With the stock market acting like a bead of grease on a hot griddle, lots of folks have been talking about how the incoming 401k reports are going to affect the election. I don’t have a 401k; since I’m a public employee, my pension is managed by OPERS. I haven’t gotten that statement yet, but the statement for my deferred compensation plan, an additional, voluntary, pre-tax retirement option came in the mail today.
A nice thing about this plan is that I can go in daily and make changes to how my money is invested. I’ve done this a few times over the last year as the grease griddle-hopped in the stock market. Since I started the plan, I’ve done nothing but lose money. Even as I moved the investments into more and more conservative portfolios, I’ve lost more and more. The last statement indicates that 55% of the money that was taken out of my paycheck this last quarter and invested in my deferred compensation plan has been lost. I’ve lost 17% of the total money invested since July of 2007.
So I log on to stop additional deferrals and find out that in the last week, I’ve lost an additional 11% in the value, bringing the total loss in one year to 28%.
That’s some serious shit. Especially since my investments are diversified among the most conservative investment portfolios that they offer. No more additional deferrals until what’s currently in there starts earning money. I basically gave that cash to someone else to throw away. I’d much rather throw it away myself, or just let it pile up in my savings account, which, at least, is FDIC insured.
I wonder how much worse my OPERS pension plan is going to be.