Back in the 2005 period (and many years before) the idea of investing in banks looked rather safe and secure -- particularly if the bank was your employer and they matched funds. With hindsight there was a problem. Most bank stocks today are worth less than 50% of their 2007 values.Think about Boeing. It is a defense contractor -- what will happen to defense spending if the decision is made to cut the DOD budget by 15%? I would bet people will not be cut that much, so equipment will get cut more.And back to banks -- a lot of people have lost their jobs in banking. A major bank in Atlanta has cut its work force by over 13% from 2006 levels. Consider your position - how secure would it been if something unexpected happened to Boeing, its business or maybe the Dreamliner were to start falling out of the sky in say 2014.While company matches are great, putting too many eggs in one basket can be bad.GordonAtlanta
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