Markets over shoot themselves in both directions to too high and too low.  You have seen the dot-com boom and bust in 2001and you have seen the housing bubble form 2000 to 2006 and then bust.  Now you see the financial crisis which, just as home values went beyond the price where people could buy, will take home values and stock prices below any reasonable price thereby creating the investment opportunity of a lifetime.  In a minute, we reveal which stocks to invest in. Of course, most will be too timid to take this investment opportunity in the midst of a financial crisis.  Most investors want to follow what everyone else does and that’s why we have booms and busts.  But some smart people will buy up assets and get rich–the same as happened in the Depression.

You can only grab this investment opportunity if you have cash or are generating cash.  If you generate enough income to save each month, invest into mutual funds with a systematic investment program.  If you have cash, invest in stocks that cannot fail. Stocks to invest: Citicorp, Bank of America and JP Morgan.  The US Government has no choice but to keep these institutions alive and privately owned and will go to all lengths to support them.  These three institutions are the spine of the financial system.  Other no-brainer stock investments are supermarkets (people have to eat and buy MORE from supermarkets in a bad economy as they eat out less), movie theatre chains or production companies (the cheapest form of entertainment is movies and attendance and purchase of movies thrive in a bad economy), consumer product companies like Proctor and Gamble (people still keep buying Tide to wash their clothes).  You get the idea. Invest ins stocks that produce products and services that are absolutely essential and economically insensitive.  Even these stocks are at records lows for no logical reason.  And that’s the beauty of a bust–while everyone else is illogical, those that are rational get rich.

Your timing is not critical.  Even if you buy early and prices fall further, you’re buying quality merchandise while its price has overshot true value to the downside.  Hesitate or get rich.

Bookmark It