401(k) Plan Investing for the Long-Term

Over time we’ve seen the investment markets move up and down. If we could predict which way the market would move we could try selling when the market is high, waiting for it to bottom, and buying back when prices are low. But no one, not even the best of investors, can predict how the market will perform.

So what’s a 401(k) Pension Plan participant to do when the market is turbulent? While a well diversified 401(k) Plan account can ease market swings, emotions sometimes get the best of all of us. In reality, there’s no reason to be looking at the day-to-day 401(k) Plan account movements because these accounts are intended for long-term investing.

To help answer questions from your employees who may be nervous about market fluctuations, an educational flier, Your Asset Allocation—Keeping Your Goals in Balance During Market Fluctuations, is available on the Employee Benefits website under My Benefits > Guidance & Resources > Documents for Employees > Retirement Plan Documents. Participants who would like additional personalized guidance should contact NRECA’s Personal Investment & Retirement Consulting (PIRC) team at 866.673.2299, option 5, then 2 or via email at pirc@nreca.coop.