Some interesting snippets from the NY Times artcile:All those factors converged at Enron (news/quote), where employees chose to put many of their dollars into Enron shares, on top of the company match, only to see the stock wiped out by bankruptcy.Lets see the employees chose to put all their eggs in one basket, the risk they took turned on them, but the 401k system is to blame? Boy if this is not more of the "I'm not responsible for my own actions" BS we are supposeed to accept on almost a daily basis. I hope they can get that same lawyer that represented the Menedez brothers to try that case! I really wish one of those Senator would ask these poor, pathetic people a questions like, "If I had invested all my retirement in Gold Futures and the Gold Futures market collapsed due to some new discovery on how to cheaply synthesize gold, who would be to blame if I lost all the money?" The person testifiying have to answer, "Why you would be." or "I can't answer that question." With either answer given that person is liable for their own choices. If they said the Senator was responsible, then so are they for their choices. If they could not answer that question, then why did they not get an answer to that question for themselves with their own retirement. They chose. Now this does not in any way, shape or form excuse the illegal, unethical and unbridled mismanagement at Enron. With accounts covering 42 million American workers, 401(k) plans now hold nearly $2 trillion in retirement money. At many big corporations, employees' retirement money is invested in company stock in similar proportions as it was at Enron.Hmmm ... Can someone say "Power and Money Grab!" 42 million Americans hold nearly $2 trillion in 401k's. Gee I wonder if those well meaning Senators would like to totally legislate how we invest our money and give us those wonderful at best 2% returns like they are forever going to be able provide us (NOT!) with Social Security. Or are they trying to get their hands on the $2 trillion, so they can raid those funds and hand us a big fat IOU like they did with Social Security funds for so many years. About 19 percent of 401(k) plans are invested in company stock. But the average includes many small plans with relatively few assets. The big companies, which account for the bulk of 401(k) assets, tend to include company stock. Among those plans, the average is 32 percent. In plans where the company directs part of the investment — such as through contributions matched with company stock — about 53 percent of assets are held in company stock. The figures are from a study published last month using data from the Employee Benefit Research Institute and the Investment Company Institute, which is the mutual fund industry's trade group.The Institute of Management and Administration recently analyzed the 401(k) plans at 219 large companies with company stock and found that 25 of them had more than 60 percent of their assets in the stock. The group included Coca-Cola (news/quote), Texas Instruments (news/quote), the Williams Companies (news/quote) and McDonald's (news/quote).So, overall we are already under 20%, but Senators want to legislate 20%. Gee and out of 219 large companies that match with company stock less than 12% of them had an extra 10% more on average is going into company stock. Sounds like Americans do know who to invest their 401k money, just not a lot of brilliant investors at LU, ENE, GBLX and others. We all are supposed to pay the price for their uneducated investing?No Thank You,tangerine
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