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I put both my Roth IRA and my 401K in target retirement funds. Is this a bad idea?

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Not bad at all! If you prefer more risk, you could add future contributions to something like VTSAX though. The most important thing to avoid is trying to time the market or lacking diversification. If you time the market, you have to be right twice. And if you aren't diversified, we'll, take a look at the 10 largest stocks by market cap in 2000 - hard to predict what will be a viable business in 20 years.

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SP500 or total market fund is much better.

Mck1: for a person who is far from retirement, a target date fund is similar to a total market fund. Maybe the SP500 or total market funds have lower expenses, but some target date funds are very cheap too.

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I’d usually say S&P but my target fund has been killing it this year so far

I find that these target date funds tend to be a lot more conservative than I want to be. In once case I tried to overcome this by using a target retirement date much later than my actual goal date. It really depends on where you want your equity/bond split. Equities have definitely been the big winner for the past 10 years and that might be causing many (including me) to take more risk in their portfolio than a target date fund. As an example i used a target date fund for the 529 plan for one of my kids and an aggressive stock fund for my other child. The stock fund way out-performed the target date fund (my kids are 17 and 19 now).

That’s a completely reasonable approach and is balanced. It’s a marathon, not a sprint.

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