At 25 you're entitled to make some mistakes and take some risks. We're in for some volatility now (sept 18, 2008), but if you move your funds you might be locking in your losses and maybe miss a rebound--like the bounce we saw today--unless you've lost all faith in a fund. If you are merely changing future allocations you might be missing the buy-low phases of the dollar-cost-averaging strategy. If you feel you're too heavy in high-risk funds, do some reallocation. One strategy is for 401k's with an employer match (e.g., 50% on first 6%) is to figuratively put your contributions, 67% of the total contributions, in the conservative and the employer portion, 33%, in the higher-risk. That way you psychologically preserve your own capital and are riskier with the other. Technically it's all yours if your 100% vested, but that can still be a useful way to look at it.