Set forth below is the text of a comment that I recently posted to the discussion thread for another blog entry at this site:
The higher the balance, the better they should feel as they can offset a downturn better than someone with a small balance or no balance in their portfolio. This is not rocket science. The person who built a high portfolio balance is smart enough to make adjustments to protect themselves during times of adversity. This person likely has cash reserves, insurance, etc to handle what is thrown at them. People with small portfolios can not do this.
Investors are better off knowing the true size of their stock portfolio. I am not able to imagine how there could ever be a single exception to that general rule.
Rob


feed twitter twitter facebook