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No. of Recommendations: 5
Excellent post. I hope that it is somehow referred to by any newcomer to the board, perhaps by the FAQ.

<<I never forget the fact that the gamut of investing experience runs deep and wide on this and other boards when I submit a post.>>

My experience has been that in your case and in the case of Mike Buckley, this is true. It may also be true of others (I don't keep track by name), but not of everyone.

<<A look at Cisco...as well as many others go a long way to suggest there might be something to the theory.>>

To the contrary. One can go back much further than Cisco to find evidence to support the "theory" (and I would elevate the concept to a level much higher than that of a theory). As I've said before, if the search for companies such as these were not an integral part of CANSLIM, I wouldn't even be interested in the subject, or the book.

<<Yet, risk will never be eliminated. Part of that risk is the price you pay for an equity in combination with the time frame you have chosen for investing.>>

Well put.

<<History does remain on our side for long term investing to be able to create enough wealth to meet the majority of our financial goals in life>>

Yes and no. There's no evidence to support the idea that long-term investing in and of itself is superior to any other strategy, though anyone who began investing since the last bear market ended in the late 1980's would have a very different view on the subject. But if one buys just the right stocks at just the right time, the probabilities are that his portfolio will outperform the market averages, perhaps to a substantial degree. If one buys an index instrument of some sort, which is what most claims of the superiority of LTBH are based on, and if the timeframe is long enough, the probabilities are perhaps even greater, though none of this has ever been the subject of a comparative study except in hindsight.

<<I'm not sure how you would feel comfortable saying a comment that choosing points of entry and exit as being 'not even very difficult'. That seems to be rather incongruous with what we are trying to accomplish on this board.>>

I have no interest in sabotaging the board. And my posts have been few and far between. But if someone who is new to the markets asks if a certain stock is currently over-priced, or if a stock currently in freefall is a "buy", I don't think any permanent damage would be done by reminding that beginner of the nature of risk and risk tolerance and of the necessity of evaluating any potential purchase within the context of his investment goals and, as you say, his timeframe.

I may be ultra-sensitive to this issue because I work with so many beginners. And I don't roam the boards making obnoxious remarks; the boosterism of stock boards is indefatigable. But an occasional reminder to a beginner to slow down and think should not be intolerable.
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