Re: Disagree with "averaging down is a crock"
posted on
Apr 01, 2011 11:07AM
Where it was a great idea?
Whole basketfull of issues that got sideswiped by the U.S. housing fallout leading to recession.
Two that I "bought more at a lower price" were Sterling and Zarlink. In both of those cases I felt that they were companies whose fundamentals had not changed and thus would likely (and subsequently did) substantially recover once things settled down.
Don't misunderstand me. I am not advocating this action in every circumstance but I do say evaluate each circumstance individually. There are times when "adding more at a lower price" seems indicated. Those indications caused me to add to KXL in the .20's
End of Submission on this issue.
Onward and Upward