Area Foreclosures

Why do people insist on simply buying stocks. Are these not all the same stocks you would buy any time? Suddenly they make sense? Good dividends, strong business? You should check out managed ETFs and take advantage of undervalued and overalued stocks and markets. What do you have to lose? 35%

The recession started in December 2007 according to the NBER......so if the recession ends in the 2nd half of 2009 it will be one of the longest of the post war era. The djii peaked in Oct of 2007 so this bear is no longer a cub. I appreciate your insight. The S&P trough earning should be about $55 to $60 in 2009 and those numbers are low estimates. Forward p/e's are very reasonable . I pick stocks and don't try to trade the mkt. If I can buy the stocks I mentioned at the levels I have bought them at in October and November , I am very pleased. Many of them yield over 5% and are the bluest of the blue. I believe the Oct/Nov lows will hold. Strictly my opinion and I an not pontificating to anyone else. I can live with my strategy.

Hmm, that's just not what I'm seeing. I believe current estimates have it at around $40. In light of the poor performance of those numbers over the last year or so I'd guess 2009 earnings will likely be around $20? I think 2001 was around $24, care to take a guess as to which recession will be worse? ;-)

Why do people insist on simply buying stocks.

I don't insist on simply buying stocks. Along with stocks I've got some international and domestic index funds; A High Yield Bond Fund & Muni Fund; some Real Estate (my house ); Money Market accounts; a boat load of CDs (I'm still overweight in cash) and a few bucks worth of change (US,UK & Euro) in a mason jar. Aside from GLD, I'm not a big fan of ETFs.

Are these not all the same stocks you would buy any time? Suddenly they make sense?

I can only speak for myself to say they suddenly made sense in Oct/Nov '08 (I was almost TOTALLY out of individual stocks at this time last year. The majority of my portfolio was in cash, the rest was in Foreign and Domestic index funds--which, by the way, took a good drubbing)

Good dividends, strong business?

Yes and yes. When CDs rates were dropping from 4 & 5% to 2%, instead of rolling over a few thousand in a CD paying out a 2.5% yield, you can take the same money and purchase shares of Exxon paying out the same yield--that's when it suddenly made sense (buying XOM at $60 vs $90 per share).

You should check out managed ETFs and take advantage of undervalued and overalued stocks and markets. What do you have to lose?

Which "managed" ETFs are you recommending? How much in fees are you paying the manager who is churning the portfolio trying to "take advanatge" of the undervalued and overvalued stocks?

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lol xom along term hold with a near $400 bil cap? it will pull a ge and pfe and go nowere for the next 10-20 years. buy the xlf finacial etf and leave it for a few years. bac at $11? how about some uso oil etf at $30 down from $119?earnings for 2009 will come in at $50 or less. in 1974 we bottomed at a 4-6 p/e. even a 12 p/e on $50 earnings is a $600 p/e. i highly doubt the nov lows hold. we'll see the 6k's in the dow

i highly doubt the nov lows hold. we'll see the 6k's in the dow

I too doubt that the Nov low holds as well...that's why I'm staying overweight in cash and sticking with high-quality dividend paying stocks. I've got a 10-15 year investment window, so if I can pick up some more shares of great companies on the cheap--bring it on.

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Are you saying nows the time to buy?

I'm saying "Now is the time for ME to buy." But I'm reentering slowly and very cautiously.

I would never be so cocky as to throw out such a nonsensical declaration to the public at large since I have no way of knowing every person's financial status or personal, business, and retirement goals....who the hell would be so bold to even believe they are qualified to utter such a statement??? Who--I ask you...who??

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I'm saying "Now is the time for ME to buy." But I'm reentering slowly and very cautiously.

I would never be so cocky as to throw out such a nonsensical declaration to the public at large since I have no way of knowing every person's financial status or personal, business, and retirement goals....who the hell would be so bold to even believe they are qualified to utter such a statement??? Who--I ask you...who??

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Thank you. I so appreciate you and goofer and y'all's perception of the stock market. However, this disclaimer is most important to anyone lurking out there looking to catch the next wave.

Which "managed" ETFs are you recommending? How much in fees are you paying the manager who is churning the portfolio trying to "take advanatge" of the undervalued and overvalued stocks?

From my experience of last year, averything 'managed' produced the worst return. The management was just too optimistic or unable to react quickly enough. Mutual funds got hit particularly hard last year, I feel for anyone who tried to ride it out in their 401K, they have a ways to go to get it all back.

My personal preference in this 'traders market' are the leveraged long ETFs. Going long on blue chips isn't something I'm willing to do yet, I'm too paranoid about another major drop, and inflation in 2010. I'd like to be in commodities if that happens.

Have you discovered Direxion 3x ETF's? They offer both nominal and inverse funds.

http://www.direxionfunds.com/pdfs/Direxion_Funds_at_a_Glance.pdf

My personal preference in this 'traders market' are the leveraged long ETFs. Going long on blue chips isn't something I'm willing to do yet, I'm too paranoid about another major drop, and inflation in 2010. I'd like to be in commodities if that happens.

Have you discovered Direxion 3x ETF's? They offer both nominal and inverse funds.

http://www.direxionfunds.com/pdfs/Direxion_Funds_at_a_Glance.pdf

Interesting statement from their website:

"Direxion Shares ETFs seek daily investment results. Investors who choose to hold the funds for periods longer than one day should recognize that their holding period is not in line with the fund's objective and such investors should regularly monitor and adjust their position to harness the daily objectives of the funds for their longer holding period."

Sounds like a lot of work to me.

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Interesting statement from their website:

"Direxion Shares ETFs seek daily investment results. Investors who choose to hold the funds for periods longer than one day should recognize that their holding period is not in line with the fund's objective and such investors should regularly monitor and adjust their position to harness the daily objectives of the funds for their longer holding period."

Sounds like a lot of work to me.

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Nah, just trade them on hourly graphs.