Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : MDA - Market Direction Analysis -- Ignore unavailable to you. Want to Upgrade?

To: Haim R. Branisteanu who wrote (65127)	12/23/2000 5:35:21 PM
From: Les H	Read Replies (2) \| Respond to of 99985

Since the program is premised on average 30-year market returns exceeding the promised $ 800 per month from SS now, it would preferable to start a private SS account now in the event the market craters in the next 24 months. The Federal Reserve's fair value for the S&P 500 is around 1150. Any such plan probably wouldn't be investing in the market till start of 2002 at the earliest. With only 2% of income invested per year, it would be preferable to have a depressed market in the next two to four years to maximize retirement returns in the LONG RUN. Moynihan was on Charlie Rose pushing for further cuts in the CPI. That means the SS plan is going to further lag inflation in the future.