Are 401(k)'s Finally Recovering?

12/01/2009

David Boucher, Principal, quoted in this article from Human Resource Online, December 2009.

Note: The principal value of a target date fund is not guaranteed at any time, including at the target date. There is no guarantee that a diversified portfolio will enhance overall returns or outperform a non-diversified portfolio.  Diversification does not ensure against market risk. Dollar cost averaging involves continuous investment in securities regardless of fluctuation in price levels of such securities.  An investor should consider their ability to continue purchasing through fluctuating price levels.  Such a plan does not assure a profit and does not protect against loss in declining markets.