On rain-dances and hand grenades …

Timing matters. Forget market timing; I’m not even going to attempt it. This is about “timing” in a much more personal sense. While I can probably trot out a handful of examples where I was the last guy at the punch bowl, but this one is most illustrative:

In February 1995 I read a great article about Cray Computers; they were on the verge of introducing an absolute killer super-computer, and the gamut of US government agencies were drooling for the product. Cray had lined up the last bit of financing they needed to complete testing, and then “they were good to go”. My timing was amazing, yes?

I bought on the 22nd at ⅞ (remember that method of pricing?). Next morning I check the stock and it’s at ⅛! Seems some guy in Singapore (Nick Leeson), working for some storied British bank (Barings) was making a run for it after some huge investments had gone south on him, taking his employer down with him. So? What did that have do with me, on Canada’s Left Coast, investing in technology? Barings was backing Cray. Barings folded that day. Yup, my timing was amazing…

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One thought on “On rain-dances and hand grenades …

  1. Pingback: “What to do??” | Day Early, Dollar Short

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