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You work for a Fortune 5 0 0 company that offers a 6 % company 4 0 1 k match. You earn enough to max
You work for a Fortune company that offers a company k match. You earn enough to max out the k and still meet your living expenses. The vesting schedule is six years graded.
You have the following k funds to choose from:
Fidelity Index FXAIX Large Cap Domestic
Dodge and Cox Stock Fund DODGX Large Cap Value
Vanguard Growth Index Fund VIGAX Large Cap Growth
Vanguard MidCap Index Institutional VMCIX Mid Cap Domestic
TIAACref International Equity Index Institutional TCIEX International Stock
Vanguard Total Bond Marked Index VBTLX Domestic Bond
Vanguard Total International Bond Index Fund VTABX International Bond
Vanguard Federal Money Market Fund VMFXX Money Market
Fidelity Freedom FFFHX
Fidelity Freedom FDEEX
Fidelity Freedom FDKVX
Fidelity Freedom FFSFX
Key questions to answer:
Which funds would you choose?
If given the option to invest in your company's stock within the k assuming it was a solid company with good prospects would you? Would you limit your exposure to a certain percentage?
What asset allocation are you most comfortable with?
Are you comfortable with the fee level of the k mutual fund options?
How much would you contribute to this k plan? Would you max out your k plan? If not, what other vehicles would you prioritize?
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