Originally Posted By beamerdog Back in the day we did put 30% down on our first home, lol. >>If it's a small part of a diversified portfolio, I don't think it's a HUGE worry though (not immediately anyway). How is it performing so far this year? (or is this just a general question?)<< Yes, it's a small part of a diversified portfolio. And, it's been and still is performing well. I spoke with my advisor early the next morning, whew.
Originally Posted By Mr X Good to hear. No, I'm definitely not trying to say "and now is the time TO PANIC!!", but just to generally keep an eye on your investments and pare off some of them if they seem heavy on banks/lenders and all that. Most fund managers, I imagine, are well on top of the issue too...THEY don't want their fund to start looking bad...they won't be hanging around in a dangerous sector (thus the huge loses of late...these are institutions making an exit, it's too big a move for "small potatoes" investors like you or I to cause. Yesterday Dow down almost 400 points, overnight Asia is crashing hard (worst day in over a year). Volitility is still the word of the day...we shall see if Friday marks a rebound!
Originally Posted By Mr X What did your advisor have to say, no worries? Did he have thoughts about the lenders/banks situation?
Originally Posted By LuLu OK, this guy feels a bit more extreme than Mr X: <a href="http://www.youtube.com/watch?v=SWksEJQEYVU" target="_blank">http://www.youtube.com/watch?v =SWksEJQEYVU</a> Here's the blurb I got with the link (I don't know this guy myself, but found the video amusing... hopefully he's exaggerating!): >>Jim Cramer is almost always bullish on stocks. He tells millions of CNBC viewers that the stock market is going to keep moving up. I have never heard of an instance when he has said "sell your index funds now and wait," let alone "sell short." Yet on Monday, he got in front of the camera and started screaming.<<
Originally Posted By Kar2oonMan That's Jim Cramer. His show is great stuff -- he is wild and crazy but with solid info. This is him in a rather calm mood actually! You should see his show! He often throws chairs, has sound effects, it's hilarious.
Originally Posted By Kar2oonMan His show is on CNBC by the way, and it's called "Mad Money." I started a thread about it some time ago, but I think i was one of the only LPers to watch it.
Originally Posted By fkurucz It appears that the Fed and other central banks are busy printing money and using it to buy up the bad bonds that financed the subprime and other bad mortgages. I have to admit that I have in the past dismissed the concept of the Plunge Protection Team as being a figment of the tinfoil hat crowd's imagination, but now I'm beginning to wonder.
Originally Posted By fkurucz Also, I wouldn't be too surprised if central banks around the world held emergency meetings soon and dropped their key lending rates by a point or more.
Originally Posted By beamerdog >>What did your advisor have to say, no worries?<< No. He said that it isn't time to change my percentages right now, but they are looking at the situation and will call me when they feel the change is imminent. I'm one of those "panic-y" investors, but my advisor has done very well since I started with him. He's very patient with me every time I go into a frenzy, lol.
Originally Posted By Mr X >>I have to admit that I have in the past dismissed the concept of the Plunge Protection Team as being a figment of the tinfoil hat crowd's imagination, but now I'm beginning to wonder.<< If they exist, they were out in full force on Friday boy! From 200 points down at the open to a near green close...talk about volitility. K2M, Cramer? Really? That guy is irresponsible in the extreme, and I'm putting it mildly. Here's a good one. He recommended Countrywide at $40 bucks a share and had his "buddy" the Countrywide CEO on his show to pump the company. Fast forward 2 months, Countrywide has traded as low as $23 a share and rumor has it they might be in BIG trouble. He's a real piece of work, lemme tell ya. Entertaining? Sure. But I wouldn't take a piece of advice from him in a million years, and I see lemmings do it every day (they post proudly on the net) and they're losing their shirts right now. Lulu, yeah I saw that vid...ARMAGEDDON! Way to cause a panic, Jimmy (seriously...after that little flipout the stocks started diving and ended up almost 300 points down that day! No, he wasn't "responsible" for it per se, but that freakout sure didn't help all the panicky investors!).
Originally Posted By Mr X **let alone "sell short"** Oh, he recommends short selling all the time, he just doesn't say it out loud. He often gives "watchlists" of stocks in serious trouble and says "keep an eye on them for clues on the situation". What he means is, short the crap out of them. And yes, I do watch him occasionally but ONLY for entertainment value. He also did an interview a few months back where he essentially told viewers how to manipulate stocks and work the system (that's illegal, and he all but admitted he used to do it when he was a hedge fund manager). He said that's what you "must" do in order to be successful in the business. Class act, that Cramer. One more thing, he also recommended, get this, TEN companies (his "top 10" list) right at the beginning of the dot com crash...every single one of them went bankrupt.
Originally Posted By Sport Goofy And for all of the hyperbole and antics, Jim Cramer isn't even a blip on the Forbes list of wealthiest people. Amazing that mild mannered, down to earth folks like Warren Buffet are at the top of the Forbes list, but people still flock to the investment nobodies like Jim Cramer with all the theatrics.
Originally Posted By Mr X Are you sure about that? I read somewhere that his net worth was over $100 million. But yes, he's all theatrics and hype, that's for sure! Problem with Buffet is he's boring...who wants to invest in razors and coke newspapers and slow moving boring stuff like that, and then wait 40 years to get rich?
Originally Posted By Sport Goofy << Problem with Buffet is he's boring...who wants to invest in razors and coke newspapers and slow moving boring stuff like that, and then wait 40 years to get rich? >> Go back 40 years -- Warren Buffet was still rich.
Originally Posted By Mr X I know. I'm speaking in general, "smart investor" terms... That IS the best way to go, obviously, if you want a nice comfortable retirement. You're not going to get there with lightning rounds and "picks of the week", that's for sure.
Originally Posted By Mr X Wow...this warning sure was good timing, the markets have officially crashed and burned and today is looking VERY grim (Asia hasn't crashed this much since 9/11!!!). I hope you all heeded the advice and made some adjustments as needed (defensive stocks til this blows over would be a good way to go). As of yesterday, the S&P is offially in NEGATIVE territory for 2007, after just recently hitting all-time highs... And I'm in extremely positive territory cause I've been short selling the lenders!
Originally Posted By Mr X DOW down yet another 130+ points today! (so far!) Now 12,723 (recently as high as 14,000!!)
Originally Posted By Mr X DOW down yet another 130+ points today! (so far!) Now 12,723 (recently as high as 14,000!!)
Originally Posted By Mr X DOW down yet another 130+ points today!!!!! (so far!!!!!!!!!) Now 12,723 (recently as high as 14,000!!!!!!!!!!!!!!)
Originally Posted By Mr X DOW down yet another 130+ points today!!!!! (so far!!!!!!!!!) Now 12,723 (recently as high as 14,000!!!!!!!!!!!!!!)
