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Author: KBecks Big red star, 1000 posts Old School Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 40850  
Subject: Why I am not doing this. Date: 12/21/1999 11:07 AM
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After reading about the foolish four, reading the strategy articles and following the message boards for several weeks, I have decided that the F4 strategy is probably not for me.

This is not to say that F4 is not a good strategy. I'm just saying that it's not right for me.

Here's why. (feel free to disagree as much as you like).

I thought I understood the F4. Seemed very simple from the articles. Market crushing performance, well, most of the time, and over the long haul. I became interested in these astounding returns and started to learn more.

As the saying goes, the more I learned, the less I really knew. While the overall concept of buying large companies that are out of favor in a simple mechanical strategy made a lot of sense, I became boggled while reading the message posts of people who are more statistically inclined than I am. While I can't say that I agree with any of the data-mining arguments, that's mostly because I'm not following the conversations. Even if I read the FAQ daily, it's unlikely that I'll be able to defend my F4 investments against those who believe the strategy is flawed.

I've also read a lot of depressing posts from investors who are suffering though bad F4 years. I've realized that I really don't want to join them, and I have come to the conclusion that diving into the F4 would be like rolling the dice - I wouldn't be able to explain my success or failure.

Personally, I've decided that I will be much more comfortable with a Rule Maker strategy. (At least that's the decision of the moment). Reason: I'd rather spend time learning about the company than do 15 minutes a year with my fingers crossed.

I hope this post isn't too negative for you F4 investors. I realize that I may be passing up a fantastic strategy. But that's the choice. I may return to the F4 or BSP RP 4 someday, but now's not the time for me.

One more remark, I have learned lots in the process, and am grateful to the Fool for this education.

Hope this is helpful to somebody out there.

Karen
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