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Strategies & Market Trends : Booms, Busts, and Recoveries -- Ignore unavailable to you. Want to Upgrade?

To: GraceZ who wrote (7383)	8/19/2001 3:15:41 PM
From: LLCF	Respond to of 74559

An enterprise has a value which is not necessarily reflected in it's stock price. It has the ability to create revenue streams.> Yes, my point being that revenue streams in real estate are easier to predict than most equities. <I submit to you that the value it added to the wealth of the nation still exists even if the company goes belly up.> Unlike the loss of value to it's shareholders and creditors unfortunately.... I see your point however, but can't that be said for many asset classes??? The real estate in upstate New York and Mass. that housed industrial America and allowed the transformation to our current economy also added much to the wealth of the Nation although it has sat worth next to nothing for decades no? <The value of an enterprise like that extends far beyond it's own balance sheet, something money stored in the form of gold never will do.> What about the holders of Gold that are spared devastation during turnmoil and are there to fund the enterprises of the future??? I submit to you that your point is way oversimplified and that there is no such formula to life, it all depends on the situation... there is nothing holy about the concept of an enterprise or a store a value like gold.... or real estate for that matter... although it's part of our living planet at least. <. The greatest thing about it is that you have leverage using OPM, > I disagree... the greatest thing about real estate is that it's real estate. Leverage is available because of what it is. <BTW- The last time someone tried to convince me that real estate was a far better investment than the stock market was right around 1988. The rest, as they say, is history. > I didn't try to convince of of any such thing. DAK