Re: What does this mean?.......digndlvr
Generally speaking, I don't like perpetual bond funds since they don't offer the principal stability that an individual bond does by virtue of having a maturity date. Generally speaking, I don't think working people should have anything besides equities in their 401Ks. Generally speaking I don't think working people should attempt to time the markets by switching asset classes. Bottom line....unless you are very near retirement, I would stick with the equity index fund. When I was 4 years from retiring, I starting reducing the amount of money in the equity index fund by 25% per year so I was 100% in money market on the exact date I retired. If bonds appeal to you, I think you should consider buying some individual bonds in your regular (non 401K) accounts.