I have no clue what to choose- here are some options. I am in my early 20s. I heard people say you can risk it now. I just have noooooooooooooo clue anything about 401k – Can you recommend any of the ones pasted below? Does anything sound interesting to you? OR where can i research about each individual one/please send me a link if you know of anything online. Thanks so much- really appreciate it!

The following investment allocation will apply to all new money deposited into an existing group annuity or trust contract unless otherwise
directed. Monies previously deposited to this contract will not be changed to reflect the selections below. NOTE: In the event of a contract
conversion from an existing individual annuity contract or from another group annuity contract or trust agreement, all money previously
deposited at Nationwide will be invested pursuant to the selections below. If you have any questions, please consult your plan administrator.
All allocations must be made in whole percentages.
I hereby authorize all FUTURE CONTRIBUTIONS be invested as follows:
Code Risk
IV -Capital World Gr & Inc R3 .0% 388
IV -Growth Fund of America R3 .0% 662
V AllianceBrnstn IntlValFd-A .0% 578
V Baron Growth Fund .0% 584
V BlkRk LgCap Val A .0% 1059
V Davis Opportunity Fd A .0% 473
IV Fid Adv Equ Incm Fnd Cls A .0% 282
V Franklin BalSheet Inv Fd A .0% 975
II Gartmore Govt Bond Fd A .0% 835
VI Gartmore InvDes Aggr SC .0% 970
II Gartmore InvDes Cons SC .0% 974
IV Gartmore InvDes Mod SC .0% 972
V Gartmore InvDes ModAggr SC .0% 971
III Gartmore InvDes ModCons SC .0% 973
V Gartmore MidCap Mkt Indx A .0% 968
IV Gartmore S&P 500 Index SC .0% 356
VI Gartmore Small Cap Index A .0% 967
II GdmnScs Govt Income Fd A .0% 771
IV JPM MidCap Value A .0% 611
V Janus Twenty Fnd .0% 325
III Oakmark Equity & Inc Fd II .0% 669
VI Oppnhmr Devl Markets Fd A .0% 844
II PIMCO TtlRetrn Fnd Cls A .0% 138
IV Pioneer High Yield Fd A .0% 650
TOTAL 100.0%
Additional funds are available to you after this enrollment process via www.nationwide.com
Risk Category Legend: VI – Very High, V – High, IV – Moderate, III – Low, II – Very Low, I – Lowest

This is a very common problem with 401ks. A bunch of options and not a lot of guidance. And I might add not a great bunch of options either.

I am giving you my opinion and it will most likely be different from other opinions. I don’t care if someone is in their 20s or older, I do not believe a retirement fund should be invested overly aggressively. You are in a marathon not a sprint. I also believe it should be mostly equity investments because the main thing you want to do over the next 45 years is stay ahead of inflation with your assets. Fixed income can not do that. As you reach about 55, the equation does change because you do not want to suffer a major market downturn just prior to having to begin using that retirement nest egg.

So the question, what is a good moderate asset allocation that can keep you ahead of inflation.

Oakmark Equity & Income is one. It is over 50% bonds currently but has a 5 year annual return of better than 13%, a 3 year annual return of better than 9%. It is what is known as a moderate allocation fund. 30% of your investments in that one would not be too much.

It is generally wise to allocate some of your assets to foreign investments. They have done well in the past and the economic situation in the U S is not great. If the Capital World Growth and Income is by American Funds, that is a fine choice. Maybe 30%.

Now I told you not to be too aggressive. Having said that I do recommend a little aggression. Baron Growth Fund fits the bill. It invests in smaller companies that show promise of growing. It is indeed risky so you do not want to put too much into it but it is a good idea to allocate some of your investments into smaller companies. Maybe 20%

The rest in the S&P 500 index fund should do it. 20%

Again this is my opinion but with this allocation you are not too aggresive, you are well diversified and the funds chosen have an excellent track record for the most part.