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bruce wrote:
<<<BIG SNIP>>> I
>also realize a lot of stock is held in tax-free retirement funds, which
>definitely offsets this effect somewhat. But I think the fact that money in
>401Ks and IRAs can't be used until retirement also gives people a strong
>incentive to leave it alone and to leave it fully invested with a long term
>outlook. That outlook tells them stocks are the place to be. <SNIP>
IRA + 401K + huge tax penalty + SS contributions in stocks (near future) =
a solid market foundation or support level that wll mitigate against large
crashes (> 20%) for awhile.
However, the stock party will be over shortly before the first tidal wave
of boomers begin their cash withdrawals from tax related stock investments.
-Tony Haas
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