I just invested 70% of my 401K with "The New Economy Fund". I am 24. Is this a good choice?

It's really hard to tell because the plan administrators put cute little names on the funds instead of being specific...

You should be good for awhile in just about anything...but somewhere down the road ( 6 months, a year) take a look at how you're doing...do a little more reading and move into the best returning funds your plan has listed.!! You can get cautious when you have a real nest-egg to protect.

LATER: Okay, your fund is ANEFX...decent returns, but not outstanding...look to see if your plan offers anything in the " international" sector... put at least something in there and do that comparison " down the road".

I second the vote for Mutual Funds for Dummies. It is written by Eric Tyson and is considered one of the best beginner investment books out there.

I would have no idea what types of stocks or investment goals a "New Economy Fund" has. Names of funds often times can be misleading.

Be wary of anything considered "new" in the world of investing. There is truly nothing new under the sun. Stocks gains have always and will always be based on dividends in the long run. The fundamentals of business and stocks have not changed over the last 2 centuries. There may be certain sectors of the economy that do well for a while ... but as sure as the day turns to night, reversion-to-the-mean will take hold and bring that sector back to normal or negative returns. You would be very wise to understand the concepts of these two phrases:

- Speculative Bubble

- Reversion-to-the-mean

Go look them up at http://www.investopedia.com/

At your age, you should be putting nearly all of your 401K in the most aggressive fun. Have you received any information from your HR department?

I wouldn't worry about diversifying you retirement account until you turn 45 or older.

Congratulations on being so mature at such a young age. When I was 24, I was an idiot financially.

It is only a good investment if it goes up before you sell the fund.

I recommend investing in multiple funds, then sell the one that goes way up, and buy the fund that goes way down.

But always hold for at least 1 year.

Even then, if you are dollar cost averaging, that is, putting money into the fund with every paycheck, you have to track every buy to make sure you really made money.

Put 100% into an aggressive growth fund. This will already be balanced, and you won't have to rebalance.

Don't choose funds because their recent performance excelled. Last year's big gainer will be this year's loser.

If you're not familiar with mutual funds, read "Mutual Funds For Dummies." Its a great intro book.