The Daily Dow FOOL GLOBAL WIRE by Robert Sheard (TMF Sheard) LEXINGTON, KY. (Apr. 17, 1997) -- Fear governs most investors. There's no way around it. If the market is strong, the most frequently asked question is, Aren't we due for a plunge? If the market's weak, the standard question is, Shouldn't I wait until things settle down? In both cases, fear of a loss is the prime mover. My standard answer is always to forget the market, though. Start now and stick with it. Market timing has proven futile over the long haul, but one thing that can be demonstrated easily is the amazing power of time and compounding. Let's compare two investors fresh out of school. One decides to fund an IRA with $2,000 a year in an index fund (with a long-term market average of 11%). The other decides he can't afford to invest yet and will get to it "soon." For the first ten years after school, Ready Freddy socks away his $2,000. At the end of a decade, though, he decides to stop adding new money and just let the money already invested keep growing. During that first decade, Slow Joe doesn't invest anything. Starting in year 11, he begins the same program of annual deposits at $2,000 a year. But to make up for his slow start, Slow Joe will deposit the $2,000 a year for two decades instead of one. At the end of 30 years, Slow Joe's deposited $40,000 and his total portfolio is worth $142,530. Ready Freddy, who deposited only half that much and then let it grow on its own, however, has amassed more than twice that amount, $299,296. Even putting in half the amount of Joe's deposits, by starting earlier and letting compounding work for him, Freddy smoked Joe's returns. Just imagine how well they both would have done (especially Freddy) if they had been getting returns like the Dow Approach has generated instead of the market average. Start now and Fool on! (c) Copyright 1997, The Motley Fool. All rights reserved. This material is for personal use only. Republication and redissemination, including posting to news groups, is expressly prohibited without the prior written consent of The Motley Fool. ________________________________

The Current BTD 10 AT&T <% if gsSubBrand = "aolsnapshot" then Response.Write("(NYSE:T)") else Response.Write("(NYSE:T)") end if %> *Philip Morris <% if gsSubBrand = "aolsnapshot" then Response.Write("(NYSE:MO)") else Response.Write("(NYSE:MO)") end if %> *Intl. Paper <% if gsSubBrand = "aolsnapshot" then Response.Write("(NYSE:IP)") else Response.Write("(NYSE:IP)") end if %> * Exxon <% if gsSubBrand = "aolsnapshot" then Response.Write("(NYSE:XON)") else Response.Write("(NYSE:XON)") end if %> *General Motors <% if gsSubBrand = "aolsnapshot" then Response.Write("(NYSE:GM)") else Response.Write("(NYSE:GM)") end if %> Chevron <% if gsSubBrand = "aolsnapshot" then Response.Write("(NYSE:CHV)") else Response.Write("(NYSE:CHV)") end if %> Eastman Kodak <% if gsSubBrand = "aolsnapshot" then Response.Write("(NYSE:EK)") else Response.Write("(NYSE:EK)") end if %> Minnesota Mining <% if gsSubBrand = "aolsnapshot" then Response.Write("(NYSE:MMM)") else Response.Write("(NYSE:MMM)") end if %> J.P. Morgan <% if gsSubBrand = "aolsnapshot" then Response.Write("(NYSE:JPM)") else Response.Write("(NYSE:JPM)") end if %> DuPont <% if gsSubBrand = "aolsnapshot" then Response.Write("(NYSE:DD)") else Response.Write("(NYSE:DD)") end if %> NOTE: Foolish four stocks are preceded by an asterisk. Updated Daily

1997 Foolish Four Model Stock Change Last -------------------- T --- 33.63 GM - 1/8 56.38 CHV -1 3/8 63.63 MMM -1 1/4 82.63 Day Month Year FOOL-4 -0.82% -3.29% -7.44% DJIA -0.32% 1.14% 3.26% S&P 500 -0.23% 0.61% 2.84% NASDAQ +0.56% -0.38% -5.73% Rec'd # Security In At Now Change 1/2/97 179 Gen. Motor 55.75 56.38 1.12% 1/2/97 120 3M 83.00 82.63 -0.45% 1/2/97 153 Chevron 65.00 63.63 -2.12% 1/2/97 479 AT&T 41.75 33.63 -19.46% Rec'd # Security In At Value Change 1/2/97 179 Gen. Motor 9979.25 10091.13 $111.88 1/2/97 120 3M 9960.00 9915.00 -$45.00 1/2/97 153 Chevron 9945.00 9734.63 -$210.38 1/2/97 479 AT&T 19998.25 16106.38 -$3891.88 CASH $431.29 TOTAL $46278.42

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