Hello everyone,
First of all, thank you to everyone who commented in my 'Fresh College Grad' post - I found it very helpful! I have another question I want to ask since I'm just diving into the real world - and my company's
401k plan.My company goes through Fidelity and I am attempting to take my first stab at asset allocation. I'm somewhat confused by the various types of funds - large/mid/small cap. Also, I've read a lot about index funds and I noticed that I can select a 'Spartan US Equity Index Fund.' The management fee is 0.07% and the expense ratio is 0.10%. Can someone shed some light on what these numbers imply? There are also new Fidelity FreedomXX funds which I believe are managed by Fidelity based on your expected retirement rate - any suggestions on whether to go with one of these or to manage my own allocation?
Currently, this is what I'm thinking for allocation, any comments? LARGE CAP - Spartan US EQ INDEX: 50% MID CAP - FKLN SMMIDCAP GRTH A: 20% SMALL CAP - RS PARTNERS A: 10% INTERNATIONAL - FID DIVERSIFIED INTL: 20%
Thank you in advance.