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Strategies & Market Trends : Gorilla and King Portfolio Candidates -- Ignore unavailable to you. Want to Upgrade?

To: Mike Buckley who wrote (20896)	3/21/2000 12:55:00 PM
From: Dinesh	Respond to of 54805

Mike Thank you for catching that error on 2 year plan. I missed 1 two-year stint :-( The true number is same as what you had published earlier. Power of compounding works both ways -- a negative rate compounded can soon take you close to zero. So, every time you have to pay taxes (say 20%), you got a portfolio multiplier of 0.8. One should try to avoid such situations as far as possible, and perhaps use this to further fine tune one's stock selection strategy. E.g., if I have to sell my CSCO, the new investment will have to do at least 25% better (1/0.8) for me to catch up post-tax. Regards DInesh