Asset allocation refers to the general categories you can invest in, such as stocks, bonds, or cash. In your retirement plan, you have the choice to invest through mutual funds. Each mutual fund has multiple investments in it. Some mutual funds focus on a specific type of investment, such as all large U.S. companies.
Generally, the categories are broken down into large, medium, and small U.S. companies, international companies, or into bonds backed by governments, banks, or corporations. Some mutual funds, such as To-Go funds offered in the HCA 401(k) Plan, are a ready-made blend of these investment types. They are essentially a "do-it-for-me" solution so that you do not need to select the individual mutual funds yourself. It’s suggested that you take a risk assessment to help determine which fund to utilize. Of course, if you wish to diversify your investment portfolio yourself, you may select from any of the plan's investments.
For details about the 401(k) Plan and investment options, go to HCAGHR.com, click Benefits, and click on BConnected.
Remotiv is not affiliated with HCA Healthcare and is a private company hired to provide independent investment education. All responses are intended to be educational in nature and should not be considered advice.