OK, I have this friend (no, it's not me), who put his entire IRA (about $60,000) into cash and then yesterday bought $60,000 of DNDN (Dendreon) a biotech stock at about $5.29 a share. He's about 62-63 years old, almost owns his house, and has no other real savings. He still works. He says buying DNDN was a move of desperation. I suggested that with what ever money he may have left that he invest in a small caliber pistol and a bullet. However, we have a mutual friend who really did well the last time DNDN had a huge run-up, sold it before it dropped, and could have launched into retirement with his earnings, but decided not to.
So how did your friend do ? Hope he held out for $29.00 .