News sites light up the internet with the announcement that stocks fell drastically on Wallstreet this week. The drastic decrease was due to a recent trading “makeover” which x’d out two major companies: Merrill Lynch & Co. and Lehman Brothers Holdings Inc.

The makeover, which depleted about $700 billion in shareholder wealth, affected the global community as Lehman’s filed for bankruptcy. The Lehman’s bankruptcy forced Merrill Lynch to sale their company to Bank of America for $50 billion in stock. This bankruptcy is the world’s largest to ever occur in terms of assets. Merrill Lynch, in turn, houses billions in 401K retirement income for many major private sector firms.

What does this sale mean for 401K of working class people? Absolutely nothing! Most 401K plans are secured through trusts and can not be depleted by any sale or merger of investment corporations. The assets are federally regulated and can not be changed. Strict regulations were implemented by the U.S. government after the Enron fiasco. But even though your assets are secure, the fluctuation of the stock market will decrease the value of your stocks. So this may be a good time to research better stock options and make new selections.

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