In every crisis, there is an opportunity. Where is the opportunity here? Bloomberg reported that the Price Earnings ratio for the stock market is at a 25 year low. We live in interesting times. Embrace it. Enjoy it. Find the opportunities!
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What do the Gurus Think?
When I started in the stock business back in 1976, I did not know who to believe or not to believe. Everyone had his or her own opinion – often conflicting with the guidance, I had just heard from the person before the current speaker. Over my 35 years in the market, I have found some market people that I always listen to because I have seen their comments come to life more often than not. Yes – no one is perfect. But right more often than not is good.
LOTM will consolidate, as we find them, comments from these proven Guru’s. LOTM will keep to the stock, bond and commodities market but may occasionally stray into other topics. Words from people who have lived, experienced, survived and prospered are worthy of note.
Marc Faber: Marc Faber is a Swiss investor and market analyst who has gained fame, in part, for his consistently bearish views on the US and world economy. Faber is the author of the investment letter GloomBoomDoom.com
June 14,2011 story link – suggestions by Faber.
Buy Proctor & Gamble (PG) $64.77
Buy Johnson & Johnson (JNJ) $67.10
Buy Roche Holdings (RHHBY.pk) $42.14
Buy H.J. Heinz (HNZ) $53.71
Buy Raytheon (RTN) $49.05
Sell Short Salesforce.com (CRM) $137.10
Dr. Joseph Mark Mobius (born August 17, 1936) is a global investor and emerging markets fund manager, and is considered to be one of the leaders in the industry as he has been involved in these markets for over 40 years. B ecause of his in-depth knowledge of emerging markets, Mobius has been a key figure in developing international policy for emerging markets. In 1999, he was selected to serve on the World Bank’s Global Corporate Governance Forum as a member of the Private Sector Advisory Group and as co-chair of the Investor Responsibility Taskforce. He has also been featured as a speaker for the World Bank in 1999 and has given seminars for many other groups, including for the Asian Development Bank in 2002 and as a motivational speaker for the London Speaker Bureau.
June 10, 2010 – Mobius ‘Optimistic’ on Thai Stocks
May 30, 2011 – Mobius Says Another Financial Crisis ‘Around The Corner’
Barton M. Biggs is a money manager running Traxis Partners, a multi-billion dollar hedge fund based in New York City. He formerly held the title of “chief global strategist” for Morgan Stanley and was with that firm for 30 years. The son of a chief investment officer of Bank of New York, Biggs graduated from Yale University in 1955. Biggs later taught English, a prep and played semiprofessional soccer and tried his hand at short-story writing. He joined E.F. Hutton in 1961, with a starting salary of $7,200 a year. Biggs joined Morgan Stanley as a managing director and general partner in 1973. The firm’s first research director, he established Morgan Stanley Investment Management in 1975.He left Morgan Stanley in part, he said, because he found his job had evolved too much into managing people rather than formulating strategy
Jun 7, 2011 – Hedge fund guru Barton Biggs says he’s continuing to find opportunities in the stock market right now, though he’s not too bullish on financials. Biggs tells Bloomberg that worries about further housing-related write downs and questions about the legitimacy of their book values make financials a question mark. One area he likes: “older” tech stocks like Intel and Cisco, which he says are now “incredibly cheap”.