401K and retirement funds going down...

[SintonFan]

We have lost 40%+ in the last couple of years in our(my wife and I) retirement funds. :( We had a combined 25% aggressive, 50% moderate and 25% good old fashioned small growth funds but the moderate and aggressive darn near kicked our butts.
I have heard Dave Ramsey talk about Roth IRAs and am very interested what, if any, some of your experiences might be in this endeavor. We have to do something now or what we have scraped up might be lost forever soon. Any advice and or experiences you can share???

[LH Panther Mom]

Originally posted by SintonFan
Any advice and or experiences you can share???
I have no advice and my experience is that we are in the same boat. :(

[IHStangFan]

Originally posted by SintonFan
We have lost 40%+ in the last couple of years in our(my wife and I) retirement funds. :( We had a combined 25% aggressive, 50% moderate and 25% good old fashioned small growth funds but the moderate and aggressive darn near kicked our butts.
I have heard Dave Ramsey talk about Roth IRAs and am very interested what, if any, some of your experiences might be in this endeavor. We have to do something now or what we have scraped up might be lost forever soon. Any advice and or experiences you can share??? I have 0 experience w/ the Roth IRA's. But I hear you on the 401K. I'm wondering if I need to bury all of my cash in the back yard in pickle jars. With the signing of this stimulus bill, and all of the billion dollar bail outs I'm begining to wonder if I'll have any social security when the time comes and just how this will affect my kids and grand kids. I'm wondering who in the heck is going to pay for all of this? Question....how does one spend themselves out of debt? Person or nation? "Hell hon....time are tough....we're in over heads and there is on relief in sight.....I think my next course of action is to buy a house in the Hamptons and a 42ft Bertram." :doh:

[lion75]

I am a VP at the second largest securities firm in the world. I can tell you that small cap growth is not "good old fashioned". It is highly volatile and very aggressive. Also, a Roth IRA is not an investment. It is a qualified account. What you invest in inside of that account will determine future returns.

[crabman]

If you have $400,000 and it goes down 50% to $200,000 you are better off putting in another $200,000 while the market is down. Your "new" $400,000 (the old $200K plus the new $200K) only has to go up 50% in price to get back to full market of $600,000. If you don't add money to the account it will have to go up 100% to get back to your original $400,000.

I am still dumping money in mine as much as the law will allow. I am also investing non 401(k) money to help make up for the downturn. The bargains out there today are simply unblievable. In spite of what you read, some companies are still making money and doing quite well. Their stock is suffering so they are a great buy.

Remember what Warren Buffet says. Be fearful when others are greedy. Be greedy when others are fearful. Now is the time when everyone is fearful.

[SintonFan]

Wow!
Thank you for all the info!!!:)
I am truly unsure on what to do.