It's hard to deal with these questions in isolation. You have to know the affected person's financial situation, what their objectives are, how and when they plan to use their money, etc. Generally speaking, unless you have a long time horizon until you reach retirement age, say, at least 10 years, I think you should think in terms of "wealth preservation" rather than "wealth accumulation." That means don't expect any large increase in your nest egg. Try to hold on to what you have and to get the best use out of it. To return to the original question in this thread, I still think that buying I bonds right now is probably not a good idea. We bought some about 6 years ago, when their base rate was 2% plus the inflation part that is adjusted every 6 months. For quite a while, it paid a reasonable interest. Now the inflation part pays zero, but we still get 2% because the base part does not change. So we're keeping it because the interest will get adjusted upwards when inflation reappears. I hope it doesn't spike too high. Back in the early 1980s (or late 70s), to fight inflation that got out of control, the Fed raised interest rates sky high, so investing in CDs was a no-brainer. They paid better than any stocks. There were 20 year CDs that paid over 10%. Only time will tell if that happens again. I hope not.

kim0201 -- I've been hoping someone with more insight would respond to your post. First, I must commend you for your disciplined investment strategy. The most important thing is to save regularly, and you've been doing that and investing safely -- you are very wise. I purchased some I-bonds in October 2001. I've been very pleased with the return, but the fixed rate was 3%. Rates had dropped dramatically from May 2001 to October 2001, so I had the advantage of knowing that the fixed rate would likely not see those levels again for quite some time. Because the fixed rate is only adjusted semi-annually, you can lock in the rate that was in effect six months prior -- an advantage if rates have fallen. The inflationary rate has been disappointing at times. They use core inflation, so food and energy aren't calculated into the equation. When I've gone in to check the new inflationary rate, I've been surprised that it wasn't higher. My inclination is to not invest in I-bonds now because the fixed part of the rate is low. I believe rates will go up (not immediately, but within the 5 year holding period) and while I believe that inflation will rise, too, the fixed rate portion can really hold back your return. Having said all of that, your strategy of dollar cost averaging is much more effective than trying to time the market like I'm doing. However, I don't invest regularly in Bonds -- just sometimes when the circumstances are appealing. I hope someone else here will provide you with more useful information. Keep up the good work!

About today's uptick in the markets: it's too soon to tell if the wide fluctuations we've been having are coming to an end. There may be some more big jolts to the markets: hedge funds collapsing when they have to sell good stocks at a loss to pay for redemptions; credit default swaps ("toxic" holdings); GM bankruptcy; continuing downslide in real estate values; prolonged unemployment of up to 8%; loss of consumer confidence. There is therefore every reason to believe that this recession will not be similar to recent ones, but will be longer and deeper. That said, the markets will begin a sustained climb when they "anticipate" a recovery within a few months or a year. I do not think we are there yet. But I'm sitting on a pile of cash because I sold half of our stocks about 4 months ago, and I'm gradually putting money back in stocks, a little bit every 3 months or so.

"""""Unless you do the test with the actual wiring and fault it repeatedly to adjust everything it is NOT going to work""""" """"This is a very application dependent item, not anything a lab can do for you. """" It�s like beating a dead horse.... This will be the last time I am going to try to explain this to you because I am not getting it through to you. I guess square D, engineering firms and hospitals do this kind of thing for fun and like to spend 7, 10 or 20K on things that don't work. You are only talking in opinion. Please provide your comments with some articles that a selective coordination study is bogus from a reputable source? You say you have seen all these issues but provide not details as to the specs or conditions it was under. It�s almost an insult and as if you�re saying the engineer who performs these studies is performing a job that serves no purpose. What else are you stating that can't be duplicated at a test site???? You can get the resistance of the wire, the temp, weather conditions, motor torques, load, time ran, splice types, terminations, age etc. During the study the engineer should get plans that show your entire setup. If there is something odd then they will review that and take it further into consideration. If someone doesn't do a spice correctly that is an incorrect installation, but if you take into account the available AIC at the site and spec your breaker correctly it will open without damage. The amount of time and calcs is why it cost thousands and thousands of dollars. Let�s take one common sense note, if it�s BS then why does the code require it in certain instances? Once again the study will take into effect the amount of available current and if done correctly will match the equipment to this. You say that a lab can't duplicate the field conditions???. Some labs test some of their gear at 200% in some instances. Take a look at MGE gear and see what they do upon testing/commissioning. So if you are in the field and a splice fails or a phase to phase short and the breaker blows off the wall or does something off normal then you better start looking at who designed it or setup the settings, because in MOST (not all) cases it wasn't correctly installed to handle the fault. Please before you go any further please read the link I added. It is an example of a study and it is from cooper/bussman. Look at page 1 number two on "SHORT CIRCUIT STUDY" I do hope you understand this better and that this helps clear things up for you. """"""Ever seen conductors move under fault current? You should see power lines jumps. """"" I have a lot of experience in high voltage and yes the air can become a conductor. Where are you going with this? Here is a link that might be useful: READ THIS LINK! Example of a study and what it includes