Psyduck on Nostr: 401k's You lock up your money for decades. You can't pick the specific assets you ...
401k's
You lock up your money for decades. You can't pick the specific assets you want, just baskets of them. The fees are hidden and if you don't look into them they can eat up large percentages of your profit over time. Fund managers use these passive streams of money to dump their toxic assets into and call it "diversifying". They consistently underperform over a long time frame against the s&p 500 even with companies matching contributions. I've seen studies that found choosing random stocks from the s&p 500 consistently outperformed 401ks, pensions & hedge funds.
You lock up your money for decades. You can't pick the specific assets you want, just baskets of them. The fees are hidden and if you don't look into them they can eat up large percentages of your profit over time. Fund managers use these passive streams of money to dump their toxic assets into and call it "diversifying". They consistently underperform over a long time frame against the s&p 500 even with companies matching contributions. I've seen studies that found choosing random stocks from the s&p 500 consistently outperformed 401ks, pensions & hedge funds.