To: LemonHead who wrote (14349 ) 1/14/2001 8:42:54 AM From: matvest Respond to HI Keith, Thanks for the thought provoking post on speculative vs core holdings. I guess it is all in how one defines these terms. My view as to what is speculative is an investment with great risk. For example a dot commer with no earnings, thin market based on guesses, untested management, etc. The kind of stock that is largely based on "hot air" and "great hopes." It is a lottery type stock. On the other hand, I view a stock or fund that has proven management, a proven profitable history, enough cash to be able to avoid bankruptcy, and a business plan that has worked and appears to be working as an investment. All my investments are core holdings and all of them are subject to change. I don't think that anyone can project that any company will still be an investment in 10 years. For example in 1991 most would have said that PG&E would be a good investment in 10 years. The largest Utility in California would have to be a great long term stock. It was, but now it's not. It may be again, but right now it's facing bankruptcy in less than 20 days. The story changed.
