James Marion Lorenzen

Hi Matilda, I agree with George; and, I'd be very cautious about using your payroll provider simply because they're already doing payroll. For them, plan governance is simply a sideline... you might like to read the comments of an ERISA attorney who's a nineteen-year veteran in this area: http://www.jdsupra.com/post/documentViewer.aspx?fid=8133b317-3c7c-4533-bdef-649ad971b08e

When your employer sets up a plan, it's a fiduciary act; so, there's more to it than simply "shopping" for a commodity. Good luck!

Hi Ryan, It's important to remember that a mutual fund is an investment company. You are buying shares of the investment company, not of their stock holdings. They receive and `pool' the money of their shareholders and invest in the markets. So, in essence, you're buying shares of a company that invests in the stock market.... a distinction many individual investors don't realize.

All the comments I've read on this question are both thoughtful and well-informed, so it's hard to add to them; however, age and risk tolerance are only two considerations. Your liquidity needs within the next five years vs. the size of your investment portfolio is another consideration. If it turns out an allocation to this sector is warrented in light of all those considerations, I would suggest using index funds or ETFs, rather than trying to pick winning mutual funds or managers. Few individual investors - or pros for that matter - outperform their indexes, and you would be doing well to simply get as close to matching that sector, rather than having to beat it by the expense premium.