So my g/f had a question about her 401K that i didnt know the answer to but i'm hoping someone on here can help out. so she has her 401 investing in Prin Mgmt Corp/Prin Global Inv--Principal LifeTime 2050 Separate Account, thru her company and i think she is down like 51% or something... and she showed me some link where the account had a per unit price. So is this 401 that she is contributing like a stock where even when its down and with her still contributing, its in essence bring down her cost basis?

 

ur understanding is correct. as long as she is steadily contributing, it should cost average out.

 

Cool thanks alot!!!