Posted At : June 25, 2009 10:16 AM
I hope you understand that I am not a perpetual bear or a non-believer in the American way. To the contrary. I have been largely bullish for most of my 25+ years in managing money. However, it is more important to be prudent and not rely on hope because it feels good. I like to say “pray for peace but prepare for war”, and that’s what I want to do. You can do well in any market if you are prepared. We are not in an unrelenting death spiral. There is a bottom. It is like a sky diver jumping from a plane. They fall rather rapidly until the parachute opens, and as they get closer to the ground they manipulate the chute to further slow the descent. But until they reach the ground, they are still falling. That is the case today. The economy is still falling, but the parachute has opened. We are going to reach the bottom at some point.
Regards – Keith Springer