
Portfolio Allocation |
|
| Domestic Stock: | 43.4% |
| Foreign Stock: | 28.2% |
| Preferred Stock: | 0.0% |
| Domestic Bond: | 21.5% |
| Foreign Bond: | 1.5% |
| Convertible Bond: | 0.0% |
| Other: | 3.0% |
| Cash: | 2.3% |
Purchase Information
| Fund Family: | BlackRock |
| Phone Number: | 800-441-7762 |
| Website: | www.blackrock.com |
| Status: | Open |
| Inception Date: | May 31, 2011 |
| Min. Initial Purchase: | $1,000 |
| Min. Initial IRA Purchase: | $ 0 |
| True No-Load: | Yes |
| Front Load Maximum: | 0.00% |
| Deferred Charge Maximum: | 0.00% |
| Redemption Charge Maximum: | 0.00% |
| 12b-1 Fee: | 0.25% |
Expenses and Fees | |
| Expense Ratio (%): | 0.39% ( Rating : Below Avg ) |
| Category Average Expense Ratio (%): | 0.67% |
| Share Class: | BlackRock LifePath® Index 2040 K |
| Min. Subsequent Purchase: | $ 50 |
| Min. Subsequent IRA Purchase: | $ 0 |
