401(k) plan participants are given a limited menu of investment options and must choose how to allocate their retirement savings. Younger 401(k) investors tend to select equity funds, while older participants often have a growing interest in protecting part of their savings using bond funds, stable value funds and money funds. Many new 401(k) participants are also automatically enrolled in target-date funds that contain a shifting mix of a variety of asset classes. Here’s a look at the most commonly selected 401(k) investments, according to a recent Employee Benefit Research Institute analysis of 24.9 million 401(k) plan participants.
