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Pastimes : The Justa & Lars Honors Bob Brinker Investment Club -- Ignore unavailable to you. Want to Upgrade?


To: Math Junkie who wrote (11570)1/31/2000 5:00:00 PM
From: sea_biscuit  Read Replies (1) | Respond to of 15132
 
I guess the second half of the old buy low, sell high adage is now seen as un-American, ...

The question is not so much whether it would be un-American as it would be unprofitable. And it is not about the second half either; it is about the third leg of the "buy low, sell high, and buy low again" strategy.



To: Math Junkie who wrote (11570)1/31/2000 5:29:00 PM
From: Justa Werkenstiff  Read Replies (3) | Respond to of 15132
 
Richard: "I can't believe the number of people who seem obsessed with whether Brinker is going to be able to claim victory or not, as if that was the most important thing about investing."

Brinker's claim to fame has little to do with their financial future. I would much rather evaluate his advice at this point and make a decision one way or another and live with it as opposed questioning the motives behind the advice as a means of criticizing it and end up never evaluating the advice on its own merits .

Much has been made about the 60/40 allocation in the face of a bear market call. Some say with justification that Brinker has said that he would go all to cash and short during a bear and he has not done so. I listened to Brinker for the past two weeks and can only surmise based upon his statements why he has seemingly altered this view. He has said that it is hard enough to get people to move to do anything. So it appears he has devised a plan whereby the average investor will survive if they at least do something along the lines of reducing equity risk. Of course, there are those who will do nothing and ride out the decline through indecision or even conscious decision. And there are those who will follow Brinker's advice to the letter. Finally, there are those who will go to cash totally and even short the market. Everyone must review their portfolio and circumstances to make their own decision in light of Brinker's advice.

BTW, I want to thank the posta' child dippers today that allowed me to go to cash out on strength in a retirement plan that only allows end of the month reallocation.