Your biggest 401(k) risk isn’t stock market volatility.
It’s staying on autopilot when the stock market risk levels change.
If the current stock market decline continues.
You have two important 401(k) principal preservation options now.
First, you can sell the worst 401(k) mutual funds you own now.
The same funds that lagged the stock market averages on the way up.
And are now leading the stock market averages on the way down.
Second, you can build a money market balance inside your 401(k).
This gives you room to buy better mutual funds later.
At sale prices after the stock market “sale.”
You can limit future 401(k) principal losses right now.
It can start with an independent, third-party ranking.
Of all your default 401(k) mutual funds.
It’s important to remember this now:
Full participation in the current stock market decline is optional.
And you can get help with “what to buy” in your 401(k) later.
Want a 401(k) principal preservation strategy now?
If so, a connection here is worth your time.
P.S. The stock market will punish your 401(k) inattention now.
