Is it possible to time a rollover?
September 30, 2008 4:31 PM Subscribe
A crazy financial question about the timing of my 401k rollover to and IRA in light of current economic events in the US. Is it even possible to time a rollover?
posted by quadog to work & money (8 answers total)
I held a 401k at my previous employer (invested in American Funds if it matters). I filled out the requisite paperwork to get my 401k released. I received the pay out check on Friday of last week for the full amount of the 401k. My final task is to mail this check to Bank of America where it will be rolled over into an IRA. I think by default the IRA is set up to reflect the same investments I had with American Funds - though if I wanted to change that before I send the check in I think that I could. I'm running on the assumption that the check I hold in my hand is "frozen" in the sense that although the investments I held at American Funds may have dramatically dropped yesterday, the amount on the check remains fixed.
I'm in a gray area here and out of my element in terms of investment knowledge. Should I hold on to this check until Congress passes something and wait for stocks to rebound? Should I deposit it regardless of what happens? Should I change up anything at BofA before I send the check? Am I even asking the right questions?