With the Syria Conflict, Fed ending bond buying program & Government Debt limit negotiations, what would you do with your 401k investment elections?
I’m freaking out right now, watched my 401k lose a lot of value overnight and it looks like there may be no end in sight the next couple of days/week/months.. who knows!!!
Wanted to know if anyone has some useful advice on what to do with my 401k retirement account until the smoke settles.. I think this dip is going to continue based on everything that is happening all at once.
What is your take?
I can’t take the money out of my 401k account, but I can move it to other index funds or a stable value fund. I’ve considered the stable value fund since it appears to be “stable”? I don’t know if I’m ignorant.. please enlighten me :)
My 401k is with Fidelity.. The fund is called “Stable Value”
Here’s the description: (Please let me know what you think)
The objective is to provide principal preservation while earning a level of interest income consistent with the preservation of principal.
FMTC manages the active bond management strategy under a global wrap structure. The active management of the underlying bond portfolio seeks to achieve absolute and risk-adjusted total returns in excess of the Barclays U.S. 1–5 Year Government/Credit Bond A+ Index primarily through investments in U.S. Treasuries, Agencies, Investment-Grade Corporate Bonds, Mortgage-Backed, and Asset-Backed securities. The assets are globally wrapped using fully participating synthetic wrap contracts. The fund maintains an investment in a Rule 2a-7 eligible money market fund to support the Fund’s liquidity needs.