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Subject:  Raise your hand Date:  6/22/2001  3:31 PM
Author:  motxoc Number:  2420 of 6041

Raise your hand (or hit reply) if you are comfortable with investing 60-100% of your total investible assets with the BI strategy as described in TTD (including the recent modification of adding 5 year downside stocks, re #464.)

If not, why not?

- You are buying the most recognized, highly capitalized stocks on the planet.

- You have a pre-programmed entry and exit strategy.

- The Taxpayer Relief Act of 1997 mitigated the tax liability to a manageable (though far from ideal) amount if you stick with the year-and-a-day strategy.

(By the way, if you are interested in tax history, I found an interesting summary here, although I know nothing of the source):

- You are buying equities at the bottom end of the curve, so that they may tend to move with less of a downside than the index as a whole.

I am trying to think of a compelling reason not to utilize this strategy for the bulk of a person's investible assets, especially given the prevailing "wisdom" that the market as a whole will be trading sideways or down for the forseeable future. The BI backtest shows that in the worst of recent times, BI treads water (-5.13% in 1974) with a tremendous near-term upside if you stick with it a few years.

Comments? I'm interested to know how people are planning with or practicing BI. Being both a stock investor and a worrier, I am also interested on anyone's take on BI's "crashworthyness."
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