Conference nyoss1::market_investing

    If you want help looking for stocks to pick, reports, etc, the someone
    like M/L would be helpful.  If you're not going to use those services,
    and rely on your own research, etc. I'd use a deep-discount broker.
    
    Now, if the problem is getting off of your behind and actually doing
    the work, that's a whole seperate issue 8-)

    re: .0
    
    If you are thinking of using them as your money manager, I would
    recommend that be cautious. You got to find someone who is real good
    and honest (hard to come by). Otherwise, you are in for some rude
    surprises.
    
    Mike

    Another consideration:
    
    If you are doing your own "research", or just have fleshed out your
    investment ideas, these will rarely be in "synch" or of interest to
    your particular broker. When this happens, I find that the mixing of
    advice/suggestions from the broker tends to water-down my own plans
    and I compromise on actions.  Often this results in not taking an
    action I had figured ought to be appropriate. 
    
    For example, you have been watching stock X which just droped 25% and
    you think you ought to get in. You describe the situation and ask for
    his opinion. If he isn't in tune with that industry, or whatever,
    he may say he wouldn't do it, or find generic reasons why it might not be
    a good thing to buy now. If he isn't really into that stock and
    especially the industry, his opinion may sound "reasonable" and if you
    really needed some support for a buy decision you just got talked out
    of it. If your instincts are generally good, you may find later that 
    it would have been profitable to buy. 
    
    An example: 
    Often you hear comments like: "we think that industry is in a general 
    downturn, so I wouldn't buy that". (Of course you just might be
    tracking the one really successful company in the field). You don't
    buy. Next month the stock recovers 20% because they come out with
    good earnings. Your broker knows beans about that industry (or he'd know
    that your company is the star.) 
    
    Now don't get me wrong. I use a full service broker (and also
    Fidelity). But I try to separate his own (personally) well-researched
    ideas, from the mediocre  suggestions that are the "company line".  And
    I try even harder to  determine if other stocks I'm interested in are
    within my broker's sphere of interest, or not. When they aren't, I
    still usually ask for his opinion, and I have to try like hell to stick
    to my guns when he has only mildly negative or neutral reactions. 
    
    If you do your "trading" with a discount broker, this isn't going to
    happen, and you get a clearer test of your own abilities to pick
    stocks.
    
    Generally speaking the broker with a large house with lots of research
    will always have some stocks to suggest you buy. These may be stocks
    that your broker has closely followed (maybe he's got his own money
    in it).  In that case you can accept his ideas on their own merit, and
    adopt the idea for yourself.  However, more often than not, large
    brokerage houses are touting stocks they think can yield 10-20% moves
    over the next 12-18 months. These are often more conservative than what
    you, as a trader (or long term investor) may have in mind.  But he may
    talk you into one of those instead. 
    
    One thing on the plus side for a full service brokerage is their ability
    to get you reports on companies that they don't even follow. (They'll
    provide a company research report from another brokerage house.
    I don't know if that is a personal favor from the broker or standard
    policy. But mine has sent me competing firms reports. I always had
    the impression its fairly common - but I don't know if the broker has
    to do that via his own personal network, or if my company obtains it 
    for him.)
    

           <<< Note 931.3 by HELIX::SPIELMAN "jerry dtn 297-4879" >>>
    
>    If you are doing your own "research", or just have fleshed out your
>    investment ideas, these will rarely be in "synch" or of interest to
>    your particular broker. When this happens, I find that the mixing of
>    advice/suggestions from the broker tends to water-down my own plans
>    and I compromise on actions.  Often this results in not taking an
>    action I had figured ought to be appropriate. 
    
    	Oh, how true this is!!!
    
    	Excellent note, Jerry!

    Re: .3
    
    There are other ways to get research reports, though.  Schwab, a semi-
    discount broker, offers them for a small fee ($5? $7?), plus they
    are starting to become available on various web sites.  (Surf around
    if you're interested, unfortunately I'd have to rummage thru my
    humongeous netscape history file to try and unearth the appropriate
    web addresses.)
                                                

    I don't believe a full-service broker is the way to go. The really good
    ones won't have the time for you. These days brokerages make a lot of
    their profit trading for their own accounts and that's where they're
    going to put their real talent.
    
    If I were in your position, little that I know of it, I would dollar-
    cost-average a solid mutual fund or family thereof, or otherwise
    follow a disciplined approach so you don't have to reach a decision.
    It's hard enough for *one* person to pull the trigger, it can be
    exceptionally tough for two to reach a consensus.
    
    You could also hand your money to a professional money manager who
    trades your account but doesn't make money on account activity, and
    doesn't have direct access to your funds.
    
      John
    

I second John's advice about DCA'ing.
this will also help address your "i don't have time to invest"
problem.  set up DCA, and let it build.

    Thanks for all the good advice.  It is my opinion that a full service
    broker will muddy the waters of decision making too.  Also, I can't
    imagine that they will spend any time and effort on a tiny little
    account, which is what we would be.  
    
    Generally (90% of the time) I am the stock picker in the house.  I do the
    research, convince hubby, or not, usually yes, and buy through our
    Baybank discount broker or PCFN.  I love doing this, just need to put
    more time into it, or make decisions faster.  Adding Merrill-Lynch into
    the picture WOULD throw me off.  Hubby is always looking for some extra
    expert advice.  Example, along with tying us up with this Merrill-Lynch
    guy, he also went to an investment seminar by Allmerica.  Now that's a
    subject for a whole other note!!  Now I also spend my time reading
    about their suggestions and convincing hubby we need to run - fast -
    away from them.
    
    Hummm, just writing this, I think I see my problem.  If I don't keep
    all available cash invested, hubby heads off to other pastures for
    ideas, which causes me more work and less investing time.  I think if I
    find a way to solve this, we'll be okay and won't need the likes of
    M-L because there won't be any bucks to give them.
    
    By the way, we do DCA, but I will do more as part of the solution.
    
    Thanks again for some good food for thought on using a full-service
    broker.
    
    Carol