I've been contributing to my employers' retirement savings plans ever since I started working six years ago, and have been receiving the full employer match since day one. The nice thing about this is that, when I look at the performance of my RSP, the combination of stock returns and 50% matching gives me a growth of 136% on my money invested. The downside is that, since my retirement savings make up most of my investable assets, I now have a concentrated position in two stocks. The stocks in question have done very well during my investment tenure, but the fact that I've done well so far doesn't mean it's a sound strategy going forward.
As a result, I've been thinking about how to allocate my retirement savings to position myself better for the long haul. Given my level of market savvy, and the amount of time I'm willing to invest in this venture, I think index funds are the way to go. I've been skimming Morningstar pages this past week, trying to get a handle on which baskets I want to put my eggs in. TD seems to have some decent index funds, with reasonable MERs and good index tracking, and I think this is probably the way I will go.
If I cash out out my positions in early August, then I'll be ex-dividend, so I can get started on "re-allocating" my portfolio. It scares me to be making decisions like this, but it scares me more to leave my entire retirement savings concentrated in two stocks.