Wednesday, November 9, 2011

Costco Wholesale 401k (RP) Plan PSDS Scan 12-31-2010





The Costco 401k scan this year has only two Target Date Funds (TDFs) in the scan, the Retirement Income Fund TRRIX and the TDF with the largest employee investment TRRDX. Many company 401k plans now limit participants to a single TDF and I too think that is prudent because keeping all the TDFs in the scan distorts the diversification forecast for participants. This year the Balanced portfolio has a 5yr APR of 5.52% with a Sharpe ratio of 1.32 an improvement over last year. The three largest holdings of the employee portfolio are company stock COST, the stable value fund SVF.hpx in the scan and PMEGX a mid-cap growth fund. All in all a good Plan and company stock the last 5 years.

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