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Non-Tech : QQQ - Nasdaq 100 Trust
QQQ 632.08+0.5%Nov 3 4:00 PM EST

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To: Michael Sphar who wrote (704)1/2/2002 7:16:14 PM
From: lifeisgood  Read Replies (1) of 840
 
Not sure what it means to you, not being in "bubbleland anymore". But it makes me think of the old adage buy low, sell high. I can't quite understand why you would recommend the S&P500 as an alternative to QQQ given the variety of criticisms that your references point at the market.

I think we agree that buy low sell high is a good motto. Where we seem to disagree is that I see current valuations at historic highs. How do you see them as "low"? By what metric are they low? (and please don't say "because they were once higher").

I would recommend the S & P over the NASDAQ only because of lower volatility. The Wilshire 5000 would do as well. It's quite possible that the Nasdaq could lose half it's value from where it is now. It's less likely that the S & P would lose that much IMO. I just assumed that you wouldn't gamble with your daughter's money and would instead direct her toward more stable investments.

You can trade the S&P with SPY traded on Amex.

Best...

LIG
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