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Strategies & Market Trends : Gorilla and King Portfolio Candidates -- Ignore unavailable to you. Want to Upgrade?

To: RobertHChaney who wrote (47266)	9/29/2001 2:23:26 PM
From: Bruce Brown	Read Replies (3) \| Respond to of 54805

Then, when valuations become historically cheap again (which IMHO they are not yet), make fundamentally sound investments in Gorilla and King companies, and have money in reserve to dollar cost average downward. And, don't attempt the impossible task of trying to pick the exact bottoms for the market or individual stocks. Did you see this? ===== Don't Sell Out It's a buyer's market in equities. By Burton G. Malkiel Mr. Malkiel, a professor of economics at Princeton, is author of "A Random Walk Down Wall Street" (W.W. Norton, 7th edition, 2000). interactive.wsj.com I have analyzed monthly data spanning the past 35 years. It shows the actual P/E for the Standard & Poor's 500 index and the P/E that would be predicted based on the past 12 months' change in the Consumer Price Index. The P/Es bear a close relationship to bond yields and the rate of inflation. The normal relationship today, based on bond yields and inflation, is for the S&P to sell at about 22, not 15. Bond yields are low and inflation is well contained, so it is perfectly appropriate for the S&P to sell at a level above its long-run average. The market today appears to be fairly valued. ===== BB

To: RobertHChaney who wrote (47266)	9/29/2001 3:53:26 PM
From: OZ	Respond to of 54805

Warren Buffett recommends that you should not invest in a company if you are not prepared to hold on and later invest more if it falls significantly The difference between many here and WB is that he was buying (and being laughed at) all of the "old economy" stocks that were never supposed to be worth investing in during the "New Paradigm" period. He had some huge paper losses and then made (is making) a killing in the Tech bear. The equal thing for a tech investor to do if you want to invest the way WB does, is to buy tech now when people on threads like this are finally saying "We are in a Bear market" and some here are actually finally shorting stocks. OZ

To: RobertHChaney who wrote (47266)	9/29/2001 3:53:55 PM
From: OZ	Read Replies (1) \| Respond to of 54805

Warren Buffett recommends that you should not invest in a company if you are not prepared to hold on and later invest more if it falls significantly The difference between many here and WB is that he was buying (and being laughed at) all of the "old economy" stocks that were never supposed to be worth investing in ever again during the "New Paradigm" period. He had some huge paper losses and then made (is making) a killing in the Tech bear. The equal thing for a tech investor to do if you want to invest the way WB does, is to buy tech now when people on threads like this are finally saying "We are in a Bear market" and some here are actually finally shorting stocks. OZ