If providing the average investor access to so called “above average” products like private credit or equity, why, of all times, offer them up now? The low hanging fruit was picked clean long ago, as everyone with a business degree entered the field that is now in need of a liquidity event. Which is where Mom and Pop come in.
For those who haven’t been paying attention to the carnage, slick salesmen can still push past performance. “Look at how great these have performed,” they say. But what does that tell us about the future? Past performance has zero to do with tomorrow.
But the big firms are product pushers in need of another leg of growth. The so called smart guys feel they know what’s best for you. They don’t.
Pay attention, especially if you have a 401(k) as they look for dumping grounds for this stuff.
Action Line: Need a plan? Roll over your 401(k) to an IRA and self-direct it, or get in touch with someone you trust. When you need help, email me at ejsmith@yoursurvivalguy.com. And click here to subscribe to my free monthly Survive & Thrive letter.
Read the entire series here.
Originally posted on Your Survival Guy.