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


To: Eric L who wrote (23155)4/20/2000 6:14:00 PM
From: TigerPaw  Read Replies (2) | Respond to of 54805
 
One only loses if one sells.
That is a dangerous attitude to take with one's portfolio. The stocks we own have a present value and an anticipated future value. The value of cash may be more predictable, but it's essentially the same thing, a negotiable asset.

When the stocks we own go down it's just as if some of your cash burned away or got lost down the sink. Accounting for stocks only via the purchase price will lead to financial blunders. That said I too hold GMST which is currently under water, but that is only because after looking at the stock, and my alternatives to place the money, and tax situations, I have decided that holding is still my best prospect. I think it's comparible to having a nice car which had a fender caved in, I can't pretend the car is still as valuable but I don't necessarily want to replace it (besides if it were more like a stock the car's fender might fix itself).
TP



To: Eric L who wrote (23155)4/20/2000 10:18:00 PM
From: MKB  Read Replies (1) | Respond to of 54805
 
The problem with buying potential gorillas before some evidence of tornado is that your money will be tied up unnecessarily. That is in addition to the risks of falling prices and failure to achieve gorilladom.

So, all in all, as Moore stated, it is better to wait until a tornado forms (and forgo the initial appreciation), rather than hoping and praying for it to happen. In the meantime, put your money elsewhere to achieve greater gains.

Regards,

MKB