Private Equity in 401(k) Plans - A Risky Move for Workers

Many financial experts are questioning the inclusion of private equity investments in 401(k) plans, citing potential risks and drawbacks for individual investors. Private equity is a type of investment where funds are pooled together to buy companies, often with the goal of improving their financial performance and then selling them for a profit.

While private equity investments can offer high returns, they also come with significant risks and fees that may not be suitable for the average worker's retirement savings. According to a recent article on MarketWatch, the rich have long been aware of the lucrative potential of private equity, but it's not a strategy that is well-suited for the average investor's 401(k) plan.

Another article on MarketWatch highlights the experiences of investors who have dabbled in private equity and warns against including it in retirement accounts. With limited liquidity, high fees, and complexity, private equity investments can be a risky move for those looking to secure their financial future.

Overall, financial experts advise caution when considering private equity in 401(k) plans, as the potential returns may not always outweigh the risks involved. It's important for individual investors to carefully weigh the pros and cons before diving into this type of investment.

Category: Finance

Published on: 2025-08-15 12:48:25


Related articles:
The rich already know how private equity mints money — and it’s not from a 401(k), MarketWatch
Here’s what it’s like to invest in private equity — and why you don’t want it in your 401(k), MarketWatch
Workers do not need private equity in their 401(k) plans, MarketWatch


Tags: private equity 401 k

Real Estate Investor Hires Private Firefighters Amid Los Angeles Wildfires

A real estate investor in Los Angeles has sparked controversy after hiring a private firefighting company to protect their property during the ongoing wildfires in the region. The amount of wealth and privilege required to enlist the services of private firefighters has raised concerns about inequalities in access to resources during natural disasters.

The use of private firefighters is not a new phenomenon, with affluent individuals and corporations increasingly turning to these services to safeguard their properties. However, critics argue that this practice exacerbates existing disparities in disaster response and firefighting capabilities.

As wildfires continue to ravage California, the role of private firefighters in combating these disasters has come under scrutiny. While some argue that private firefighting services supplement and support public resources, others worry that they prioritize the protection of private property over the well-being of communities.

The debate surrounding the use of private firefighters highlights the need for a more equitable and inclusive approach to disaster response. As climate change exacerbates the frequency and intensity of wildfires, finding ways to ensure that all individuals and communities have access to adequate resources and support during emergencies is essential.

Category: U.S.

Published on: 2025-01-13 04:12:22


Related articles:
‘Will Pay Any Amount’: Private Firefighters Are in Demand in L.A., New York Times
‘Will Pay Any Amount:’ Private Firefighters Are in Demand in L.A., New York Times
LA Real Estate Investor’s ‘Any Amount’ Offer To ‘Private Firefighters’ Sparks Backlash, HuffPost


Tags: amount private firefighters