Thanks, nydad for the math. I see how it's suboptimal, but it may be the best I can do.
dbr wrote:Are you sure the only other low cost choice is small cap growth. That seems very odd.
In any case one would not attempt to complement the S&P 500 with with SCG to mimic TSM. One might do it with a small cap index fund, more often with a so-called extended markets index fund. It may not be all that important to try to get to TSM if the funds are not available. Do you have other investment accounts or could you create them, such as a Roth IRA at Vanguard if that fits your situation?
I agree it is odd. No clue why it is that way. But here are my non-large cap domestic stock choices:
Royce Total Return: expense ratio 1.03
Vanguard Small-cap growth: ER .08
No midcap, no extended market. I appreciate the suggestion to use other resources to balance, and that is in fact what I have done up to now, holding Vanguard extended market in Roth IRA, but that space is now full, mostly with bonds and international because my 401k options for those are also pretty bad:
Dodge & Cox International ER .64
Fidelity Diversified International ER .84
Fidelity Managed Income ER .71
Fidelity Government Income ER .45
Morgan Stanley Institutional Core Plus Fixed Income ER .63
Pimco Total Return .46
I currently hold Total Bond Index, Total International, and Extended Market in my Vanguard IRA and Spartan 500 in my 401k. Problem is, since I am still relatively young, new contributions are a significant portion of my portfolio every year, and with $17,500 going into the 401k, and only $5500 into Roth, things get out of whack really fast! I am going to be way too heavy in domestic large-cap very quickly if I don't find SOMETHING else in my 401k that I can live with. That is why I was going for the small-cap growth with the terrific ER, but I obviously welcome other suggestions.
Good point about asking my company to add more funds. I'll look into that as a more long-range solution.