Sponsored Content from Strategic Wealth Designers
ForUsAll, a 401(k) administrator, recently announced that beginning in July, cryptocurrency will be included as investable asset class. This will create a shakeup to the traditional retirement savings vehicle, which may not seem exciting to people investing in the modern era. Independent retirement planning consultant Jordan Schwartz of Strategic Wealth Designers joined us on the newscast to discuss the possibility of cryptocurrency in your 401(k).
“More than 21 million Americans are invested in cryptocurrency,” Schwartz says. “And we have seen over the past few months how the popularity of cryptocurrency has grown. The hope of the 401(k) administrator, ForUsAll, is to make the 401(k) a more engaging and relevant investment option.”
Cryptocurrency is a volatile investment because it is held by a relatively small amount of people, which means that any price changes are magnified during low-volume periods. These large price changes can be especially problematic for those that are nearing retirement age and don’t have time for it to bounce back. ForUsAll is only allowing 5% of a 401(k) to be invested in crypto.
“This could be a good option for someone that has been interested in cryptocurrency but is unsure how to navigate it on their own,” Schwartz says. “It’s important for investors to remember that there are risks involved. To protect your savings, investors should develop and stick to their investing plan when deciding how they will allocate their portfolio. A financial advisor can help you develop a plan to suit your goals.”
The lack of a centralized market for cryptocurrency means the market is fragmented with different standards. To see additional stories surrounding business and economic news for Denver area, visit https://KDVR.com/Money and if you have a question for Jordan send an email to firstname.lastname@example.org.