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To: rushnomore who wrote (24828)5/17/2000 12:15:00 AM
From: rushnomore  Read Replies (1) | Respond to of 54805
 
re: risks in stock investing

There is an interesting article by Walter Updegrave on the subject of risk in the June 2000 issue of Money magazine. Anyone interested in this subject should read the article. There is too much in the article to even summarize here. The author addresses the question, "Does risk go down the longer you hold a stock, or a fund or portfolio of stocks?" He comes up with some surprising conclusions. I will just quote the last paragraph.

"Ultimately, not even the most sophisticated technology can eliminate risk from investing. The best we can do is limit risk by diversifying. One thing is certain, however. Once you feel that returns are guaranteed and your iron resolve insulates you from volatility, that's when risk will come screaming out of nowhere and remind you it hasn't gone away."