401K Optimizer™
FREQUENTLY ASKED QUESTIONS
- How does 401K Optimizer™ add value to my current investment strategy?
- How should I invest my new contributions?
- Why will my allocation sometimes have a high percentage directed towards the money market funds?
- How often will I receive a 401K Optimizer™ email alert?
- What action should I take based on 401K Optimizer™ recommendations?
- Can you help me with the changes based on your recommendations?
- What if I change employers?
- Do I have to let you know when my age changes?
- What does 401K Optimizer™ cost and how am I billed?
- Will 401K Optimizer™ work for a 401(k), 403(b), 457 or TIAA-CREF plan?
- It keeps you properly diversified for your age, risk profile and current market conditions.
- It steers you towards mutual funds that have the best performance ranking in their peer group and away from those that are lagging.
- It helps you raise cash (get defensive) when the market indicators tell us the risks seem high.
- It helps you invest the cash (go to offense) when the market indicators tell us the risks seem low and the market is "on sale".
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How should I invest my new contributions?
We suggest all new money be invested in accordance with our suggestions for your specific investment plan which is on your monthly report and is available 24/7 on our website.
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Why will my allocation sometimes have a high percentage directed towards the money market fund?
While we realize that the money market fund is not a good long term investment choice, it is sometimes the only way to take a defensive position in a high risk market condition within a 401k account.
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How often will I receive a 401K Optimizer™ email alert?
You will be alerted as often as significant changes occur in the overall market or the specific funds in your 401(k) plan. However, you will receive an email each month from me regarding general market conditions and observations that we feel will affect our investments over the next 6 to 18 months.
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What action should I take based on a recommendation?
You must contact your plan custodian (most plans now offer on-line access) to make the recommended changes. Once you pull up the 401K Optimizer™ Report, you will find a hyperlink to your 401(k) plan’s website login page. This makes updating your allocation a snap!
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Can you help me with the changes based on your recommendations?
No. For legal reasons including the need for privacy and security, only you are permitted to make changes in your 401k plan. Your plan custodian should be able to help you out with any changes you need to make.
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What if I change employers?
When this occurs, please give me a call and we will make the change in your profile to reflect your new employer.
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Do I have to let you know when my age changes?
Because you supply the 401K Optimizer™ system with your date of birth when you sign up, it can keep track of your age and automatically place you in the appropriate age grouping.
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What does 401K Optimizer™ cost and how am I billed?
Subscriptions to 401K Optimizer™ are either $400 annually or $100 quarterly. The Independent Brokerage or IRA option is $500 annually or $125 quarterly if purchased separately. If you add this service on to the regular 401K Optimizer™ service, it is an additional $100 annually. You will be notified via email 30 days before the end of your subscription period for renewal. At this time we accept checks and in the near future plan on having payment by credit card available. Note: Some 401k plans allow for fees for advice to be paid, pretax, from your 401k account. Consult your HR Department.
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Will 401K Optimizer™ work for a 401(k), 403(b), 457 or TIAA-CREF plan?
Yes, it will work with any deferred asset plan. We would be happy to take a look at your statement to make sure every fund in your plan has a valid ticker symbol.
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