Market Index Target-Term Securities, or MITTS.these securities are bonds linked to a market index such as the Standard & Poor's 500-stock index, the Nasdaq 100, or the Russell 2000. Investors are guaranteed to get their principal back plus appreciation based on the performance of the underlying index.
Giving advice to others
- Thread starter jem
- Start date
we here at ET usually confer with OPTIONAL777 for expert advice
For the last couple of years, when people have asked me how to make money in the market, I tell them not to try. I tell them to put it into a money market or savings account.
Then I tell them the story "Acres of Diamonds". It's a parable about an African farmer who sold his farm so he could go exploring the countryside looking for a diamond mine so that he could become rich. Several years later, the man he sold his farm to found a large glittering rock in the stream going through the farm. It turned out to be one of the largest diamonds ever found, and the farm was littered with them.
Moral of the story: Stick with your own occupation and try to improve on what you already have. Hard work and dedication will prevail. If you want to make lots of money in the market, then you'll have to make it your profession and do the same. There is no quick way to riches in the market.
Like Jesse Livermore said when people used to ask him how they could make some quick money in the market, he used to think to himself, "That's like me asking a doctor how to make some quick money doing heart surgery."
It just doesn't work that way. The 80's and 90's were a stock market bubble. Those days are gone now, and if history is any guide, they'll be gone for another 20 or 30 years, at least.
Then I tell them the story "Acres of Diamonds". It's a parable about an African farmer who sold his farm so he could go exploring the countryside looking for a diamond mine so that he could become rich. Several years later, the man he sold his farm to found a large glittering rock in the stream going through the farm. It turned out to be one of the largest diamonds ever found, and the farm was littered with them.
Moral of the story: Stick with your own occupation and try to improve on what you already have. Hard work and dedication will prevail. If you want to make lots of money in the market, then you'll have to make it your profession and do the same. There is no quick way to riches in the market.
Like Jesse Livermore said when people used to ask him how they could make some quick money in the market, he used to think to himself, "That's like me asking a doctor how to make some quick money doing heart surgery."
It just doesn't work that way. The 80's and 90's were a stock market bubble. Those days are gone now, and if history is any guide, they'll be gone for another 20 or 30 years, at least.
US Treasuries could lose you a lot of money if things change.you are buying an asset at 40 year highs in price.
My point is that someone certainly wouldn't lose money in a short to medium period of time buying one year T-Bills. I mean, come on, you get a coupon payment from the Fed and you have a bounded downside. For Christsakes, I've been keeping these things in my trading accounts for years.
What would you suggest, Einstein, Cisco or IBM?? Going from a 4% to a 2% coupon is certainly better than losing 50% in six months. Hey, the hypothetical is that this is your girlfriend or mother asking you this question.
What would you suggest, Einstein, Cisco or IBM?? Going from a 4% to a 2% coupon is certainly better than losing 50% in six months. Hey, the hypothetical is that this is your girlfriend or mother asking you this question.
The standard answer to this question of where clueless relatives should put their money was utilities and regional banks. Boring and safe. After last two days better ashcan that advice. I would tell them 1/3 t-bills, 2/3 with Bob Brinker.
bob brinker.you must be kidding.his sheeple are holding QQQ bought at 83.here is a bob brinker site.you can read all about ex brinker sheeple bashing him.
http://www.suite101.com/discussion.cfm/investing/80895/latest/1839
http://home.ix.netcom.com/~mlee1984/Brinker/2001_1016_Act_ImmediatelyQQQ.jpg
jem-
one thing you might want to check out is a "Fund of Funds" offered by some firms. Basically it's pooled money to allow smaller investors into Hedge Funds that typicaly have $1mil dollar minimums. When i was at Dean Witter we had these.
If your family has enough to get into hedge funds, there was a great article in BusinessWeek about top performing hedgefunds...it was 2 or 3 weeks ago I think.
Another option is an advisor who matches people with hedgefunds.....hedgeworld.com or do another search on google.
good luck
uptik
here's a businessweek link
http://www.businessweek.com/2001/01_09/b3721001.htm
one thing you might want to check out is a "Fund of Funds" offered by some firms. Basically it's pooled money to allow smaller investors into Hedge Funds that typicaly have $1mil dollar minimums. When i was at Dean Witter we had these.
If your family has enough to get into hedge funds, there was a great article in BusinessWeek about top performing hedgefunds...it was 2 or 3 weeks ago I think.
Another option is an advisor who matches people with hedgefunds.....hedgeworld.com or do another search on google.
good luck
uptik
here's a businessweek link
http://www.businessweek.com/2001/01_09/b3721001.htm