How Safe Is the “Safe” Investment Among Your 401k Plan Options?
By George Huss
This article will help you see that the “safe” investment, the Target Date Fund, in your plan may be among the riskiest investments you have ever bought into.
It is my opinion that these funds are flawed by design, not only because the idea of rebalancing a portfolio on some arbitrary date with no consideration given to the state of any market whatsoever, but because there is a disconnect between the theory and execution of the need for the safety of bonds in an individual portfolio – the execution is to put the investors’ money into bond funds which is not the same product as bonds.










