In a 401(k) plan is an employer required to offer a money market fund?

"required"? Probably not. I am really really surprised though that the people who set up the account, and the employer's attorneys have not recommended one. It is almost a lack of fiduciary responsibility to not offer one. If i wanted to convert to mostly cash, but i were forced because of lack of choices to stay in an equity fund....and that fund went down....I would have a strong case AGAINST my employer for not offering a mmf. Your employer should rethink his/her position to lower his/her liability.

No1 money markets are used mostly as for short term holdings. You would want them in Mutual funds. NOT in the stock of that company as the only investment. ENRON for example. Diversify your holding. Place part in growt, income and some in over seas markets.

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