Was talking to a friend yesterday. I lost 50K in the market with this latest down flop. It's likely to get worse, said I. He said he didn't know whether to eat the 40K and switch to interest rate stuff now or hold out for the market to come back. He has a gut feeling that it is likely to get worse as I suggest. I reiterated with a caveat, not wanting to be held responsible fo any action he might take, it's likely to get worse...but I could be wrong and it's up in the next six months.

But there's the conundrum they put you in. Do I eat the 50K and switch to interest bearing stuff. That's a lot of money that's not technically lost until you take the loss. Added to that, he's a guy in his early 60's. He's retired. he has neither the time nor the income with which to ride it out or replace the loss.

So here he sits along with all the other 401kers wondering what to do. I fear he's missed the boat. I told him a month ago, these things...your older and might not have the time to recoup any loss and should be interest heavy just as a matter of your age. Told him that traditionally...democrat leadership was not usually kind to the economy and this A-hole in office is lining up to be pretty hostile to things that make this economy run...like fuel and small business.

Feel sorry for him and others in same boat.