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Technology Stocks : Dell Technologies Inc. -- Ignore unavailable to you. Want to Upgrade?

To: Mike Van Winkle who wrote (116279)	4/11/1999 7:50:00 PM
From: Chuzzlewit	Respond to of 176387

Mike, let me answer your points in order: 1. I am not sure why the S&P 500 index is used, there are so many indexes, and others that could be constructed. I was looking for a broad-based index of large cap stocks -- a peer group if you will- and one that is closely studied. The S&P 500 seems to fit the bill quite nicely. 2. Why not compare with bonds, Treasuries, or other interest paying vehicles? Because those instruments are not investments -- that is, economic growth does not exist with fixed-income securities. The idea is to compare equities with other equities. 3. With the notorious internets, with their high stock price appreciation, the premium of Dell (I feel) in the market is lowered. I have the feeling that a lot of money has left the investment realm of stocks (where I include Dell), and moved into the gambling realm of stocks, and thereby lowered funds available to purchase Dell. I am struggling to present the idea of competition for money with this new group of stocks, as different from past stock markets where gambling was not so great. You may be right to some extent -- I don't know. Certainly the i-nets have attracted the attention of traders. The question is how much money has been moved out of companies like Dell into companies like AMZN, and I don't think there is an easy answer. But frankly, it doesn't matter to me. I view those companies as legalized Ponzi schemes, and investors who play the greater fool game in those sand-boxes are setting themselves up for a terrific fall. The thing that disturbs me is that the financial scam underlying these stocks is patently obvious. My take is that you are better off holding a portfolio of high quality growth stocks that have a demonstrated track record. Leave the latter-day Boston Chickens to the gamblers. Because I am a novice at these highbrow thoughts, please accept my apologies. No apologies necessary, Mike. We are here to learn from one another. I have trouble screwing in light bulbs, and there are plenty of engineers here who helped me with that seemingly complex task <VBG>. Good luck, TTFN, CTC