Hail Mary Play!

Last Monday at my investor's meeting we had an interesting presentation on the money pouring out of the U.S. for the “war on terrorism” and the big $30 billion dollar Hail Mary play that the Fed used to get JP Morgan to rescue Bear Stearns. Then I received the stimulus letter from the government promising to pay me up to $600 of my 2007 taxes back.

Point is this is money that is being taken away from programs that we need for ourselves, our community, and our children. With the money spent for Iraq we saw that every household could have been outfitted with renewable energy, cutting our electric bills dramatically and even more dramatically, reduce the carbon emissions which are choking the planet and the future of our children. Would not this be the stimulus package that could have made the U.S. turn a corner and climb back up the economic and financial ladder? A strategy like this could have inspired every U.S. citizen to think and work towards our immediate future, one far more positive than what we now face as we continue our spiral downwards.

Last Monday’s stock pick was Visa (V) which on Wednesday (3/19/08) proved to be the biggest IPO in U.S. stock history. The volume showed how positive this IPO was as Visa has no connection with the financial crisis. It gave banks a gain on the books, it gave private investors hope of a sunnier 2008. It my opinion it also showed how sick most of us are of the current stormy climate.

The market continues to be unusual in that many areas went opposite what was expected. Traders are calling many of these moves it is suggested as they work hard to make a living on the stormy seas.

We saw that analysts continue to be as wrong as ever. One day here and again they are pushing this stock or that, only to see that the recommendations goes south in the following days leaving us trapped in the purchase. This brings me back to something that I have been meaning to write about. We’ve heard it time and time again; don’t let emotions into your buying/selling decisions. This holds true too as excited friends, relatives, and investment club members talk about the stock they’re going to buy. While your confidence in these people are important; what’s more important is that regardless of what they are going to do, you MUST investigate it for yourself; in other words: Do Your Homework, your own homework BEFORE you too jump on the stock. If you do not continue the practice of doing your homework and making a complete decision based on your research…if you too are going to buy a stock and you tell someone about it…if you don’t encourage them to do their homework first before making a decision to buy along with you…then you could risk putting your relationship at risk!

Investing must be all you! Meaning that every decision to buy or sell should always be completely yours. While someone like me presents my opinions and my suggestions, no matter how much you believe me or believe in your friend, your business associate or your financial advisor, you should still do your own homework. In this way, you’ll have no regrets.

It is too easy for people after the fact to parrot: “Woulda - Coulda – Shoulda” But in the end, it is on you to take full responsibility for your decisions. So make them based on your own research. If you don’t have the time to do so, guess what?

• You better make the time.
  
• Why? It’s your money isn’t it?
  
• It’s your future isn’t it?
  
• You care about your future don’t you?
  
• If you can make the time to go to a party
• to do your laundry
• to go out to dinner
• to watch TV

Then you have the time to do the homework on a stock before making a decision to buy or sell. Don't be a wus and blame someone for the decisions you should make for yourself. Care about your future by taking an active part in it today and every day.