I see some dangerous 401(k) investment advice…
But this is the worst…
“It’s always a great time to be 100% invested in your 401(k).”
I call BS.
Not historically correct.
No matter the source of your data.
Or the colors in your pie charts.
The future benefits of a 401(k) are obvious.
Individual and company-matching 401(k) contributions add up.
That’s all in the future.
I take a “now” perspective with my individual 401(k) advice clients.
Answers to the two most important questions required to manage a 401k).
“What do I buy?”
“When do I sell?”
I make my individual investors think hard about their 401(k) accounts.
How important it is for them to own the best mutual funds in their 401(k).
How much money it has cost them over the last few years.
To own the wrong 401(k) mutual funds.
On the other side of the 401(k) coin.
How important it is to establish a 401(k) principal protection “stop loss.”
The stock and bond market future is unpredictable.
My 401(k) advice clients need to deal with the present.
Not try to “time the market.”
Deal with “what is.”
Most individual 401(k) investors have expensive mutual fund problems right now.
They own the wrong mutual funds in their 401(k).
Mutual funds don’t go up as much as the stock market averages.
Mutual funds fall in value more than the stock market averages.
Here’s the tip.
Focus today on the current problems in your 401(k).
At some point, these 401(k) mutual fund mistakes will cost you money.
A lot of money.
Your 401(k) mutual fund problem is in the present.
But you will not realize it until the stock market falls.
The stock market is near all-time highs.
No better time to “think about” your current 401(k) mutual funds.
Interested in a 401(k) stock market risk management strategy?
P.S. Relative Strength identifies “what to buy” in your 401(k).
