What is the best funds to allocate my 401k for 20 years?

Answer 1

Just so you know, Mutual funds aren´t for everyone. Personally, I wouldn´t invest in them unless I had to. For more detail on that, just do a search for where I´ve addressed this question in other answers.

However to answer your question, there are several rankings of mutual funds. Here are some of the sources with appropriate link.

Lots of sources for Mutual fund reports that you´re looking for. Here are some.

Money Magazine
http://money.cnn.com/magazines/moneymag/bestfunds/indexfunds.html

Morningstar
http://www.morningstar.com/Cover/Funds.html?pgid=hetabfunds

Kiplingers
http://www.kiplinger.com/personalfinance/investing/funds/?

MutualFundRankings
http://mutualfundrankings.org/

And you may want to take a look at this article on mutual funds too just so you have a little more info if you´ve got tax concerns.

http://www.stanford.edu/dept/news/pr/93/930429Arc3288.html

Past performance does NOT guarantee future results, but if you monitor your funds periodically, you'll be ahead of the curve.

If you have any questions, please let me know.

Hope that helps!

Answer 2

Most cases, you want some money in safe mutual funds..usually called " balanced, blended, regular, or safety in your "plan"...about 60% ...then put some in small/mid cap growth..if your plan offers a "real estate" fund that's excellent...also try to put 15%-20% into a global or international fund....
If you're under 35 avoid the bond funds for awhile.( there should be some in the balanced type anyway)
Don't forget about the stuff either, at the end of the year move a little here and there ...for more returns....make it WORK for you!
A couple extra percent adds up to " gazillions" over the long run.

Answer 3

We will only know the answer to that question 20 years from now. Since we do not know, it is best to pick a wide variety, a little of this and a little of that so to speak. Say break your investments into 5 parts. Place one into a large cap fund, one into a small cap fund, one into a foreign developed markets fund, one into a developing markets fund, especially one that invests in China and India, and one into a value stocks fund.

Answer 4

1. You don't invest in anything for 20 years.
You buy something for an indeterminate period of time.

If it starts down, you don't stay with this sinking ship.
I have done exactly that too many times. How stupid of me.
Every time I thought "It can't go any lower" it did.

2. Buy and watch. And keep watching. I bought FRESX five years ago and just sold it on the 2006 mid-year dip. Bad move on my part. Should have kept it. Oh well.
Watch Asian markets. I now own lots of OBCHX and it has been splendid.

Answer 5

Depends on your age. If you're younger (<40), you probably want to go mostly stock, and you want to diversify amongst domestic large, mid and small cap (either growth or growth and income) and international. As you get older, you probably want to have some in bonds as well.