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Leadership Qualities Help Ward Off Trouble.(THE SMART INVESTOR)(IBD INVESTOR PROFILE)
Byline: MARILYN ALVA
In his first six years in the stock market, Richard Cronin followed his broker's advice. His broker told him he should hold a stock at least two years before re-evaluating his position.
But that policy didn't work out too well in the late '90s. Take ExciteAtHome. Cronin bought the Web stock on Dec. 9, 1998, at 66.75.
He saw his stake double within a year, and then disappear. "I held it right into bankruptcy," he said.
Cronin was still in his 20s at the time, newly married and in the early stages of his career as a sixth-grade math and science teacher. The $3,500 loss, he says, was sizable for him.
Losses like that weren't going to get him any closer to his dream of buying two vacation homes: one in warm weather for water sports and another in a wintry climate for snowboarding.
About a year ago, Cronin fired his broker and decided to invest on his own.
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