This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Time to Go to Cash in Your 401(k)?

Now, I am not saying that inflation will not rear its ugly head at some time in the future, and I am not saying that what Bernanke is doing is not dangerous; I am just showing you what the market looks like today. If you invest way out in front of a cycle that you think is out there, you can miss out on returns like we are seeing right now.

That can be very costly.

As a professional money manager, I have to take investing one day at a time, one stock at a time, one month at a time, one sector at a time, one year at a time and one asset class at a time.

I also have to be very vigilant for the changing market cycles. I have been fully invested since the S&P 500 low of 666 back in March of 2009. That has been the right place to be. I don't know how you have been invested. As I said earlier, you can follow me on Twitter or you can follow my weekly newsletter for any changes in my current stance.

Just as sure as I am sitting here today, there will be another bear market at some point in the future. Is it time to sit this one out and move your 401(k) to cash or more defensive sectors?

Not yet.

This article is commentary by an independent contributor, separate from TheStreet's regular news coverage.

3 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG
AAPL $130.28 0.00%
FB $81.53 0.00%
GOOG $565.06 0.00%
TSLA $218.42 0.00%
YHOO $44.52 0.00%

Markets

DOW 18,080.14 +21.45 0.12%
S&P 500 2,117.69 +4.76 0.23%
NASDAQ 5,092.0850 +36.0220 0.71%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs