Why Is Your 401(k) In Trouble? Because You Don’t Have Time To Read This Post

Our lives are as busy as ever. Family, school activities, committees, church, associations…oh, and that job thing too. These are the days of never really “disconnecting” with laptops, netbooks and smart phones constantly keeping us informed and “connected.”

Additionally, the multitude of responsibilities we are responsible for continues to increase. Your 401(k)? Yeah, that’s one of them. Lack of time is the #1 response people give us when they sign up for our BeManaged or BeAdvised service.

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Amway Demonstrates Employee Focus via 401(k) Advice and Financial Counseling

Late last year, Amway concluded a three year nationwide due diligence campaign for fiduciary 401(k) advice and hired BeManaged, powered by local firm Actium LLC, which provide professional ongoing account management and investment advice through Amway’s existing 401(k) plan, administered by Fidelity Investments. Over 1,000 Amway employees took advantage of BeManaged’s free 1on1 consultations provided over a 90 day period, which helped them understand what kind of investor they were, and then comparing that with how they were actually invested, and then allowed them to decide if they wanted to utilize BeManaged’s management or advice services.

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5 Dumb Investing Mistakes to Avoid

We don’t call anyone dumb, because when it comes to investing, really “smart” people make as many or more mistakes as investing novices. The underlying issue? Our behavior and choices, which are often misguided by emotions. Investment behavior’s impact on investors’ returns have been well documented over the past few years. This is evidenced by the book referenced in article below, Why Smart People Make Big Money Mistakes, as well as by our friends at BehaviorGap.com.

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401(k) Investors: Keep Retirement Planning Simple

The video below is a very concise, simple advice on planning for your retirement by focusing on the KISS principle: Keep It Simple Stupid (I have to remind myself of this all of the time).

Here are some key points covered to focus on:

Save – You are responsible for your own future, do not expect the market’s returns to bail you out.
Understand Yourself – Risk is critical, so if you don’t understand it (most don’t), get some help.
Don’t Chase Returns – It’s a “loser’s game” based on the emotional response we have with this strategy.

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W MI Fiduciary Forum Ruffles Feathers of Local Brokers

Last October, we organized the West MI Fiduciary Forum, a follow up to the ’07 Fiduciary Roundtable, a highly successful fiduciary education event that over 70 professionals attended, including 401(k) and 403(b) plan sponsors, investment providers, TPA’s, brokers and advisors. While the name Fiduciary Roundtable has been changed to Fiduciary Forum (Fiduciary RoundTable has been trademarked), the purpose of the event did not.

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401k Investors – Why Many Investors Keep Fooling Themselves

As an investor, understanding what is possible and what is fantasy is very important to understand. One of the biggest fantasies we see in our 1on1 consultations with 401(k) investors are those individuals that have a “return goal” for their account. Thus, they will chase returns throughout their plan, from one fund to another, often missing the actual big returns of that fund.

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January ’10 Newsletter: A Look Back on 2009

Check out our new newsletter format! John Whaley, CFA, AIF has produced a great amount of information of the year in review and our Research Department’s thoughts on 2010. Some of the topics covered include:

All Winners, No Losers for the Year
A Look Back at our Thoughts in 2009
What Exactly is Irrational Exuberance?
Interest Rates Spike to End 2009
Growth Stocks Outperform Value in 2009
2010 Earnings to Remain Below Trend; Valuations Remain Historically High

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BeManaged Holiday Hours

In celebrating a great year here at BeManaged, one of the best gifts for our people is a Friday afternoon out of the office for a Christmas celebration. Therefore, we will be closed Friday after 11:30am. If we miss you, please leave a voicemail and we will be back in touch on Monday morning. We appreciate your understanding.

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