A.I.M. Users Bulletin Board

[OldAIMGuy]

Hi Adam and Steve, Re: ETFs, Correlation and Stock Picking......

It would appear this high correlation between individual stocks and Index performance argues against the thinking of "hamburger prices." I think we've seen how the trading floor empties when someone f**ts. These swoons seem to hit all sectors, asset classes and the individual stocks in them.

My guess is the ease of buying and selling with ETFs is likely contributing to the situation as the author mentions. I guess if we watch for the swoons and have a good list of potential "favorites" those times would be good for hamburger prices.

I think I side with Adam here in thinking the article is combining apples, oranges and hamburger!

Best regards, Tom