Most individual 401(k) investors people lose money.
Because they “stayed the same” when the stock market risk level changed.
Stock markets don’t announce when they’re about to take your 401(k) down.
They just start dropping.
And see if you are paying attention.
The primary 401(k) investment management strategy now.
Is damage control.
The protection of your 401(k) principal.
The last few years of 401(k) stock market investment gains.
The last few years of personal and company-matching 401(k) contributions.
It starts with being honest about the 401(k) mutual funds you own now.
The one that never reached new highs in good stock markets.
The ones that are falling at a faster rate than stock market averages now.
Cut them lose.
Because bad mutual funds can cause even more 401(k) losses going forward.
I know the money market does not sound exciting.
But it better than going backwards in your 401(k).
Use a 401(k) “stop loss” now of up to 10%.
The maximum amount of dollars you are willing to risk.
To limit future 401(k) principal losses.
Because you have to keep your 401(k) safe for the long term.
Interested in managing your 401(k) stock market risk right now?
If so, let’s connect so you can see you how a 401(k) “stop loss” works.
P.S. Who’s protecting your 401(k) from future losses?
