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Last week I printed out the list of the 98(!) funds offered in my 401K. This list is grouped by type of fund. It lists each fund name, and it also gives YTD, 1 year, and 5 year performance.
In your experience, do these listed returns include the cost of managing each fund? I can't find it in the fine print anywhere. When I look up the details for each fund, it will give me a little blurb on the strategy of the fund and details like the "expense ratio."
One fund I have (an emerging markets fund) claims to have returned 0.74% YTD, but on the details page for that fund, it says it has a 1.48% expense ratio. Does that mean the return is actually more like -0.74%? Or have they already done the math for me?
Finally, if someone wanted to be more conservative now, what type of funds would you suggest they look at?
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