Thursday, October 9, 2008

How to Ruin the U.S. Economy

According to Ben Stein who says it here.

The buzz amongst some is that it is indeed the Hedge Fund folks who are causing the stock market to be unable to "find the bottom" as I like to say. John Edwards types can't take it and are pulling their money out like crazy.

I'd like to think the buy-and-hold types like most of us are getting revenge. At the moment, it's hard to cheer. Or know the best thing to do. Certainly, the thing to do is *not* pull your money out!

3 comments:

Marsha said...

Well, not all of the money but we all, and I mean all, should have something socked away in safer accounts, like CDs, and treasuries. I have been moving my money out of the stock market and into bonds and other money instruments for a few years now. Guess who has lost the least amount of money of all of my financial adviser's clients? Moi. She thought I was nuts when I first started doing this but he market has been unstable for quite some time and it made sense to me to take a greater portion of funds into safer investments. Are the return less? Maybe. But so are my losses. In any event, the days of 20% returns on stocks was over four years ago. People are dreaming if they think that will ever come back.

Should money be moved now? No. Two weeks ago, yes. Not now. The only thing to do is ride it out.

Carlw4514 said...

I am jealous of anyone smart enough to get their money out a year ago. 2 weeks ago, 6 weeks ago, not so much.

markpeters said...

Carl,

I've always found Stein's opinions interesting, although I find his delivery a little too 'deadpan' for my tastes.

However, he seems to come across better in print and is spot on with his assessment. I guess he lost a stack load of money with the crash, hence his venom.

Best wishes,

Mark