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Strategies & Market Trends : From the Trading Desk -- Ignore unavailable to you. Want to Upgrade?

To: Don Green who wrote (1849)	12/2/1997 2:48:00 PM
From: steve goldman	Read Replies (2) \| Respond to of 4969

Don, On a simplistic level, I think you are confusing the perception that, like attorneys and doctors, know nothing about finances and simply should leave it to others. Recall, these arent' dumb people but very skilled sharp individuals who have spent their time fine tuning and concentrating on their profession and leave investing to investing professionals. Some professionals won't do work for themselves even when it is within their skillsets, such as the phase "the attorney that represents himself has a fool for a client" and dr.'s that won;t do surgery on their own family memebers lest emotions influence them poorly. Large firms institute policies against traders and brokers owning individual stocks to avoid any conflict of interest with front running, insider transactions, etc. I think this is more a compliance issue but it removes any issues. I think it also lets the professional concentrate on thejob for which she is being paid well for. As well, most professional moneymanagers say they care for and treat client's money with far more care than they do their own. I can definately say I am far more a gambler with my own trading cash than I would ever be with a client. Actually, the two approachs are like two different worlds. because I am totally committed to clients interests' first, which I should be since I get paid quite well, I can not manage more than a few hundred thousand actively. For me, and as well, for most investors, mutual funds in specific and broad sectors offer a great, hands-off way to manage small and large accounts. Nonetheless, I keep a good bit to trade with, again, about 1/2 to short term trade, some day trading and some swing trading, and the other 1/2 to take advantage of position trades. Nonetheless, my discipline comes from predetermining why I am getting into something and then using the discpline strategy to exit as well, gain or profit. For swing trades, I take them home, if right, for day trades, I don't take them home, ever. I have been known to, IN ERROR, through a lack of discipline, and luckilymost worked out. Nonetheless, I have definately had a few gap down that "just looked like they HAD to go up the next day". I bet you traders who took CS home last night thought it would pop after a decent day yesterday. Anyway, I agree with you Don that professionals usually do better handling others than they do themselves. That does not mean they dont do a great job for themselves as well. And when they do delegate it, they do it because they know for WHATEVER reason, someone else can do better for them (performance or emotions, psychology, compliance) whatever. The same would hold true to the nonprofessional trader who could have turned his cash over to an sp500 fund andmade 30% over the past three years and used his time tomake earned income. Regards, steve@yamner.com