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Definitely don’t put your own company’s stock in your 401k. The 401k plans I’ve seen all had an option to invest the money in a diverse fund. Either a target d
by javagram 7y ago
Definitely don’t put your own company’s stock in your 401k.
The 401k plans I’ve seen all had an option to invest the money in a diverse fund. Either a target date retirement fund that auto allocated to a mix of stocks and bonds, or to other funds such as an S&P 500 index.
Freezing employee stock sales is fairly normal as I understand it. I get emails all the time from my publicly traded employer stating I cannot trade in their stock during certain times (due to the risk of insider trading).
- technofiend 7y agoFreezing stock to prevent insider trading is one thing... Freezing it to prevent a stock price crash and buy the company a few more days at the expense of employees is another.
- javagram 7y agoIn the case of a company going bankrupt I could certainly seeing the lawyers ordering a trading freeze to prevent insider trading. That said, I looked it up and it seems like the claim at the time was there was an “administrative change” to the plan during that period, so not what I speculated it might be.