That depends on what you're doing in your 401k. We're not going to know we've found the bottom until we're climbing off of it. Broad indexes are going to keep going down, but if you don't need the money soon, it's a question of transaction costs and how steeply things climb. I haven't been moving my own money into cash, I've been using it to make bets on the market continuing to fall that will leave me owning equities I expect to survive and want to own after things start to recover, and let me pick up a little income one way or another along the way. And the really long term money is going into indexes, and I wince a smidge because I know that those will go down before they come back up.
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We're not going to know we've found the bottom until we're climbing off of it.
Broad indexes are going to keep going down, but if you don't need the money soon, it's a question of transaction costs and how steeply things climb. I haven't been moving my own money into cash, I've been using it to make bets on the market continuing to fall that will leave me owning equities I expect to survive and want to own after things start to recover, and let me pick up a little income one way or another along the way. And the really long term money is going into indexes, and I wince a smidge because I know that those will go down before they come back up.