From Jeffrey Robertson, Barran Liebman:
With the equity markets in steep decline since last week and experiencing a 5.5 percent drop at the market close today, companies and their employees may share some anxiety about the company’s 401(k) plan and the responsibilities governing such plan. This alert discusses some issues facing companies and their workforces and the ways in which companies should respond to these issues.
Issue 1: Proper asset allocation
Prior to the equity market declines in late 2008, the United States’ equity markets had been largely positive in the nine years since the “dot com” bubble burst in 2000-2001. This widespread increase fostered investor optimism, and many participants… [finish reading]