The funds available in my 401(k) just changed, so I figured I'd better get smart about choosing the right ones. I know a little about mutual funds, but I'd feel more confident making choices after doing some research. I saw the Morningstar Fearless Investing Series Mutual Funds Workbooks at the library, and checked out this first book in the series.

I was looking for advice on diversification, but this book dealt with mutual fund basics. The advice was, essentially: buy a no-load, low-cost, diversified, large-cap-focused index fund from a big name like Vanguard, Fidelity, or T. Rowe Price.

The book is a good mutual fund primer, but it just wasn't what I was looking for. I'll read the other 2 books in the series, which hopefully cover diversification and other advanced topics.

Notes
Look for a fund with less than 10% turnover.
Avoid buying funds in Q4 to avoid capital gains distributions.
Because the stock market tends to go up more often than down, it's better to invest a pile of cash as a lump-sum rather than dollar-cost averaging it.
Dollar-cost averaging is generally the best method for long-term investing, with the exception of a windfall which should be invested as a lump sum.