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Vanguard May Curb 401K Trading by Southwest Pilots

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  • Hi Hank,

    Good read and so interesting in a deja vu since. I remember back in the 90's when my wife had her 401K with a baby bell and it contained 5 choices - all of which were 'in house' company funds (unlisted and no tickers) and limited trades to once a month settled on the last biz day of the month. So what's a poor boy to do? [particularly a mo invester like the kid]. You deal with it. You do this by always having some cash balance available, not only for asset allocation but for opportunities that might arise. In our case, Hussein invaded Kuwait and this caused the markets to drop and I moved (on the last day of the month) all her cash into the LC stock fund they offered. Hey, it wasn't much but it was the best I could do.

    With SW, I suggest they offer a self-managed option to their pilots like we have here in Michigan with our state 401 and 457. $50 per year and I can buy stocks, bonds and funds. I can't get at the pinks or OTC but cripes - it that's where you want to play - move your Roth to a platform that provides more trading freedom.

    peace,

    rono
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