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.

Politics : Ask Michael Burke -- Ignore unavailable to you. Want to Upgrade?

To: Dennis O'Bell who wrote (88964)	1/29/2001 11:19:37 AM
From: Knighty Tin	Read Replies (2) \| Respond to of 132070

Dennis, I really don't know. The numbers you quote jive real well with what I feel is going on, but I've never even thought to look at that. I can quote several other reasons for a shorter holding period in addition to the ones you quoted: 1. A huge increase in tax deferred accounts where closing a position is not a decision you have to make with a CPA looking over your shoulder. 2. The huge movements in the markets. Heck, % wise, the Naz market didn't move as much from 1976 to mid 1982 as it moved during Oct-Nov of 1999. I remember watching paint dry and option premiums shrivel up to nothing in the late 1970s. I was mostly selling premium early in that period and was buying near the end. 3. The increase in stock options as part or all of a paycheck. When you have to buy groceries and you have wildly appreciated stock becoming eligible to be sold, starvation is a weak second choice. <g> 4. Media blitz on equity trading. 5. Lower commissions. 6. Many more mutual funds that become flavors of the month with assets that come in and go out like the tide. True, the industry may have net asset inflow, but a no-load Telecom fund that gets most of its sales through Scwab's No-load system will see its coffers swell and deflate with the fortunes of that particular market. And, since the money will likely be leaving the fund family, the manager has to sell.