At the beginning of the downturn in mid-2008, she had some typical, conventional  things to say, you know, the old “if you’re in the market for ten more years then stay put” crap, but she’s coming around.  Now she is telling folks facing imminent retirement that they need self directed accounts and to set up 401K rollover accounts – and not leave them at the mercy of a former employer.

She also answered one caller, whose employer has stopped the match and who makes too much to contribute to a ROTH, telling her NOT to “keep putting in the max to your 401k”.  Wow – she instead said do a non-tax deductible IRA, then roll it into a ROTH each year.  Go Suze!   BTW – so many money types say only put in up to the match, then go ROTH or otherwise – Jim Cramer, now Suze.  Maybe some folks will get the message.

So what do you do? Open a self directed IRA or a 401k rollover account with a top rated discount broker.  Learn to invest money in the markets.  LEARN what works, for YOU. Don’t expect anyone to tell you the right thing to do.  Then place your own investments. Today, you can even open a Roth 401k with a discount broker.

And while I”m at it – I’m passing this article around to all of my friends.  The article, by Jeffrey Goldberg, is titled “Why I Fired My Broker” and it explains why you should too.  Read it and understand why your employer’s 401k managers and financial advisors generally are a waste of your time.

Why I Fired My Broker, by Jeffrey Goldberg

Their job is to make money for their firm.  Not protect you from downturns.  As long as their losses aren’t as great as the losses in the index funds, they consider that a “win”.

There are many ways to invest money that are safer for the long term, but you will have to learn more about investing, learn more about the markets, and not just expect to park your money in a mutual fund somewhere and let it sit.  This is not just a “down” market. This is potentially a stagnant market, with little or limited growth for years, even decades, to come.  It requires a different understanding to be successful, as opposed to just waiting out a temporary downturn in a bull market as has happened in the past.  You will have to learn the best way to invest money for yourself, and not rely solely on tee vee talking heads or even experienced financial planners to help you. Keep your $$ in a CD or high interest checking account so you have cash available when you need it.

Stay tuned here in the next few posts as I list some publications you really want to read.  These will not give you the same old buy and hold bull – they will explain why the “advice” you’ve been getting has been skewed against you from the beginning.  Start with Crash Proof, by Peter Schiff  (the new edition, Crash Proof 2.0, is coming soon!).

Bottom line:  Take advice from NO ONE. Not even us.  And read outside the lines folks.  Don’t take conventional wisdom for truth.