The News Review:
- Investing After the Crisis Price Matters Most
- p-Ed Contributor Get In on the Bailout
- Comfort Zone Investing: Market realities
- Workers steered to high-risk investing
- Investing in bank stock may be pure speculation
- Achingly Beautiful Investing
Investing After the Crisis Price Matters Most
Washington Post
That’s where the money turned out to be. Investors erred in their religious belief that stocks always outperform bonds over holding.
p-Ed Contributor Get In on the Bailout
New York Times
Most mutual funds for example probably couldn’t buy toxic assets because their regulations say that their customers must be able to sell their shares quickly — and selling a toxic asset is not a quick process. Private investment partnerships like hedge funds can buy the toxic assets but they cannot be offered to the general public. Exchange-traded closed-end funds also are no panacea since investing in these toxic assets requires a long-term commitment of capital and doesn’t lend itself to daily valuations and daily trading. What we need is a not-yet-invented investment vehicle that would enable ordinary citizens to own a piece of the distressed American financial system. The new vehicle would be open to small investors able to commit to a long-term investment. Perhaps the United States savings bond is a useful model since it compels people to invest for the long-term without a complicated prospectus or offering memorandum. The Treasury auction process is another helpful model since it enables small investors to buy Treasury bills and bonds at a price set by large investors.
Comfort Zone Investing: Market realities
BloggingStocks
Most of the time they’re fear or greed. Recently it’s been outright terror. That’s because large amounts of money have been lost. Most indexes for stocks were down between 40% and 50% in 2008.
Workers steered to high-risk investing
Boston Globe
Many of the funds in which workers were automatically enrolled dropped more than 25 percent last year while a more conservative investment strategy rejected by the Bush administration would have resulted in a gain of 4. The administration’s decisions came in response to a congressional mandate to encourage more workers to participate in company-sponsored retirement savings plans. The Bush administration came up with a rule that enabled businesses to automatically enroll their workers in tax-free 401(k) retirement plans. If the workers failed to specify how they wanted their money invested the company would be required by law to place their retirement money in investment funds that for the most part relied heavily on stocks.
Investing in bank stock may be pure speculation
NewsK.com
Berko: Do you think it’s time to buy Citigroup Bank of America or some of the other banks that have crashed in this economy? The government is encouraging these banks to be more aggressive in their lending to small businesses and consumers which should increase bank profits and move the economy forward again. So I’m considering an investment of $21000 in six different banks like Citigroup Bank of America Fifth Third Synovis Regions and Huntington Bank. And my last question: I want to invest about $10000 in a classy New York Stock Exchange stock that you think has a good chance of going up in a down market.
Related from Yolog: Japan Bank Shares Gain on US Bailout ptimism; Utilities Drop
Achingly Beautiful Investing
Motley Fool
And each was extraordinary in his or her chosen field — the surgeon was incredibly talented the writer wildly successful the financial manager a genius with money. Everyone was honorable noble and rather perfect. But as attractive as those fantasies may be in romance novels and investing alike reality is much different. Warts and all Many people idolize great investors imagining that they enjoy some level of perfection we mere mortals don’t. After all wouldn’t Warren Buffett have to be some sort of rumpled steak-loving demigod to amass his mind-boggling wealth?But in truth Buffett’s made.