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How to protect your 401(k) plan: Financial Pro



Ivory Johnson, Delancey Wealth Management Founder, joins ‘The Exchange’ to discuss retirement plans.

When it comes to your 401(k), there’s one piece of advice that most financial experts agree on in market routs like this: Stay the course.

That means fighting the natural temptation to log into your investment account and react to the market’s big swings.

However, many investors are not taking that advice, according to the latest data from the Alight Solutions 401(k) Index, which tracks daily activity at 401(k) plans provided by large employers.

Trading activity was the highest in the index’s history on Friday, Feb. 28, at 15.8 times average.

Meanwhile, trading activity on the previous day, Thursday, Feb. 27, was 11.37 times average. Only two other dates have exceeded the 11 times average. Those were Jan. 22, 2008 and Feb. 5, 2018.

“Even in the depths of the financial meltdown in October 2008, we didn’t see this type of abnormality,” said Rob Austin, head of research at Alight.

If you’re like a lot of people, you’re also looking for reassurance that your nest egg will still be OK. The key to that is to revisit your plan.

“Most people should do what’s good for them, agnostic of what the market is doing,” said Aaron Pottichen, senior vice president at Alliant Retirement Consulting in Austin, Texas.

“No one can time if the market is going to go up or down,” he added. “But we do have control over what our plan is.”

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Bruce Maddox
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Bruce Maddox

Don't listen to this fool

Anonymous
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Anonymous

Awesome! Keep it up! Would you like to be YouTube friends? :]

Jarron Jackson
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Jarron Jackson

Wow slot of side talking about absolutely nothing… lol

Marek Kolenda
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Marek Kolenda

Make American Great Depression again.Powell gone be accountable for financial stupidity.

Marek Kolenda
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Marek Kolenda

Watch out next week for market crash and banks credit freeze.

Bruce DaBuc
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Bruce DaBuc

JUST GIVE YOUR 401K TO THE GOP AND MAKE AMERICA GREAT AGAIN….FOR THEM!

Cro Boy
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Cro Boy

Here’s an idea…Put your money under your mattress!

I H
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I H

Bloodbath…

drunkensessions
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drunkensessions

This 'playa' might be decent on the basketball court, but is pathetic with financial advice.

teebone 21
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teebone 21

You guys are full of s*** most people don't even control their own allocations LOL. If you are one of the people that take responsibility for your own finances like myself go ahead and allocate the majority of your money to bonds for the time being or mutual funds if you can find any good ones.

Dan Ihde
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Dan Ihde

Thank God most 401k's don't give folks the opportunity to use derivatives in their company sponsored retirement plan. Hopefully they don't have financial advisors like this fella recommending derivatives either.

Trap Drip
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Trap Drip

Great content. Keep it up! Would you like to be YouTube friends? :]