From a comment on the question:
Well, the part that I find weird about that particular fund, is the
"Class K" at the end of the name. Maybe it doesn't mean anything
significant, but to be absolutely sure, I would have to spend an hour
searching on Google or reading through some prospectus.
The website for the 401(k) should have everything you need to review the handful of funds. The target-date funds should even all be in one document.
Target-date funds appeal to many employees, they know that they can over the decades just pile money into the fund, and it will make the risk adjustments automatically. Many people also see these types of investment option if they have an education 529 plan.
The K class type fund is a sign that this fund is only available through 401(k) and 401(k) like plans. That means you might not be able to see the daily price changes through the standard external sources. You will not be able to buy them except through a retirement plan. They tend to be twins of their more public classes.
Is there a way to transfer my funds periodically(or directly have my
employer send my 401k contribution along with the company match) to a
Charles Schwab traditional IRA or some other account where I have a
little bit more control over my money and I can invest in instruments
that I am familiar with? I primarily want to invest in three
instruments(QQQ, VOO, AGG).
Very few companies allow in-service rollovers. Some do. You can also find some companies that do allow an employee with a significant balance to be able to use a specific broker to either buy mutual funds, or to buy individual stock, with the 401(k) money. But I suspect this is rare.
You do have options:
- If the company match is zero, just skip the 401(k). Though you will be limited to the smaller maximums of the IRA.
- Invest in the 401(k) only enough to maximize the match. Put additional funds into a IRA. Note that you participation by you or your spouse in a 401(k) can change the participation and deductiblity of IRA contributions.
- Embrace the 401(k). Use the higher limits. Know that when you leave the company you can move all the funds into a IRA, or even roll it over into the new 401(k).