Your default 401(k) fund may be costing you; consider three ETFs for better growth and lower costs.

Many people stick with the default target-date fund chosen by their employer for their 401(k), which may not be optimized for their age or cost-effective. Instead, a portfolio of three ETFs—Vanguard Total Stock Market ETF (VTI), iShares Core Dividend Growth ETF (DGRO), and Vanguard Total Bond Market ETF (BND)—can offer better growth, dividend income, and risk management at lower fees. While target-date funds automatically adjust allocations, these ETFs require annual rebalancing but can improve long-term returns and control costs. Investors willing to manage their portfolio can benefit from switching to these ETFs, especially through an IRA rollover if their 401(k) plan doesn't offer them.