Our hope of a better stock market in 2009 is off to a rocky start. January goes down in the record books as the worst January EVER. If the old adage “so goes January – so goes the year holds true†why are we playing this game? If you aren’t asking yourself that question – maybe you should.
In the February 25, 2008 Time & Money Report, I said the following:
For the ones of you that are stuck in 401K plans, I still think that cash is the best place for now. The S&P 500 is down 7.9% for the year. Last time I checked 0% is better than negative 7.9%. If you have an option of moving your money into a self-directed IRA; I would do it in a nanosecond. Most 401K plans are so limited that it is hard to take advantage of the part of the market that is working now (Natural Resource Stocks). If the S&P 500 can break 1400 – then standard 401K options can be considered again.
After only 30 days, the S&P 500 is already down 8.6%. Does that sound like déjà vu? Continue reading “401K to 201K – Next Stop 101K ?”