reality, page-14

The moneytree is for GROWING money.

Money won't grow sitting in a bank account.

IF, and it's a big IF, shares continue to fall in value, your strategy could be sound. More likely, some sectors will fall a little and others will strengthen.

This is a fast moving financial world and there is every chance that the market setback will be over quickly. It may be over in a day or two. There is no way to tell. Institutions also know that cash does not get growth results and they will be back into equities very quickly.

Governments have remarkable capacity to protect their markets and the Yanks will not let their markets fall to China, India or Japan.

Once you have the money in the bank, you will not know when to bring it out. By the time you feel safe, the best buys will be gone.

I personally feel that it is best to have good shares and a defensive position of about 20% cash but no more. Be prepared to invest that as soon as you find a bargain.