Growing Trend for Investing 401(k) Accounts

BenefitsNews.com reports here about a growing trend to offer professionally managed options for amateur investors in 401(k) plans. Called “lifestyle” or “age-based funds,” the asset mix changes over time to reflect differences in age and risk levels and the funds are professionally managed to reflect those differences. According to the article, both Charles Schwab and Nationwide are offering this type of program, with participants paying additional fees for the programs. Despite the costs, participants appear to be liking the idea.