Investing into my 401K?

Question

I can only invest 3% for now and my company matches 100%. Below is a list of options that my company gives on my 401K. Any guidance is kindly appreciated.

SSgA PAR Fund

SSgA LB Bond Index Fund

MetWest Total Return Fund

SSgA Conservative Fund

SSgA Moderate Fund

SSgA Aggressive Fund

SSgA S&P 500 Index Fund

Dodge & Cox Stock Fund

Prudential Jennison Equity

Legg Mason

Artisan Mid Cap Fund

SSgA Russell 2000 Index

Wells Fargo Advtg Small Cap

Aim Small Cap Growth

Morgan Stanley International

Answer 1

Did you know that you can lose ALL your money in a 401K? It's like playing the slot machines at VEGAS. Matching 100% of zero is still zero.

Personally I prefer the regular old CDs. They're a sure thing.

If I want to gamble I GO TO VEGAS the ODDS ARE BETTER.

Answer 2

Lots of SSgA funds...I would diversify.  I'd target 20% of money in a large cap fund, 20% in small cap, 20% international, 20% in a balanced fund, and 20% market index fund.

Answer 3

It looks as if your company is pushing SSgA, that alone would make me stay away from them. Research the other choices. Remember, the 100% match that your company is making is usually in their own stock, the 3% is what you have to invest in the companies you listed. (REMEMBER POLAROID)

Answer 4

Download the free book http://www.invest-for-retirement.com and go straight to chapters 19 and 23.   It will take you about 45 minutes to read each chapter.  However, you will then know everything you really need to know about retirement investing for the rest of your life.  It's not that complicated, when you know what to focus on:  costs and asset allocation.

Skip the rest of the book if you want.  The rest of the book is just a bunch of filler.  19 and 23 are all you need to know.  (The author is a wind-bag and has a hard time condensing his material to his audience in a relevant way.  I should know.  I look at him in the mirror every day.)

By the way, you can check on your fund's costs by looking them up at http://www.morningstar.com

Answer 5

SSgA S&P 500 Index Fund 30%

Morgan Stanley International 30%

SSgA Russell 2000 Index 30%

SSgA LB Bond Index Fund 5%

SSgA Aggressive Fund 5%

Do that and you will be rich. Gauranteed. Dont ever cash out early. Wait till you retire to touch it and you will have a good bit of money