Fund Performance May Be Poor
Although you might get lucky and find some star performers in your 401(k) lineup, far too many plans feature generic funds that are used to plug asset allocation slots rather than provide outstanding long-term performance.
If you need a large-cap fund in your lineup and all you get is an average performer, you’re simply out of luck. You can pile more money into the best-performing fund in the lineup, but then you’ll likely be out of balance when it comes to asset allocation.
