hankster
Full time employment: Posting here.
- Joined
- Jan 26, 2008
- Messages
- 649
Meltdown calls 401(k)s into question - MSN Money
As I read about the ways 401k investors hurt themselves (making emotional decisions) I was reminded of a recent conversation with a coworker. He had been checking his account daily and agonizing over the plunging portfolio. Finally in November, he sold out of his index funds near the bottom and put 100% into (Drum roll please).... OUR COMPANY'S STOCK!!! NOOOOOOOO!!!
I tried to explain to him why nearly every advisor alive would say that's a bad idea, but I soon realized I was wasting my breath. I'm not saying that Big Daddy government should control our AA, but Jeeez! I don't know what the answer is, but the market meltdown, combined with poor decision making, is raining on a lot of folks' retirement parades.
As I read about the ways 401k investors hurt themselves (making emotional decisions) I was reminded of a recent conversation with a coworker. He had been checking his account daily and agonizing over the plunging portfolio. Finally in November, he sold out of his index funds near the bottom and put 100% into (Drum roll please).... OUR COMPANY'S STOCK!!! NOOOOOOOO!!!
I tried to explain to him why nearly every advisor alive would say that's a bad idea, but I soon realized I was wasting my breath. I'm not saying that Big Daddy government should control our AA, but Jeeez! I don't know what the answer is, but the market meltdown, combined with poor decision making, is raining on a lot of folks' retirement parades.