What does everyone do with your 401k?

[rnln]

Majority of is into bond, and I lost 1/3 of them in general. Should I keep it the way it is since it's too late now? Or should I sell them all and sit tight, accepting the lost, because it's still becomming worse?
What do you all do?

[legion]

I'm 30 and I have everything in the most high-risk stuff I can find.

I'm not changing a thing right now.

[rnln]

can you explain more detail why? Or you just like the risk, lose big gain big?

[jyl]

Appx 2/3 bond funds and cash, 1/3 equities and equity funds. Will move more to equities, first from cash then from bond funds.

[vash]

i am pretty well diversified. i totally guessed...a chuck schwab friend looked and told me my guess was spot on.

what i did do was to delete the link to my account. i dont want to see. i am staying the course.

[911Rob]

4 - 0 - what?

Ha, ha.
Canadian 'eh.

[legion]

Originally Posted by rnln

can you explain more detail why? Or you just like the risk, lose big gain big?

I'm young, far from retirement, and have a relatively high tolerance for risk.

My bet is that the companies that survive this recession and thrive during the next upturn will more than make up for all of the losses of the companies that go belly up. I'm in the "high-risk" fund that my company manages for its own employees 401k, so there is no publicly-available fund that I can recomend to people that have similar tastes.

I will start moving funds over to the "moderate risk" fund during the next decade, and then the "low-risk" fund the decade after that.

Between my wife and I, we each have a pension. I have my 401k in high-risk. Here's is in moderate risk. I have a Roth IRA in high-risk as well. She has a traditional IRA in an annuity. Between the two of us, we have the spectrum covered from high risk to very low risk, with the bulk of funds on the high-risk side. Over time we will shift the other direction.

[RWebb]

Originally Posted by legion

I'm 30 and I have everything in the most high-risk stuff I can find.

I'm not changing a thing right now.

agree - esp. not now

BUT, translate "high-risk" into:

most aggressive,
well managed,
lowest expense ratio,
no load mutual funds you can find...

I confine my prospecting to Vanguard and Fidelity. There are well-regarded advice newsletters for both - search on those terms in OT for names.

I still have the biggest chunk o' change in indiv. stocks -- a hold-over from my "youth" -- even tho I keep selling off some every year.

[RWebb]

oh -yeh -- I have other lower gain / lower risk things -- Roth IRA 403b and the lowest risk least gain thing is non-retirement, which is balanced towards current out pays - mortgage, booze, and car parts (plus wasting $$ on women).

I'm mid-50s. But today I can expect to suffer for 30 more years, so I and others in that bracket still need a high gain (and consequent high risk) retirerment portfolio.

[David]

At 41, my 401K is almost all stock which really sucks.

Between my 401K and other investments I'm about 2/3 stock. I know it's probably a good time to buy, but I just can't get myself to do it.

[911Freak]

After watching mine lose 40%

I'm OUT!

I'm rolling my IRA/401k into a custodianship then transferring into investment real estate.

I've made for others in 3 months what I've lost already....

Now it's my turn...

There are way to many opportunities to make large cash in short order that do not involve the stock market etc.

I'm not waiting 5+ years to get back to where I was last year at this time, no way!

[BGCarrera32]

Originally Posted by 911Freak

I'm rolling my IRA/401k into a custodianship then transferring into investment real estate.
!

explain please...?

Danke

[911Freak]

Originally Posted by BGCarrera32

explain please...?

Danke

Here's an exerpt from a summary document I've put together after researching this subject:

I hope it helps

Transfer the 401k / IRA to a Custodian (Entrust, Pensco trust, Sunwest Trust, etc)

Custodian verifies that the 401k/IRA funds qualify for transfer to investment purchase and to ensure the 401k/IRA funds are compliant with all laws and can be used for investment purchase.

Custodian verifies these account funds by using the name and institution where your funds have been. Ex: Ag Edwards, Edward Jones, Wachovia, Merrill Lynch etc.

Custodian pays typically less than .05% interest while they hold these funds while you look for an investment.

Upon opening escrow on an approved investment, Custodian requires a “letter of direction” form you directing them. (For R/E to your escrow # and transaction).

During the close of escrow Custodian transfers the account balance into the escrow account to be applied to the purchase and closing of escrow


There are several ways of doing this, some create a LLC and manage their R/E from there. some use the format above..

google "self-directed IRA"

I have a "how to" word document I've put to gether on the subject for some friends and investors, if you want it PM me your email address and I'll send itto you.

There are some good reference materials, websites and additional sources there for learning more about the process and what qualifies as an investment.

I will also say, check with your CPA or tax accountant regarding which plan works best for you.

My Fiance and I are doing it now, managing it ourselves and will not create our own LLC until we have substantial holdings to justify the cost and maintanence of a LLC.

I aldo have multiple investors that are buying in on pools of pre sold REO pools with this money and gettting an avg return of 30-40% in 120 days

I've been doing it for them, like I said now it's my turn!