Author Topic: New Employer Uses Principal - Need help with allocation  (Read 563 times)

HTX91

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New Employer Uses Principal - Need help with allocation
« on: January 05, 2022, 04:23:27 PM »
Hello All,

My new employer is contracted with Principal for their 401K plans. My goal is to allocate into the options below in an effort to imitate something as close to VTSAX as possible. Here are my fund options below along with their respected expense ratios:

Fixed Income Guaranteed Option.............................................................0%
Metropolitan West Total Return Bond Plan Fund..........................................0.37%
High Yield Separate Account - Principal Global Investors..............................0.22%
Principal LifeTime Hybrid Income CIT.........................................................0.22%
Principal LifeTime Hybrid 2010 CIT............................................................0.22%
Principal LifeTime Hybrid 2020 CIT............................................................0.22%
Principal LifeTime Hybrid 2030 CIT............................................................0.22%
Principal LifeTime Hybrid 2040 CIT............................................................0.22%
Principal LifeTime Hybrid 2050 CIT............................................................0.22%
Principal LifeTime Hybrid 2060 CIT............................................................0.22%
American Funds Growth Fund of America R6 Fund......................................0.30%
MFS Value R6 Fund - Massachusetts Financial Svc Co..................................0.47%
LargeCap S&P 500 Index Separate Account - Principal Global Investors.........0.05%
LargeCap Growth I Separate Account - T. Rowe Price/Brown Advisory............0.41%
SmallCap Growth I Separate Account - AB/Brown/Emerald...........................0.64%
Cohen & Steers Real Estate Securities Z Fund.............................................0.78%
JP Morgan Mid Cap Growth R6 Fund (JMGMX).............................................0.74%
MidCap S&P 400 Index Separate Account - Principal Global Investors............0.05%
SmallCap S&P 600 Index Separate Account - Principal Global Investors.........0.05%

T. Rowe Price Mid-Cap Value I Fund..........................................................0.65%
SmallCap Value II Separate Account - Vaughan Nelson/LA Capital/H&W.........0.67%
International Equity Index Separate Account - Principal Global Investors.......0.24%
T. Rowe Price Emerging Market Stock I Fund..............................................1.06%
International Equity R1 Fund - Wilmington................................................0.48%
U.S. Property Sep Acct - Principal Real Estate Inv.......................................0.79%



If I had to take a stab at it I would imagine I'd need to divide my allocation up amongst the three bolded options. Can anyone help me discover what % of each I'd need in order to closely match the VTSAX?


« Last Edit: January 05, 2022, 04:27:31 PM by HTX91 »

seattlecyclone

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Re: New Employer Uses Principal - Need help with allocation
« Reply #1 on: January 05, 2022, 04:37:05 PM »
Bogleheads has you covered. Looks like an 85/10/5 allocation between large/mid/small cap will get you very close.

HTX91

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Re: New Employer Uses Principal - Need help with allocation
« Reply #2 on: January 06, 2022, 07:21:57 AM »
Bogleheads has you covered. Looks like an 85/10/5 allocation between large/mid/small cap will get you very close.

Thank you so much. Appreciate the link as well!