best advise for 401k investments toget the max returns?

Question

what are the options how to select the best the proportion between bonds and shares under the present situation pl
suggest.

Answer 1

I go with the "Small-Cap Funds", they are stocks that are believed to be under-valued. I have made 14% off this even during 9/11!

Answer 2

Best way to maximize returns:
1. Save regularly
2. Choose tax advantaged accounts (401ks/IRAs)
3. Choose funds with low expense ratios (index funds).
4. Pick the right asset allocation.

Notice number 4 is the least important component of maximizing your investments. However, it's important.

A common rule of thumb is to subract your age from 120--that's the percentage you should have invested in stocks (assuming this money is for retirement and you plan to retire around age 60). Some people prefer a more conservative mix, though, and might have a higher percentage in bonds. Your stock mix should contain a wide variety of international stocks (at least 20% in my opinion), and US small caps and large caps.

The easiest way to get the right mix is to pick ONE target retirement date fund and stick with it. It will adjust its allocation automatically as you age, becoming more conservative.

If that's not an option, you should pick a balanced fund based on your age. "Aggressive" or "Very aggressive" if you're in your 20s, "moderately aggressive" if you're in your 30's, "moderate" if you're in your 40s/50s, and "conservative" if you're in your 60s.

If that's not an option, choose a few broad, balanced index funds. One "total US stock market," one "international index" and one "bond market index." Put 10% in the bonds, 30% in international, and 60% in US stocks if you're in your 20s.

Answer 3

maximum returns=maximum volatility - Only go this direction on your own hunch, not on another persons advice.

The desirable balance between bonds and stocks is this: Your age should be the approximate percentage of bonds in your total portfolio. Subtract to get the percentage of stocks.

Therefore, if you are 30 years old, you should be 70% stocks, 30% bonds.

Be blessed,

Answer 4

40% Large Cap Stock
30% Small Cap Stock
20% International
10% Fixed or Money Market

Answer 5

all be diversified and the biggest thing is to look/rebalance your investments at lest once a year. Maybe more if times/economy is unstable.
My personal 2007 allocation
60% - cash, bonds and reits
20% - US large cap stocks
20% - International large cap stocks
it might be changed if environment changes.

http://letsgobble.com/

Answer 6

it really all depends on what risks you're willing to take. if you are young, you can afford to take more risk, and you can put a higher percentage of your portfolio into stocks and more volatile sources of dividends rather than in the more stable (but slow) growth sources. if you're older, a larger percentage of your portfolio needs to be in the sources of more stable growth, because you've got less time to make up the loss if you make a big mistake.

Answer 7

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Answer 8

look for blended fund that invests in both stocks and bonds.

Let the experts decide the proportions.

Answer 9

go with vanguard, fidelity, or t rowe price...then pick one of their target retirement portfolios...extremely low fees with market returns