Safe investment within 401k
My wife has a 401k through Kohl’s. What investment options should we be looking for, to place our “chicken money”? We always here about moving investments to “cash” during uncertain times, but don’t really see any options within her 401k.
Terry Says
No, I’ve written about the fact that 40lk plans are designed for younger people to grow their money in stocks over the long run. They have very few places to hide from a bear market.
Look for a “stable value fund” or a short-term government bond fund, in case those are options offered in her plan.
And if she is retired, those limited options are the best reason to do a rollover to an IRA where you will have a wider choice of investment options, including some MM funds.
Read this: https://www.terrysavage.com/rollover-now/
Of course, she can’t roll over if she is still working for the company.
