January, 2011  now browsing by month   Viva VRI!!!  Yes, new
year, new acronym!! But I think this a crucial one.  For years,
the tenets of mainstream investing have involved buy and hold
and investing based upon your risk tolerance. The mainstream is
moving towards accepting the concept that buy and hold is not a
winning strategy to always pursue.   Regarding risk tolerance,
an aggressive investor was counseled to take more risk than a
conservative investor. In mainstream portfolio management this
really meant that the aggressive investor owns more equities and
the conservative investor owns more fixed income. It is time to
end this myth also.   First, we grant that the appetite for risk
is a crucial ingredient in formulating portfolios. Someone whose
goal is to grow their money at a faster rate will of necessity
need to take more risk than someone who has a lower tolerance
for loss or who simply does not need to grow their money as fast
in order to meet their financial goals. The problem is that risk
does no