I saw some good news yesterday. In several news feeds and in USA Today it was reported by Fidelity that 401K assets have reached an all time high of almost $75 K per account holder. It is not nearly enough to retire on but growth in assets is a good thing. This growth comes from two sources. Contribution of new funds are up, as is the growth of existing assets held in 401 K Plans.
Both of those things are good news but the economy is still extremely fragile. Deficits are out of control, government spending is out of control, housing markets are still perched on the brink of disaster, and unemployment is too high. The government almost certainly has to increase taxes and hardships will certainly follow tax increases.
Protecting gains in retirement assets from the negative impact of the economic problems identified above is what we specialize in. A Cogent Research study just released made some interesting points. Less that half of the Affluent Investors in employer sponsored retirement plans are happy with their plans provider. We specialize in designing plans that include the features that participants especially the Affluent plan participants like to see. This includes safe money alternatives with zero market risk, and products that can produce a guaranteed rate of growth far superior to bank rates of return. We can help companies improve their current plans. We can also help an individual who has decided to switch assets from a former employer’s retirement plans into a rollover plan that offers protection from Market Risk if that meets a clients needs.
