Richard, >>You will pay uncle sam someday or your heirs will. Taxes won't go away, they are part of the cost of business.
Not altogether true. When you pass on stock to your heirs, it gets reevaluated at the time of transfer.
I could go on here for ever with investing, vs trading. BTW, I do both. If some one is investing for the long haul patience is important. Watching for those companies that are successful and waiting for a recession or some economic down turn for purchases...or be ready to hedge during a downturn. Also be ready to sell if the company has serious problems, like US Steel back when they let the business go to heck. I like companies that are number one in their market. Today I think the following companies are near monopolies - using the word loosly...MSFT, INTC, CSCO, ORCL (in certain DB areas), ADBE, DE (domestic), CAT (International), BA, GE (a mutual fund), even AMAT (under pressure today) and so forth. If one of these companies loose their position I would have no problem selling them. Even GM and F just traded at a all time highs.:-)
What I do not understand is why people buy companies that are not number one in their business. Why buy 2nd class stocks?
Joan |
