Apocalypse now?

Craig Brockie

Dear editor:
I wanted to give your readers a quick update about the investment markets. It’s been an exciting few months and most people presently are concerned and confused when instead they could be seizing a tremendous opportunity.
Last November, I urged your readers to dump their mutual funds and move into U.S. dollars and U.S. treasury bonds. As of this month, these two assets have increased a combined 35 percent.
Anyone who followed these suggestions would be wise to sell their U.S. treasury bond position immediately.
On a related note, I believe right now is a terrible time to be selling one’s mutual funds since they already have dropped significantly the past three months. Amateur investors, seemingly convinced that Armageddon already has arrived, repeatedly have panicked and have been selling at an all-time record pace—even more than 2008.
Meanwhile, corporate executives have been buying up the shares of their own companies at the highest rate since the 2008 stock market crash.
While I still believe we are amidst the worst economic period since the Great Depression, and that stock markets will set new lows over the next 12-18 months, there will be a more advantageous time to sell one’s mutual funds this winter.
In fact, I believe any readers with available cash would be wise to be buying stocks and mutual funds right now. The key to success in investing is to buy low and sell high.
Stocks and mutual funds currently are on sale.
While it’s emotionally easy to load up on an item at the grocery store when it’s discounted 20 percent or even 40 percent, people have far more difficulty applying this same logic to stocks and mutual funds. When investments have dropped recently, people are more concerned with how much more they might lose, the media is spewing doom and gloom, and people are panicked.
It doesn’t feel safe to be buying investments when it’s actually safest and most rewarding to do so.
For precise details on how and what to be buying right now, I highly recommend subscribing to my most trusted and reliable source for investment guidance, www.TrueContrarian.com
Those who want to keep it simple, and just know when to phone their investment adviser to tell them to buy or sell their mutual funds, can subscribe to my free wealth newsletter at www.CraigBrockie.com
Craig Brockie
(former resident
of Fort Frances)