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Technology Stocks : Cisco Systems, Inc. (CSCO)
CSCO 74.40-1.4%3:59 PM EST

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To: kvkkc1 who wrote (61546)10/1/2002 8:53:15 PM
From: RetiredNow  Read Replies (1) of 77400
 
Well, I agree with much of what you say. I bet Cisco doesn't reach $80 for another 15 years or more and only if they can actually learn how to increase earnings faster than they dilute the company.

However, what I don't agree with is your assertion that much of the money was lost BECAUSE people dollar cost averaged. On the contrary, most people lost alot of money because they didn't diversify. It does no good to dollar cost average all of your money into technology. How dollar cost averaging helps is if you are diversified across asset categories and sectors. So for instance, my portfolio has just about every sector you can think of (except precious metals) as well as large, medium, and small, value and growth, international and domestic stocks. I also own some bonds and convertibles. That is diversification for you. Also, I don't own Cisco. :)
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