Is it possible to set up fixed rate investments within a 401k? We have funds and only a money market for cash.

Are CDs posible within a company 401k?

I have 90 percent of my 401k invested in about 10 funds - International, large cap, small cap, REIT, Bond etc. The last 10 percent is in Money Market but I am considering holding another 5 percent in a fixed investment. I do make recommendations to the CFO on adding new funds to the plan. I am hoping for a new idea of a fixed income option (besides Money Market) I could suggest. FYI we use Fidelity.

Thanks.

You can only buy what offered in your 401K. If there are no fixed income fund offerings that match your criteria, then talk to your HR people and ask them to begin offering those types of investments. Having said that, a CD is a horrible way to save for retirement in a 401K. If you hate the market, buy money market, low yield by generally competely safe. You really should have higher equity exposure, US and International to save enough for retirement.

Take another look at the funds offered. If there is a bond fund offered, that would be a fixed-income equivalent.

If your investment horizon is more than 5 years until retirement, stock mutual funds are the best investment. They will return on average 8-10%, better than 4% for money market.