David,
Thanks for moving this conversation to the open thread! Now I will take it point by point again!
>>What would you do on the day of a crash?<<
First of all I do not have all my money tied up into one investment such as all stocks or all T-Bills as some people do on this thread, so depending on what causes the crash I may very well use some of my cash in money market accounts to buy with!
>>You discount RISK to an almost unbelievable degree. If I go back over your messages, this is the standout thing.<<
RISK, is having all of ones assets tied up into one investment and yes even though Uncle Sam stands behind those T-Bills of yours you still have taxes and inflation risk with holding T-Bills!
>>Imagine. Something really nasty occurs and the bottom literally falls out of the market. Everyone is rushing for the exits. The Internet seizes up solid and no online brokerage houses can accept, let alone process, the public's trades. The phones are jammed and people are rioting in the streets.<<
If the above happens I doubt your T-bills will be worth anything either! When the Wal*Marts pad lock their doors and all the Coke machines are broken into and people are burning down the Home Depots and the internet folds and the phones all go out then T-Bills will only be good to wipe your ass on, and that is only if you are able to get one issued to you by the government! Which I believe they do not do!
This is a comment from David in a PM to me:
>>You have made NOTHING on CNXT unless you have sold. If you have bought and sold in such a way that you owe the IRS money, then more power to you.<<
Not sure how anyone else counts money, but I was taught that if you buy something at $30 and it is trading at $50 then I have $50 instead of $30! David has informed me until I sell it I have not made anything! So if that is the case I guess the Walton's WMT holdings are not worth a penny since they have not been sold or under Davids way of counting Bill Gates is not the riches man since he holds all that MSFT stock that does not count until he sells it!
>>Would you calmly hold your positions? I doubt you would be calm. What would you do? Is this simply to bad a scenario to even contemplate?<<
Gosh David I guess the world could blow up or freeze over or etc., or etc or etc. and I could go on and on and on! So what if all goes down the drain, money is not everything and what are you going to buy with your T-Bill paper?
>>My mind is already blown, Hank<<
Remember you said the above, even though I have to agree with you 100%, I don't think you will get me put into SI jail again for agreeing with you!
Hank |
