Graduated Learning: Life after College

I got my degree, I got a job…now what?

Diversifying my 401(k) October 31, 2007

Filed under: Personal Finance — Stephanie @ 7:28 pm
Tags: ,

So, I just got my 3rd quarter 401(k) statement. They have a message at the bottom reminding me that I have a “right to diversify [my] investment portfolio”. I’m just wondering how exactly that works.

Let’s start at the begining. I signed up for the 401(k) pretty soon after I started work, and listened to the whole “diversify” thing…but not really. I ended up putting 90% of my contributions in one fund…that had the word “diversified” in it…it took a while for me to try to readjust to something less dangerous (that is, contribute to more funds), but now a bulk of my money is still in one fund. I called my 401(k) people to see what I can do about it…and there is an option to rebalance. But is it really as simple as pressing 1 or whatever on the phone? I’m not sure if I want everything rebalanced all at once.

I guess I’ll have to call them again when I’m more sure of what should happen.

[Edit: It was really easy to do…check out this page to see how it went.]

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3 Responses to “Diversifying my 401(k)”

  1. myamoola Says:

    I’m wrestling with this now. I recently upped my 401k contributions from 4% to 10%, but I’ve always had it all dumped into the “Growth Fund.”

    Now I’m wondering if I should maybe split 25% of that off into the Aggressive Fund.

  2. rido777 Says:

    Jim Cramer…THE SOURCE ON MONEY…gives his take on 401k plans….Great tip!

    http://www.maxim.com/AskJimCramer/articles/9246.aspx?src=tst167:MKd

  3. […] to do, I just never clicked on the right link. I had way too much money in one fund (as I discussed before), but was moving towards 5 funds at 20% each. They’re mostly in growth funds, since I’m […]


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