Planning for retirement is a critical financial goal, and constructing a diversified asset allocation portfolio is a key component of achieving that goal. The FOOT LOCKER 401(K) PLAN offers a selection of investment options, and in this article, we’ll provide guidance on how to build a balanced portfolio covering major asset classes: U.S. stocks, International Stocks, Emerging Market Stocks, Real Estate, and Bonds. We’ll also emphasize the importance of low-cost index funds and the convenience of target date funds in your retirement planning. Furthermore, we’ll discuss the significance of regular portfolio rebalancing and annual reviews to ensure that your investments align with your financial goals.

Asset Classes and Available Options

  1. U.S. Stocks:
    • Fidelity Large Cap Stock (FLCSX): A large-cap growth fund that offers exposure to U.S. stocks.
    • Russell U.S. Core Equity I (REASX): This large-cap blend fund complements your U.S. stock allocation.
  2. International Stocks:
    • Russell International Developed Mkts I (RINSX): This fund focuses on developed international markets, providing diversity outside the U.S.
  3. Emerging Market Stocks:
    • Currently, there are no dedicated emerging market stock funds available. You can consider allocating a portion of your international stocks to emerging markets through a well-diversified international fund.
  4. Real Estate:
    • While there is no specific Real Estate fund available, you can gain some exposure to this asset class through a well-diversified U.S. stock fund.
  5. Bonds:
    • Russell Investment Grade Bond Y (RFAYX): An intermediate-term bond fund, suitable for your fixed-income allocation.

Low-Cost Index Funds

Low-cost index funds are a cost-effective way to gain diversified exposure to various asset classes. Given the options available in the FOOT LOCKER 401(K) PLAN, it’s important to make the most of what’s provided.

Target Date Funds

Target date funds, which are often designed for specific retirement years, provide an all-in-one solution for retirement investing. You can select a fund that aligns with your expected retirement date, and it will automatically adjust the asset allocation over time, becoming more conservative as you approach retirement.

Regular Review and Rebalancing

Portfolio construction is only the first step. You should conduct regular portfolio reviews and annual rebalancing to ensure that your investments remain aligned with your financial objectives. Regularly assessing your portfolio’s performance and structure allows you to make necessary adjustments based on your goals and market conditions.


Constructing a diversified asset allocation portfolio within the FOOT LOCKER 401(K) PLAN is crucial to securing your financial future. By thoughtfully selecting funds covering major asset classes and considering low-cost index funds and target date funds, you can establish a well-balanced portfolio that aligns with your retirement goals. Regular portfolio reviews and annual rebalancing are essential to ensure your investments remain on track and adapt to any changes in your financial situation or the broader market. This proactive approach will contribute to a comfortable and financially secure retirement.