Hi Jeremy and Personal Finance Club folks,
My employer offers a 401K plan that has 4 index fund (all have similar expense ratios; some have higher turnover ratios than others, but overall pretty similar) options to choose from:
- Vanguard Institutional Index Instl Pl (VIIIX)
- Vanguard Small Cap Growth Index I (VSGIX)
- Vanguard Developed Markets Index Fund (VTMNX)
- Vanguard Small Cap Value Index Fund (VSIIX)
My questions are:
- Should I invest in all 4? If so, should I put a higher % in the US heavy Index Funds versus the International heavy index fund (VTMNX)?
- Is there a reason I should not invest in all 4 Index Funds?
- For the US heavy index funds, how do you know how much percent to invest in each? Should large cap and small cap be treated the same/differently?
- With these options in my 401k, should I go more bond heavy in my Roth IRA and brokerage account? Or will a target date index fund suffice with balancing things out? I am 33 years old.