stock market research

Force One is the mad rush of the lemmings to realize losses on equity and / or income securities for absolutely no investment reason at all... just because they have fallen in price from the time that they were purchased. Assuming ( as I always do ) that we are dealing with " Investment Grade Securities ", lower prices should more logically be seen as an opportunity to add to positions cheaply than as an opportunity to reduce the 2007 tax liability on our other investment earnings. Losing ( your ) money is only a good idea in the eyes of accountants, particularly if the reasoning for buying the security was sound in the first place, and assuming that the issuing company is still profitable. This " tax - loss " lunacy is comparable to barging into your boss ' office and demanding a cut in pay, and it could be eliminated entirely by some intelligent tax reform. Have hope investors, I ' ve heard a rumor that candidate Romney is talking about eliminating taxes on investment earnings.

Similarly, letting your profits run, as instructed by Force Two, in order to push the awful things into 2008 is just foolishness. Talk to those geniuses who didn ' t take profits in 1999 ( or in August, ' 87 ) and who are still waiting for their stocks or Mutual Funds to bounce back! The objective of the equity investment exercise is to take profits... the more quickly and more frequently, the better. There are no guarantees that the profits will wait for you to pull the trigger at your personal tax convenience. And patting yourself on the back when you have unrealized gains within your income portfolio is equally absurd. What ' s better, a 10 % profit in your hand today, or 6 % over the course of the next twelve months? Profits need to be taken when they appear... the investment gods are watching.