If banks are certified and backed by the government, then why during financial crisis do people lose out on their retirement investments?
In: 0
A 401k is set up and invested into whatever YOU choose, so when your 401k takes a loss, it means your investment took a loss. Generally, an advisor would recommend you diversify your investment, or pick an index fund that does this for you.
Target date funds (TDF) are typically what’s recommended, depending on your age, where the investment changes with time, as it approaches the target date. The date could be the year you’ll be retiring by.
Latest Answers