Personal Investments • Help with 401k fund pick

Welcome to the forum

Your employer's plan offers many good funds to use, and no bad choices, you are very fortunate.

Hello,
Need help with 401k fund pick on new job.
Age: 30
Funds in the plan.
Vanguard funds: VIIIX, VEMPX, VBTIX, VTSNX VEMIX, VIPIX, VGSNX, VPMAX, VWNAX,
AMERICAN: RWIGX RERGX
Dodge & cox – DODIX
Leaning towards: VIIIX (65), VEMPX (5), VBTIX (10), VTSNX (20). No int. bond idx fund.
Should I include DODIX at this age to accumulate a little every year over the years?
Appreciate your inputs.

Those are excellent fund choices which you are "leaning towards".

To simplify you could just use Vanguard Institutional Index Institutional Plus (a S&P 500 index fund, covers 85% of the U.S.stock market) (VIIIX) by itself for your U.S. stock allocation. I would not bother using another U.S. stock fund trying to better mimic a total stock market index fund. Historically total stock and S&P 500 index funds have had almost identical performance.

Dodge & Cox Income I (DODIX) is a good actively managed bond fund, well diversified with a below average expense ratio and good historical performance compared to a total bond market index fund. But I prefer a good index fund over a good actively managed fund, so I suggest Vanguard Total Bond Market Index I (VBTIX) instead.

Statistics: Posted by ruralavalon — Mon Jul 08, 2024 10:11 am — Replies 4 — Views 181

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