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Is It As
Bad As It Seems?
As you know from my Economic and Market Updates, we have
been very negative for several months, much of it due to the
Demographic changes happening in the US , which I discuss in
depth in my recent Special
Report – An Economic Tsunami Lies Ahead that
I sent to you last month. If you haven’t read it yet, READ
IT NOW…TWICE. We do have just a few complimentary client
copies left if you know an investor that would enjoy it,
reply to this email with their address and email.
So, let’s see:
-Lehman Brothers... gone!
-Bear Stearns... gone!
-AIG... Essentially privatized (when did we turn Socialist?)
-Freddie Mac and Fannie Mae... privatized
- Washington Mutual... grave being dug!
-Wachovia... Next?!
-UBS... nearly gone!
-Morgan Stanley and Goldman Sachs... are running for the
hills!
A year ago, the combined market cap of Freddie Mac, Fannie
Mae and Lehman Brothers was $165 billion. Today? $1.093
billion.
Worst of all – The Demographics are changing the landscape
of the US financial markets and the worst is yet to come.
Don’t ever forget - The market can stay
irrational for longer than you can stay solvent!
So yes, although it happened earlier than we thought, it is
what we expected, and what we have been preparing for with
our hedge positions (funds that go up when things go down)
that we are using. As my long time clients know, I am not a
doom and gloom pessimist or perpetual Bear. To the contrary,
I have been Bullish for most of my 25 years in the
business….but the demographics are changing and you had
better be ready. Yes, fear is overwhelming on Wall Street
now, and a decent rally is way overdue….but do not be
fooled.
There are definitely good places for money right
now. If you need help with this, or if you would like a free
2nd opinion on your portfolio… or you just need to talk to
someone who knows what’s going on, call me at 916-925-8900
or reply to this email. I will be available.
Cheers ~ Keith
Keith Springer is President of Capital Financial Advisory Services, a registered investment advisor,
providing Wealth Management and Mortgage Consulting
Services. For more information on how to build and
maintain a solid retirement plan, please contact Keith at
916-925-8900 or
Keith@KeithSpringer.com
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