ETF’s are becoming a more popular option in Minnesota company 401(k) retirement plans. I think that fact is a very positive development for individual retirement plan investors.
Lower annual costs and improved investment performance are the main attraction. This is especially true in SDBA (self-directed brokerage account) options in company 401(k) retirement plans.
There was a great article in the Dallas Morning News from Pamela Yip about the rapid growth of ETF’s in company 401(k) retirement plans. She explains the basics of ETF’s very well. Here is a link to the article.
ETFs becoming popular in 401(k) plans
Take a look at your existing company 401(k) retirement plan menu. Look for the SDBA (self-directed brokerage account) option. These SDBA accounts are usually offered by Fidelity BrokerageLink® or Charles Schwab Personal Choice Retirement Account® (PCRA).
Most company 401(k) retirement plan menus have lousy options. If the SDBA option and ETF’s are available in your company 401(k) retirement plan menu, then you are ready to save costs and improve your investment performance.
Ric Lager
Lager & Company, Inc.
