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Strategies & Market Trends : Booms, Busts, and Recoveries

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To: pezz who wrote (4822)6/11/2001 11:21:29 PM
From: patron_anejo_por_favor  Read Replies (1) of 74559
 
<<Sheep or bandit they have no timing choices>>

2 points:

1) Despite all this "automatic" money coming in, the stock market lost 5 trillion in cap last year. Perhaps the more "discretionary" (ie, smarter dollars) are capable of running OUT faster than the sheeple get run IN.

2) Their is more choice than you think. Just because folks have a 401K doesn't mean they are blind, and their quarterly statements do not lie. If J6P gets into trouble with his debt (which is indisputably skyrocketed), he'll likely make it up by cutting back on his contribution. Moreover, for those who still have the wherewithall to contribute, it's just as easy to check the box next to the line reading "Money market fund" as it is to check off "Stock mutual fund". Either way they get the matching funds and tax deferral that are the true prizes in the 401K crackerjack box.

If they haven't gotten out...they will (and probably at the very bottom).
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