My  sister  has  a  401k  that  she  is  just  starting  and  she  has  the  choice  of  3  american  funds  -  Growth  Fund  of  America,  EuroPacific  Growth  and  New  Perspective  funds  -  all  funds  are  Class  R-3  (  no-load  ). What  %  of  allocation  makes  sense.  She  is  in  her  50's  and  won't  retire  for  about  10  years.

What other choices does she have besides these three American Funds?

t

It would also be helpful to know what other investments she has. 

Of the three AF's you mention.......

One is mostly Domestic, one is mostly international, and one is global.  All close to 100% stocks and growth oriented.

Brian

jb:

"All close to 100% stocks and growth oriented" = (occasionally pretty darn volatile :-) :-)

t

I am chiming in with those asking what her other choices are.  There is no allocation of those 3 funds (if those were the only choices) that would be appropriate for a 50 year old IMO.

That would be another way of saying it :-) for sure........

More direct and more to the important point........

t

Just to clarify, if there are assets outside the 401(k), maybe there could be an allocation that was appropriate, but of course we would need to know those details.  I just presume that for most people (because this is true for most people), their life savings are in the equity in their homes and their 401(k)s (or IRAs).

My  sister  has  no  other  investments  other  than  a  pension  and  a  small  trust.  The  other  funds  she  can  invest  in  are: 

LARGE  CAP  FUNDS

      Davis  N.Y.  Venture

     Vanguard  Variable  Insurance  -  Diversified  Value  Portfolio

      American  Growth  Fund  of  America

MID  CAP  FUNDS

     ING  V.P.  Index  and  Midcap  Portfolio

     ING  FMR  Diversified  Mid-Cap 

     Riversource  Mid-Cap  Value

SMALL  CAP  FUNDS

     Oppenheimer  Mainstreet  Small  Cap

     ING  Barron  Small  Cap  Growth

     Franklin  Small  Cap  Value  Securities

INCOME  FUNDS

     Pioneer  High  Yield

     Pimco  VIT.  Real  Return  Porfolio

     ING  V.P.  Intermediate  Bond

BALANCE  FUND

     ING  VanKampen  Equity  and  Income  Portfolio

REAL  ESTATE  FUND

     ING  VanKampen  Real  Estate  Porfolio

GLOBAL  /  INTERNATIONAL  FUND

     Lazard  Emerging  Markets  Porfolio

FOREIGN  FUND

     American  EuroPacific  Growth

WORLD  STOCK  FUND

     American  New  Perspective

Any  help  would  be  greatly  appreciated.

JB1234 

    

 

 

 

The Van Kampen Balanced Portfolio is the best choice for a single fund to solve the problem.....

FWIW, I agree with t.

Keep it as simple as possible.  I would also encourage her to save as much as possible over the next ten years.  I dont know what her needs will be, the size of pension, trust and social security, her health, or life expectancy but she is starting a bit late.  Her rate of savings will be much more important then the funds she invests in.

I wish you both the best.

Brian