http://thecuriousinvestor.com/2009/02/18/is-the-sp-500-finally-bottoming/ A stock market and investing blog for the curious Tue, 08 Dec 2009 07:09:51 +0000 hourly 1 http://wordpress.org/?v=3.0 http://thecuriousinvestor.com/2009/02/18/is-the-sp-500-finally-bottoming/comment-page-1/#comment-12686 The Sage of Bay Street Wed, 18 Feb 2009 13:02:01 +0000 http://thecuriousinvestor.com/?p=499#comment-12686 Interesting analysis. Unfortunately, given the historical results of the last ten-fifteen years for equities versus fixed income, there still seems to be few compelling reasons to get involved in the equity markets. It was not so long ago that stock brokers (as compared to "investment advisors" and "financial planners") cautioned investors that the only money that they should invest in the stock market is money that they are prepared to lose. Seems in retrospect that this was pretty good advice. The "buy and hold" investment philosophy was invented by the investment industry was totally self serving with the objective of generating fees and not investment returns. Warren Buffett has the luxury of looking at a time frame that few of us share. We are not transferring wealth inter generationaly but rather looking to use up our capital through the course of retirement. Most seem to have forgotten the expression coined by that great economist John Maynard Keynes. In the long run, we are all dead. Interesting analysis. Unfortunately, given the historical results of the last ten-fifteen years for equities versus fixed income, there still seems to be few compelling reasons to get involved in the equity markets. It was not so long ago that stock brokers (as compared to “investment advisors” and “financial planners”) cautioned investors that the only money that they should invest in the stock market is money that they are prepared to lose. Seems in retrospect that this was pretty good advice. The “buy and hold” investment philosophy was invented by the investment industry was totally self serving with the objective of generating fees and not investment returns. Warren Buffett has the luxury of looking at a time frame that few of us share. We are not transferring wealth inter generationaly but rather looking to use up our capital through the course of retirement. Most seem to have forgotten the expression coined by that great economist John Maynard Keynes. In the long run, we are all dead.

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