Comments on: He Bought At The Bottom

By: TigerAl

TigerAl — Mon, 24 Nov 2008 16:56:03 +0000

KirkH, just so you know: a Ph.D in Math (or any other analytical discipline for that matter) does not usually make a person super smart or all-knowing and therefore immune to poor decision making.

Getting the degree is more a test of endurance than of intelligence, take it from someone who knows

By: Ed

Ed — Sun, 23 Nov 2008 19:26:27 +0000

All nation-state systems are coming to an end, and will be dominated by the financial oligarchs of London thru one of the most tyrannical forms of emperialism to ever encroach upon the planet. World war II will be pale in comparison to what is to take place in the near future as individual nations try to desperately combat the new world order.

Where is the bottom?

Its when all world governments give their allegiance to the oncoming one world power, more than likely thru the United Nations.

By: KirkH

KirkH — Sat, 22 Nov 2008 17:07:56 +0000

Nobody knows how low it will go. That doesn’t mean it’s crazy to think we’re not at a bottom yet.

I know a math Ph.D from Caltech who bought at the top and is probably going to lose the home to foreclosure.

Back in the day the smartest people in the room thought that the earth was at the center of the universe. They had fancy diagrams explaining the solar system and top calligraphers documenting the system.

There aren’t many calligraphers left these days. They’ve been replaced by anchors on CNBC.

By: Shawn

Shawn — Fri, 21 Nov 2008 16:48:51 +0000

There seems to a continued debate about what to do in these hard economic times. How low will the S&P go? Will oil continue it’s slide?
I am glad that someone has finally proposed a solution that everyone, white and black, democrat and republican, can finally agree on:
http://www.funnyordie.com/videos/f88f8d6385/natalie-portman-rashida-jones-speak-out-from-natalie-portman-and-rashida-jones

By: MAS

MAS — Thu, 20 Nov 2008 20:49:30 +0000

Nick,
How is Warren doing these days? Sold BILLIONS in Puts on the S&P 500 back in March. Also heavily invested in insurance and finance. Nobody wins forever.

By: MAS

MAS — Thu, 20 Nov 2008 20:45:41 +0000

DHammy,
2007 valuations were irrationally high. Mergers, acquisitions, a weak US Dollar and share buy backs totally inflated the indexes.

I don’t expect the market to fall to fair valuation, because it never does. It always overshoots. It will go below fair market.

By: MAS

MAS — Thu, 20 Nov 2008 20:42:28 +0000

Nick, I am not a stock picker nor do I wish to be. Great companies like GOOG are not immune to massive losses in their market caps during secular bear markets.

We are in a secular bear market. You are more than welcome to be a buy-and-hold long term investor. I prefer to buy low and short high.

Return OF capital is goal #1 in a Bear Market.

By: dhammy

dhammy — Thu, 20 Nov 2008 18:08:49 +0000

There is a certain low-idiocy in the market right now and I think we’re nearing a bottom–although I recognize the foolishness of stating that. Companies that deserve to go bust are going bust and some that didn’t deserve it too. But when very profitable companies are trading below the value of their cash reserves it’s just silly. Some of the stupid-low valuations aren’t tied to anything measurable or perceptible and that’s indicative of a serious over-sell.

By: TigerAl

TigerAl — Thu, 20 Nov 2008 18:06:32 +0000

This post seems to be more about human behavior than investing. MAS should add “Sociologist” to his resume

By: Nick

Nick — Thu, 20 Nov 2008 17:45:56 +0000

I have said that I won’t debate finance anymore, so I won’t. But I will say that when you crap all over the idea of long-term investing, it drives me crazy, since you always use the “market” as your example. In my experience, when people talk about buying and holding, they are talking about picking solid companies with good management, and then holding on even when the stock goes down, and perhaps even buying more, so long as the solid positive fundamentals of those companies has not changed. See Warren Buffet.