The Myth of the Dumb 401(k) Investor
There is some truth to the charge--but not as the story is usually told.
Fools, Damned Fools, and 401(k) Shareholders
Saturday morning's Yahoo greeted me with the headline, "401(k) investors are 'so dumb' says Pro." That puzzled me. As dummies go, 401(k) investors don't seem to rate. For the most part, they put their money--or are defaulted--into large, mainstream, diversified funds that perform pretty much like market benchmarks. It would seem to be a dull tale.
From the article (which was taken from a CNBC interview):
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