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.

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

To: pezz who wrote (40142)	10/25/2003 1:41:45 AM
From: calgal	Read Replies (1) \| Respond to of 74559

I appreciate learning the lessons!!:)

To: pezz who wrote (40142)	10/25/2003 4:57:10 AM
From: TobagoJack	Respond to of 74559

Hello Pezz, Today's Report: Did not exercise, but had a lovely lunch in a garden, took a nap, and while napping, became aware of the need to perform a portfolio stress test. I just did such a test, namely brought all stock prices to last October's level. This would presumably simulate a general breakdown of all paper financial instruments. Well, even though my portfolio is 20% in equities, and much of them in energy and mining achamchen.com , I found the resultant stress due to a 4% portfolio loss unacceptable. I think a 20% markdown of stocks across the board of all stocks, inclusive of gold and energy shares, a genuine danger. The market feels frothy, and the election pump priming not with standing, a markdown can easily happen as institutional and private Americans get more used to the idea of capital flight, especially if those nasty offshore speculators make a serious move to escape the now imagined carnage. A rising tide floats most ships may be true, but a tsunami sinks many vessels could be equally real. As we keep reminding ourselves, there is no null-position in this game and we must keep moving. I need to do something, ranging from buying some longer term insurance to withdrawing from certain of the more fragile positions. I will have to do some thinking. ACF Mike need not worry about his portfolio, because the losses the first time was so enjoyable that the second time promises to be even more fun ;0) Chugs, Jay