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Registered
Join Date: Oct 2001
Location: Westford, MA USA
Posts: 8,861
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My MBA Finance professor said that if you see a $10 bill on the floor of the stock exchange, don't bend over and pick it up -- because it's not real. If it was, someone would have picked it up before you. I believe that this pretty well sums of the "Chicago School" of thought on the subject.
BTW - I wasn't advocating market timing. But selling just because the market is down and you have paper losses is a great way to lock in those paper losses for the very simple reason that it violates that little piece of common sense that I quoted.
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John
'69 911E
"It's a poor craftsman who blames their tools" -- Unknown
"Any suspension -- no matter how poorly designed -- can be made to work reasonably well if you just stop it from moving." -- Colin Chapman
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