Finance
Retirement is a part of our life that needs to be planned thoroughly so that we can live a smooth and peaceful life without any bumps. So it is important to start saving as soon as you start working and save a part of your income. One such retirement plan is the 401k, which helps you save your income and comes with certain benefits. However, there are various 401k plans in the market and it is important to carefully choose the plan that meets their needs and requirements and is right for them. The best mutual fund choices for 401k plans would be funds with low expense ratios, actively managed funds and good long-term performance. Here are some of the best 401k investment companies:
Vanguard 500 Index (VFINX): This company’s expense ratio is about 0.14%, which translates to about $14 per $10,000 invested annually. The minimum initial investment required would be $3,000. This company would be a smart choice because it is a low-cost, passively managed stock fund that invests in about 500 of the largest US companies.
American Funds Growth Fund of America (AGTHX): This company has an expense ratio of 0.66% and requires clients to make an initial investment of at least $250. This would be a wise choice for investors who want to actively manage large stock funds. AGTHX has a very balanced portfolio with exposure to large US stocks and 10% foreign stocks.
Dodge and Cox Stock (DODGX): This company has an expense ratio of 0.52% and requires its customers to make an initial investment of at least $2,500. This company operates smartly, working with a team management approach that invests in currently undervalued great stocks that would see exponential growth in the near future. This strategy has worked well enough for the company to reach recent highs.
