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Subject:  Re: I keep asking questions...... Date:  4/9/2002  4:23 PM
Author:  jrr7 Number:  34125 of 96090

Moving money into the small-cap fund would be performance-chasing. That's hard to do right because it's when the fund has its greatest gain that you need to get out of it. Rebalancing to re-establish the desired asset allocation is how you "buy low and sell high".

You can't have any of that 10% gain. It's gone now. What you should do is decide on a desired asset allocation (large-cap, mid-cap, small-cap domestic/international; long-term/short-term government/agency/corporate bonds; money markets) and stick with it.
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