As of market close last night, the balance on my 401k is down $4600, or 7.25 percent, so far this year.
Dollarwise, that’s not really very much, but when you look at the percentage, well, the six-figure gains and losses you see occasionally on some NetworthIQ profiles start to make a little more sense. It’s all about the number of shares/units.
While annoying, neither number, the $4600 nor the 7.25%, really concerns me though.
I think a big part of it is because it (the market) truly is a level playing field. My holdings are pretty diverse, so my balance has generally paralleled what the markets have done.
The most comforting factor? It’s not just *my* 401k that’s tanking — it’s pretty much everyone else’s too.
The bright side is that my contributions usually go in right in the middle of the month, for this month I’d guess it’s lining up to be “deposited” this Friday.
With that in mind, I hope the market continues to fall so I can grab another monthly contribution’s worth at a discounted price.
Even chugging along with a -10.25% rate of return for 2008, things still look pretty good.
The market will turn around sooner or later, and right now, later is just fine by me…because the more I’m able to buy at a discounted price, the better off I’ll be in the long run.
Six-figure monthly swings, here I come!
(okay, maybe that’s thinking a wee bit far ahead…)