Retirement and 403b Question

Dear Gil,

Dear Angela,

While the 403b plan, in general, is a great way to invest in your retirement using tax-deferred dollars, it would be inappropriate for us to name any particular company.  Unfortunately, our doing so could be seen as either an endorsement or advertisement for a particular money manager or investment advice.  Your employer (which I would gather is a public organization) should have materials available that indicate companies that participate in their plan. 

 

However, I can offer some advice. You'll probably want to make sure that the company you choose has a fund manager that has been around for a while or has a proven history with managing money.  No historical information guarantees future results, but your chances might be better with a seasoned manager.

 

Also, the fund you choose should reflect your investment goals.  Are you a risky investor?  Are you a risk-averse investor? Are you somewhere in the middle?  Are you looking for long-term growth? Are you retiring soon?  Do you want a fund that will just be able to pay you monthly or quarterly income? Do you want a fund that will focus on minimizing your tax obligation?  These are some of the questions you'll want to ask yourself and your potential money manager.  There's no boilerplate investment plan for every investor.  It's based on each investor's own particular set of circumstances.  Speak with several representatives.  Feel out the one who makes you feel the most comfortable.  Raise some of the questions and issues listed above and see how they respond.  The right company for you might be found, not just by looking at the numbers in the prospectus, but by making actual contact with companies representatives to see if they truly have your best interest in mind.