So to add a little controversy to this discussion, I have had raging debates with a number of my Z club members about the wisdom of using Dot 5 silicon fluid versus the more conventional Dot 3/4 fluid. To me the benefits of using a non corrosive fluid (to paint) out weighed the negatives that I had read about Dot 5, so I gave it a try about 2 years ago when I installed a big brake kit on my car.
I can say for certain that I do not have poor pedal feel and in fact my pedal feels a little better than with Dot 3/4. I have not noticed any differences in stopping power, although with the big brake kit installed, my car stopped significantly better than with the stock setup. Based on my experience, I have been very happy with the Dot 5 and it also gives me some peace of mind wrt paint corrosion. Having said that, if I were tracking my car or using it in other really high performance situations, I would probably stick with Dot 3/4 as it does have better characteristics under those conditions.
Having said that, switching over to Dot 5 and actually using it is a little trickier than Dot 3/4.
First if you have been using Dot 3/4, you will need to completely flush your brake system as the 2 fluids are not compatible. Second, for some reason the Dot 5 fluid tends to hold onto air bubbles and so you need to be really careful when you pour it into your reservoirs or into a pressure bleeding system. I use a pressure bleeding system and will let the fluid sit in the container for a few hours to let the air bubbles escape. I will also usually bleed the brakes completely, let the car sit for 12-24 hours and then bleed again. I have found that doing it this way lets me get all of the air out of the system and results in a very good pedal feel.
Hope that helps.
Let the controversy begin!!
Mike.