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knovo
Nov 14, 2011, 10:27 AM
You have $10,000 to invest in your
401-K plan. Here are your only choices:

Morgan Stanley S&P 500 Index Fund
Vanguard S&P 500 Index Fund
Schwab S&P 500 Index Fund
Fidelity S&P 500 Index Fund

All four funds have the same one
year, three year and five year returns.

"Life of fund returns" for each fund are as
follows:

Morgan Stanley = 12.5%
Vanguard = 11.9%
Schwab = 13.2%
Fidelity = 14.9%

Annual fees for each fund are as follows:

Morgan Stanley = 36 basis points
Vanguard = 18 basis points
Schwab = 25 basis points
Fidelity = 27 basis points

What is the best way to invest the
$10,000?



a. Equally split among all four funds.

b. 100% in Morgan Stanley.

c. 100% in Vanguard.

d. 100% in Schwab.

e. 100% in Fidelity.

SQUISHY33
Apr 12, 2012, 09:19 AM
Aa