To: H James Morris who wrote (144063 ) 7/23/2002 7:45:44 AM From: GST Read Replies (1) | Respond to Bill sent me a pm -- it said he was going to sell everything and buy wcome stock. He said never mind the past, think about the future. I wrote back and said "what about the risk of never coming out of bankruptcy, or the risk that equity owners will be wiped out either way".. and he wrote back and said to me "all you ever think of is risk... do you even know what a telephone is?" Naturally, after being caught with no proof of any first hand experience with a telephone I felt really silly... and well you know, he is just risk tolerant, and he did say that he plans to offset the risk by diversifying into wcome bonds because you can buy a dollar in face value for only forty cents! -- something about a screaming buy.. naturally I wanted to know if he understood that they are trading at a discount and that the stock and bond prices are highly correlated, but he told be that he is only interested in chaotic, non-linear investments that are beyond mortal calculation... he calls this investment style "the strong stomach new economy chaotic public venture capital style where a non-linear cycle of buying and holding while actually selling and buying is augmented by always being the first to spot the real deal, that is when you hear about the real deal from your broker in a public forum aka ala the 'big stock tip'" ..... go figure....... it just seemed like same old, same old to me...... and then a little voice asked plaintively from far away: "Was it all a mania that ended badly?" And I heard voice that sounded like our Bill shout back: "Don't ever forget, I bought yahoo at the ipo....., I am risk tolerant.. the riskier the stock the more I am willing to pay for it.... the riskier the stock, the more I ignore the risk and the more convinced I become that the stock is certain to be a ten-bagger, do you know that I bought yahoo at the ipo... at the ipo... at the ipo..... I am a venture capitalist... I bought at the ipo...." And I asked myself, "isn't the point of an ipo so that venture capitalists can get their money out of a stock"? Perhaps he meant "I am a venture capitalist's best friend... I buy stock from them and then I tell the same story to other hapless investors that they told to me to drum up interest in the stock". Same old new economy. Go Tivo!
