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Technology Stocks : Qualcomm Moderated Thread - please read rules before posting

QCOM 170.90

-1.3%

Nov 7 9:30 AM EST

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To: Jim Mullens who wrote (93295)	7/20/2010 1:53:31 PM
From: slacker711	5 Recommendations Read Replies (2) of 196564

It may be more aggressive in the sense that there has been a significant move out of cash (money market securities with minimal returns… ( 0.5%) and into much higher yielding bonds. However, the stock position was reduced to 13% from 15%. 1.a) An allocation mix of 87% cash/ bonds v 13% stocks does not appear “aggressive” IMO. I really hope that this isnt how you look at your own portfolio. Looking at bonds and cash as a single category in terms of risk would lead you to some very bad decisions. The money invested into mortgages doesnt belong anywhere near the money in money market funds. My recollection is that a few years back Keitel / Granis and company were criticized for being too conservative in their “cash management” philosophy. Not by me. Not when we are talking about cash. I have wanted them to implement buybacks/dividends more aggressively or to be more opportunistic about buying small companies during downturns (rather than waiting for asset prices to recover), but I want the cash on the balance sheet to be safe. Yes, they did well after the October update, but who knows how they have done in the last three months? There are enough risks associated with the business without also having to worry about market downturns resulting in writedowns of existing cash. I'll ask you the same question I asked previously, why would anybody with the talent to beat the market work at Qualcomm? They could make far far more money elsewhere. Slacker

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