05-23-2002, 08:16 AM
This leader of the Mutual Fund Industry Association or something is on TV. He is remarking how fund investors have not panicked, or created net outflows but, rather, have maintained net inflows in spite of the huge bear market.
Geez, what a dunce. Obviously, that is the whole point. Since people cannot, on balance, withdraw money that has already been "invested," by default then prices must move to the level where there are net inflows, to feed the investment process.
I am sure if the Dow goes to 1, there will be net inflows to buy at 1. And then, if the demand for investments rises, prices will rise, to slow down inflows, until supply can catch up. Imagine if everyone could withdraw all their money? What is this crap?
eLROY
Geez, what a dunce. Obviously, that is the whole point. Since people cannot, on balance, withdraw money that has already been "invested," by default then prices must move to the level where there are net inflows, to feed the investment process.
I am sure if the Dow goes to 1, there will be net inflows to buy at 1. And then, if the demand for investments rises, prices will rise, to slow down inflows, until supply can catch up. Imagine if everyone could withdraw all their money? What is this crap?
eLROY