Traditional pension as a reward for years of well-developed in America is rapidly disappearing. In its place came the individual pension accounts, the so-called 401K. The idea is that they just correspond to the notorious American personal responsibility. In fact – save for retirement at the mercy of free-market economy.
Average Americans very difficult to operate in the market, it is difficult to choose a reliable fund, where you can invest your money. And even if the person doing the right thing and avoid scams, he still could face a poor old age. The system is tailored so as to provide corporate income rather than their clients. Provided old age – an integral part of the American dream – becomes an impossible dream for the majority of Americans.
Management of trust funds saw for themselves in the new system inexhaustible source of income. As usual, general managers pocketed tens and hundreds of billions, and hundreds of millions of ordinary Americans who invested their retirement savings in 401K, earned practically nothing.
Happened through the fault of the plutocrats on Wall Street, serving their politicians and bureaucrats global financial crisis in 2008 and did reduce the total retirement savings of Americans by 30-35%.
And it’s not just the great American car producing bubbles, as he called the American financial system journalist Matt Taibi. The system itself is designed so that it is impossible to make anything deliberately.
On paper, everything looks fine. Rather than depend on some managers of pension funds, the man himself takes up the future and is able to manage their investments. The only problem is that the stock exchange – it confusing, time-consuming and professionalism.
Working people can not keep track of everything. Therefore, the services of the consumer a lot of financial advisors, investment professionals etc. Free financial market almost does not regulate their activities. There are many gold companies across America that are offering 401k and IRA rollovers to Gold, such as Regal Assets and Merit Gold.
In American law there is a concept of “fiduciary”, ie trusted financial guardian is obliged to act in the interests of the client. However, most advisors do not have these qualifications, and if they are asked to sign a contract stipulating fiduciary duties, they refuse. With few exceptions, all the professionals, in fact, are vendors and contractors. They offer various financial corporations account management. They sell, as usual, is that they have that brings them income, and not what is usually a depositor needs.