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Strategies & Market Trends : Bob Brinker: Market Savant & Radio Host -- Ignore unavailable to you. Want to Upgrade?

To: MrGreenJeans who wrote (5019)	5/17/1998 8:12:00 PM
From: wooden ships	Respond to of 42834

Mr. Green Jeans: I am not certain who makes a more compelling case for a "graduated disengagement" from the stock market and the con- sequent protection of profits at this juncture, you or Warren Buffett, the latter quoted in this weekend's "Barron's." A thought provoking and grippingly informative post per usual.

To: MrGreenJeans who wrote (5019)	5/17/1998 9:44:00 PM
From: Investor2	Read Replies (1) \| Respond to of 42834

Re: "1. PE ratios are currently at historic highs on the S&P. Does it make sense to buy the Index or dollar cost average into the index at these levels for a possible 10% advance?" Let me carry your thought one step further: Is it ever worth investing in stocks, if the long term average annual return is only 10%? The idea of a 10% advance being insignificant is yet another sign of how spoiled we investors have become over the last few years. Who knows, maybe we'll never see market returns significantly greater than 10% again. Best wishes, I2

To: MrGreenJeans who wrote (5019)	5/17/1998 9:50:00 PM
From: Kirk ©	Respond to of 42834

Mr GreenJeans: I have reached a similar conclusion, that is: Why be 95% invested when the market will only go up 10% and I can get 5 to 7% fairly conservatively? As such, I have been slowly trimming my assets from the US market and going to bonds, cash/MMF and increased foreign (have had about 12% rather than Bob's 25% and have been glad I was allocated this way). I doubt I will go to 70% total equity weighting, but 85% over the next yr isn't a bad target for me at 41 yrs of age. BTW, 10% is still pretty good compared to 4% which is what bonds/money funds etc might average out to eventually. Justa - Great money links! Thanks All, any odds or results from the "Colorado Open or was the venue moved to Arizona with the "Dry 100" heat? 8) regards Kirk out