Tools of the Trade: A Look at Your Assets
Summary
A 401(k) investor is generally limited to investing plan account balances among the fund options offered under the plan. This chapter looks more at the underlying components—the securities themselves within the fund options—before going into how they are used to construct the fund options. Accordingly, the following discussion focuses primarily on some useful concepts relating to the construction of retirement savings plan fund options from the component securities that can be translated into successful 401(k) investing and trading.