Skip to main content
Message Font: Serif | Sans-Serif
 
No. of Recommendations: 1
Howdy Fools,

Long time Fool here, first time poster (though I must admit I read these forums on a daily basis between client appointments). I recently passed my one year anniversary at my company, and am now allowed to enroll in our Roth 401(k) plan through Fidelity. Basically, I wanted to consult ya'll before I start down my long fiscal path in life to see if I'm starting off on the right foot.

Vitals about my situation:

*24 years old
*Single Homeowner
*Long-term buy and hold investing style, especially with companies that pay a dividend, yet still very aggressive due to my long investing horizon (40+ years)
*Realizes that compounding interest is the 8th wonder of the world

My company matches $.50 per dollar contributed up to 6% of gross pay. We also receive a 15% discount on any company stock purchased.

Currently, I have it set up so that I'm putting away 10% of my gross pay, 6% to the Roth 401(k) for full company match, and 4% to company stock. I have no other investments (IRAs, CDs, random piggy banks stashed in the attic).

My question to ya'll is, what would you do to improve my Roth 401(k) allocation?

My options are:

Large Cap

Fid Cap Appreciation
H & W LG Cap Value I
Sptn US Eq Ind Advan (S&P 500 Index)

Mid Cap

Vang Strategic Eq

Small Cap

Northern Sm Cap Value

International

Dodge & Cox Intl Stock
Lazard Emerging Mkts IS
Hartford SMCO HLS IA
WFA Cap Growth Inst

Blended

Dodge & Cox Balanced
A whole bunch of Lifestyle Funds
A whole bunch of Bond funds

I'm leaning towards these positions, allowing for a 40%/40%/20% Large/Intl/Small & Mid aggressive approach:

Large Cap

(10%)Fid Cap Appreciation
(20%)Sptn US Eq Ind Advan (S&P 500 Index)

Mid Cap

(10%)Vang Strategic Eq

Small Cap

(10%)Northern Sm Cap Value

International

(30%)Dodge & Cox Intl Stock
(10%)Lazard Emerging Mkts IS

Blended

(10%)Dodge & Cox Balanced

I realize that having 40% International could be viewed as too aggressive, but I believe with a 40+ year investment horizon, that the general slope of that will be up. I am thinking of dropping the Dodge & Cox Balanced, as that does have bonds mixed into it and feel my money would be better off elsewhere (maybe the S&P 500 index?).

Let me apologize for the length of my post, but do know that whatever feedback I receive will be more than greatly appreciated.

Take care ya'll,

Frag

Knows that some witty signature should go here, but is really just happy to be here
Print the post  

Announcements

What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.