401(k) and grumpy investor

I remember Greenspan coined the phrase "Irrational exuberance" with the stockmarket boom of the late 90s, and perhaps equally applied to the real estate boom of the first have of the '00s.

I just checked my 401(k) today, first time since spring 2006, to show how much I'm interested. In the past Fidelity used to mail out quarterly statements, but apparently they "tricked" me with some online question so they stopped mailing (and I'm too lazy to figure out what to do about it) SO I don't get reminded as often as quarterly anymore.

For good or bad, my funds have been increasing overall around 10% rate for the last 4 quarters, pretty darn good, compared to 5% for the previous 4 quarters, or 3% for four before that.

I don't know what any of it means, except I'm supposed to smile when it goes up, and stiff-upper lip when it goes down, like a baseball game and the home team.

Of course if I look at the "box scores" I can see "other teams" doing much better. A couple funds have increased 30% over the last year, and one above 20% rate for the last 5 years. Boy, maybe I should feel bad because I picked wrong and didn't make as much.

But the crazy thing is exponential growth is always a transitory process. The real money to be made is made by those who ride the pyramid up, and then get off and move on to the next one. Maybe supposedly my wise fund brokers are doing this with my shares so I can be blissfully ignorant.

Well, maybe there will ALWAYS be elevators to raise our riches, OR perhaps there are times when ALL investments LOSE, at least relative to inflation. In such times, and I BELIEVE we must be heading there, in the beginning there's TOO MUCH money chasing TOO FEW opportunities, and thus creating artificial booms and busts.

It's all pretty much insane to me. I don't know what sort of investment is good, but for me, it seems like just EQUALLING inflation seems like a pretty good investment. So I pretty much despise the 401(k) programs that force me into these big magic funds which makes someone else responsible for my investment with NO accountability to me for his values, except his intention to maximize my returns.

At least my Roth IRA is in my local credit union, returning just over 5% now, not bad, and perhaps helping my community. Okay, maybe not, but wishful thinking. I can't help be a pessimist in regards to things outside of my control or regular knowledge, so I accept blind hope.

Anyway, if in 2008 my happy 401k plummets 20%, who's to blame? What should I do about it, or the millions of others? What if the game is stacked against us? How could it NOT? There's no free lunch, and no guaranteed returns unless someone is paying attention with a vested interest, like a fund manager.

I guess I just have to remember this world is crazy complex and there's people who like that. I have to remember "easy come, easy go", so let my 401k die for all I care. Seriously, it's all crap. The only safe investment is to be debt-free, and then invest in reducing my cost of living.

Anything more than that is just charity, and as often as not to those I don't feel very charitable towards.