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Pastimes : The Justa & Lars Honors Bob Brinker Investment Club

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To: Investor2 who wrote (12405)3/10/2000 10:41:00 PM
From: Justa Werkenstiff  Read Replies (1) of 15132
 
I2: Re: "I'm just wondering if you are viewing your moves to near-100% cash as conservative or an aggressive trading strategy."

I view it as a conservative because I have nothing to lose on the cash side. I am not net-short. All of the gains are mine -- they are not subject to market risk anymore.

Re: "On the other hand, holding all cash may be viewed as risky, because of the risk of under-performance and the difficulty of proper timing when re-entering the market."

Yes, that is a risk but it really does not matter to me personally. I like the idea of capital preservation now. I bagged my 20% YTD already. I don't like the playing field now. Moreover, there will always be opportunities in my lifetime to step up to the plate again.
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