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Strategies & Market Trends : Value Investing

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To: Michael Burry who wrote (3366)2/28/1998 2:35:00 PM
From: Shane M  Read Replies (1) of 78523
 
Re: "baby boomer rollover into mutual funds is less than we think."

Hello all:

I normally just lurk here, but thought I'd chime in on this. I enjoy this high quality thread and learn alot from the posts. As I get a better feel I will begin to post my better "value" ideas. (DSWLF is one stock mentioned on this thread that I currently own.)

On the boomers, I also read a similar article. Apparently this is one of the most persistent myths tied to the current bull market. The article I saw (sorry but I don't have a link) mentioned that the originator of the "baby boomer savings" hypothesis has changed his view. He says the perception of boomer savings driving the markets simply does not fit the facts. Suprisingly, the numbers reveal that most boomers have done a woefully inadequate job of saving for retirement, and investment philosophies dependent upon the assumption of such large cash inflows into the market should be reconsidered.

Previously, I had believed that this was one consideration behind the inflated market values.

Shane
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