employer 401k transfer cost me 11k
Dear Terry,
The company I have worked for the past 40 plus years had our 401k plan through Vanguard we were independently owned. A few years ago, the company was bought and became a subsidiary
of one of the many families of companies they (Ryerson) own. This January our owner decided to move our Vanguard 401k plan to Fidelity effective February 1,2023. We (employees) were not asked if we wanted the change or told how to opt out. We were notified by mail the second week of January with a packet about the move and black out dates and the fund that they chose to put our money in at Fidelity according to your birth date.
Terry the value I had in my Vanguard 401k January 31st and the value of the amount in the Fidelity account after the black out date when I was able to view the amount at Fidelity was 11k less. How can that be, how can a transfer of funds during a black out period cost me 11k.
Terry is there any recourse to recoup my loss of money? I have talked to other employees, and I am not the only one to have lost money from the transfer.
Terry Says
There is only one explanation — the stock market fell. But THIS January, the stock market moved higher. So I don’t understand that either!
You will receive an email saying ‘your question has been answered.’ Please reply to that email, giving your name and phone number, and also the name and contact information for the HR department at your company. Also, more specific details aboutthe blackout date, and your specific account value before and after.
Since so many people are involved, I will be happy to pick up the phone and make a call.