Deciding where to put your 401(k) money

Most 401(k) plans offer a variety of investments, including
mutual funds, stock funds, and bond funds. Deciding which
of these investments to put your money in takes research.

You don’t have to put all your 401(k) money into one investment
vehicle. Unless your research tells you otherwise, you
should invest only a certain percentage of your money in a
high-risk investment, such as stocks. Also note that most
401(k) plans offer mutual funds whose “risk” ranges from
conservative to aggressive.

To determine what percentage of your money to invest in
stocks, many financial advisors recommend that you subtract
your age from 100. For example, if you’re 25, you should
have 75% of your 401(k) money in stocks.