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Learning, Sharing, and Teaching => Investor Alley => Topic started by: FIREdancer on October 13, 2019, 05:47:23 PM

Title: 401K Investment Recommendation?
Post by: FIREdancer on October 13, 2019, 05:47:23 PM

Hello!  Looking for suggestions from investors who are smarter than me.  My company got rid of the Vanguard 500 index fund in my 401k, which is what I had all my contributions going towards, and I'm not familiar with the options that they switched to. Mostly they now just have Target Date American Funds, which I don't want.

Anyone familiar with these and have recommendations for something similar to Vanguard 500 or total stock market?  Currently I'm in Delaware Value R6 and AB Large Cap Growth Z, and here's the other options available:
American Funds Mortgage R6
Payden Corporate Bond
Artisan High Income Institutional
Wells Fargo Special Mid Cap Value R6
Carillon Eagle Mid Cap Growth R6
Undiscovered Managers Behavior Val R6
Emerald Growth Institutional
Lazard International Strategic Eq Instl
Harding Loevner Emerging Markets Advisor
Cohen & Steers Real Estate Securities Z

Also, curious for your opinions on if I should move my existing investments over or just change where my contributions are going.  And important to note is that I am tentatively planning to quit my current job around June of this coming year, so is it even worth moving these funds around now or just wait till I leave in June and roll it all into my Vanguard Total Stock market IRA?

Thanks!

Title: Re: 401K Investment Recommendation?
Post by: EvenSteven on October 16, 2019, 03:54:35 PM

I see nobody has responded yet.

I don't know anything about those funds but they sound expensive. Don't switch your current investments over if you don't have to. If you are leaving in a few months anyways, just keep shoveling your normal amount into your 401k into what you have selected now, then roll it over when you leave. 8 months of slightly higher fees on new contributions is nothing to lose sleep over.

Title: Re: 401K Investment Recommendation?
Post by: MDM on October 16, 2019, 04:03:42 PM

Quote from: EvenSteven on October 16, 2019, 03:54:35 PM

I see nobody has responded yet.

I don't know anything about those funds but they sound expensive. Don't switch your current investments over if you don't have to. If you are leaving in a few months anyways, just keep shoveling your normal amount into your 401k into what you have selected now, then roll it over when you leave. 8 months of slightly higher fees on new contributions is nothing to lose sleep over.

^Pretty much this.

If getting rid of  the Vanguard 500 index fund in your 401k, and leaving you with (what appear to be) very poor choices is indicative of how company management treats employees, then your imminent departure seems a good idea.

Title: Re: 401K Investment Recommendation?
Post by: FIREdancer on October 18, 2019, 06:04:32 AM

Thank you both!  That's basically what I was thinking, but I appreciate the second opinions.  And yes, have not been happy with how the company has been handling things lately.  Would consider leaving even sooner, but if I wait until June I will be fully vested in the employer match...they don't have a great employer match, but it's still something.

Title: Re: 401K Investment Recommendation?
Post by: TomTX on October 19, 2019, 05:57:46 AM

I'm pretty sure your company has a legal fiduciary duty to offer "prudent" funds for investment.

https://www.employeefiduciary.com/blog/meeting-401k-fiduciary-responsibility