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I would go with the funds. Small Cap, Income, Index and Mutual A 401k is a long term investment.

First, not sure why GE is listed in there. Assume you are under 25-35 here is your appropriate portfolio breakdown, assuming you don’t mind some risk. Instead of an 80%, 20% split between stocks and bond oriented investments, switch the 20% to what is called DRIPs (Dividend Reinvestment Programs). Companies such as KO, 3M, and GE offer these programs. These programs give you more shares as your dividend instead of a dollar figure. Obviously over time you money grows very fast due to compounding. 10% of your portfolio should be targeted towards speculation (positions you expect either a great return with high levels of risk. 70% (or the remaining part of your portfolio should be in the equity markets) A split between, value and growth oriented funds, international, small cap and large cap. So 20% of the 70% goes to international equities, 20% of the 70% goes to value oriented funds, 20% of the 70% goes to growth oriented funds, 20% of the 70% goes to large cap, and lastly 20% of the 70% goes to small cap. This way you are well diversified. Listen money market accounts should not be a part of your 401K. Money markets are emergency accounts so you don’t have to dip into your 401K in tough times. To accurately allocate from the info you gave above, I would need to see historic returns, expense ratios, fund management records. Take my advice and apply it to your options.



Good Luck!

I would prefer Index and International funds. Just check a prospectus and make sure they have a history of decent returns before you invest, and make sure they are well diversified.



I would avoid buying company stock, "don't put all your eggs in one basket."

I would be sure to pick up some GE stock at these price levels it has a very attractive dividend yield of 4.5%. You also need to diversify through large/small cap equities and international funds as well some some bonds (income fund)