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Do you have an investment plan for your retirement money? If not, you might work on developing one.

If you do have an investment plan for your retirement money, follow it. If that means buying equities at this time, buy them; if bonds, then bonds. Except for surrender charges, ignore for the time that you are planning on moving that money in 5 years or less.

When you leave your present employer, are you planning on moving the money to similar types of investments, such as from a predominantly diversified large cap fund to another diversified large cap fund? If so, you will probably be out of the market for a week to a month if the new custodian cannot handle the specific investments your 401(k) is in so the 401(k) custodian would have to liquidate your 401(k) investments and send cash to the new custodian, and the new custodian would have to purchase the investments you specify; or the assets may be transferred intact if the new location can handle the same investments.

The advice to avoid selling low does not apply to moving assets from one custodian to another. Rather, that advice is for those who are getting out of stocks when stocks are low and into bonds when bonds are high, and for those who in some time in the future will be getting out of bonds once bonds are low and getting back into stocks when stocks are high.

But the advice about not selling low does not apply to those moving assets between custodians nor to selling assets held by one custodian so one can buy similar assets with another custodian.
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