HSA dollars go to a conservative mutual fund?

[sealsmith217]

We decided to go with a HSA this year and here on out after using a Flexible Spending Account the last few years. WCI pointed out so many positives on the HSA mainly one of them being able to take that $ and invest it into a mutual fund. We plan on using Vanguard funds. Do you invest this money on a more conservative allocation knowing that these are healthcare dollars at stake therefore you want to make sure you aren't taking a huge risk since you likely will need the $ once old age sets in? I do have a Roth IRA and 401(k) which I can invest more aggressively in order to make up for a conservative HSA allocation. What are your thoughts on this issue?

[The White Coat Investor]

Lots of schools of thought on this. If you plan to spend the money as you go along, then invest at least some of it conservatively. If you don't plan to spend any of it for 20 or 30 years, why be conservative? My HSA is 100% stocks, like my 529s, for similar reasons.

[Joseph]

Health turned Stealth means that we don't anticipate using the money for a while ------->  equities (higher risk/reward)

 

[Joseph]

Health turned Stealth means that we don't anticipate using the money for a while ------->  equities (higher risk/reward)