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 : The Residential Real Estate Crash Index -- Ignore unavailable to you. Want to Upgrade?

To: John Vosilla who wrote (27772)	3/4/2005 3:25:37 PM
From: Elroy Jetson	Respond to of 306849

When you're a fortune teller who can determine the bottom of a cycle, everything is good. Debt is very good when you use it to acquire undervalued assets that generate significant cash flows that easily cover your debt service near the bottom of a cycle. When you buy a stock at it's low for the year you can amplify your success with margin - just be sure you're right. Although I seem better able than most to gauge cycles, I don't presume prescience. If you're wrong, debt can make your error devastating - just ask the masters of the universe who ran Long Term Capital Management. I leave debt to those fortune tellers who can accurately forecast the future. .