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Reply to "NPR story today on 401Ks and hidden costs"
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[quote=Anonymous]Index refers to how the fund is managed. Index funds are mutual funds that are made up of a specified market segment. So an S&P 500 fund would mimic the S&P 500. Since maintaining that fund doesn't require much analysis, you don't need to pay a multi-million $ fund manager (these are "actively managed" funds). Hopefully you have one of these options in your 401k. Otherwise you buy them through your broker (fidelity or vanguard or whatever). "better" is relative, and you need to consider your investment goals and risk profile to figure that out. And better = lower fees. [/quote]
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