I have always been a big “to do” list guy. I have a business “to do” list and a personal list. I even have a list ready for the next time I spend time with my Dad.
I enjoy making lists of all the tasks that I want to complete. I love the huge sense of accomplishment (satisfaction) as I check each task off the list as I finish them.
Add a review of your Minnesota company 401(k) retirement plan account to your very own fall 2013 “to do” list. Make sure that your current holdings reflect the existing realities of the U.S. economy and stock market environment.
So far, 2013 has been a great stock market investment year. These impressive year-to-date stock market investment returns have taken place in spite of the recent turmoil created by Washington, D.C. lawmakers.
Mid-October falls right in the middle of company earnings and U.S. economic data releases. These numbers have the potential to create even more stock market volatility over the next few weeks.
The recent U.S. government shutdown has affected consumers and businesses. It won’t be for another couple of weeks before we will fully understand the exact measurement of that impact.
All stock market investors hope that the underlying trend of the U.S. stock markets remains positive. But now is not the time to have hope as part of your company 401(k) investment management strategy.
Everyone knows that the U.S. economy is not so great. In fact, it’s so fragile, that just a few poor company reports or a little bad economic news could quickly change the mood and the direction of the U.S. stock markets.
Ask yourself how much risk you are willing to take now with your company 401(k) retirement plan stock market investments? My guess is that your stock market risk tolerance needs an update.
All company 401(k) retirement plan participants enjoy watching their quarterly statement balances go up through the year. Experience tells us all that is not always the case and things could change quickly.
If 2013 ended today, most stock market investors would be happy. But just in case the economic and stock market direction changes dramatically before year end, it’s a good idea to put an emergency plan of action in place now.
Ric Lager
Lager & Company, Inc.
