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Registered
Join Date: Apr 2001
Location: Linn County, Oregon
Posts: 48,788
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Quote:
Originally posted by Bill Verburg
Then you are chum for the financial industry sharks, You have my sympathy
Successfull investing for the amateur is all about asset allocation that will maximize gain while minimizing risk. The curves show what is called the "Efficient Frontier" and you should easily be able to see what ratio of stocks/ bonds to own as shown by the mixes illustrated for different decades, at one end is 100% stock the other 100% bond and in between in 10% increments are mixtures. Once you know the ratio that has been shown to max gain while min risk then it is only a matter of choosing the vehicles to invest in.
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Couldn't agree more...also, asset allocation should change as you get closer and closer to retirement age. There is always the possibility of unforseen major events that can wreak havoc in the markets and the economy...
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"Now, to put a water-cooled engine in the rear and to have a radiator in the front, that's not very intelligent."
-Ferry Porsche (PANO, Oct. '73) (I, Paul D. have loved this quote since 1973. It will remain as long as I post here.)
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