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Strategies & Market Trends : The New Economy and its Winners

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To: Bill Harmond who wrote (30676)10/29/2006 5:08:48 PM
From: Lizzie Tudor  Read Replies (5) of 57684
 
this is an article about real estate that I think rings true.

"Since the stock market bubble burst, equity mutual funds have attracted a fraction of what was going in during the early 1990s," says John Norris, chief economist with Morgan Asset Management in Birmingham. "It's fair to intuit that much of that money went into housing."
biz.yahoo.com

Note that he is talking about the EARLY 90s. I wish there was a way to find out what the $$ actually were going into stocks in the early 90s vs. today. I've never seen anything like the M&A activity in the valley today. Everybody is buying everybody but there are almost no IPOs. Its as if the big companies who were the acquirers in 2001 were the last to get any kind of valuations and the door slammed shut. A few years ago the number of listed companies on the nasdaq was at 1981 levels.

While I think housing is going into a bear market now its somewhat disheartening to read that article where the only thing Schiller can come up with as a decent investment strategy is money market funds.
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