This probably works because passive funds tend to have lower fees. I would be a little wary, however, if both equity tranches are stock-picker funds. Then you really have to look in the box and see what you own. You might be better off keeping both or ditching both and using another fund that is passive and lower fees.
This is why I don't do funds that have both equities and fixed income. I understand that they are desirable for some people, but having limited visibility to the equity portion's performance and less control of the style just does not sit well with me.
Another thing to be aware of is fees. I've heard that there are some 401Ks out there with rapacious fees. If that's the case here, you should probably contribute enough get the full employer match, but then do the rest of your saving in IRAs or Roths elsewhere.
Nothing is simple.