Gross: Be Bold — But Don’t Nationalize Banks

PIMCO’s Bill Gross says that the U.S. government needs to be bolder in its handling of the financial crisis — and says that bank nationalization is not the answer to the problem. “The U.S. and global financial systems require credit creation and foreclosure prevention, not bank nationalization as currently contemplated by some,” Gross writes in […]

Study: Index Funds Top Mutual & Hedge Funds

Index funds may sound boring, but in his latest New York Times column, Mark Hulbert offers some data that indicates index funds may, in the end, actually yield higher net returns than mutual funds and even hedge funds. Hulbert details a study performed by Mark Kritzman, president and CEO of Windham Capital Management and a […]

A Crisis Crash Course from The Gurus

Forbes has put together an extensive guru-inspired special report entitled “Sage Advice to Save Your Portfolio”, explaining, “Extraordinary times require a special dosage of sage advice.” The feature includes pieces about the strategies of such great investors as Warren Buffett, Ben Graham, Philip Fisher, Peter Lynch, William O’Neil, John Templeton, James O’Shaughnessy, Martin Zweig, and […]

Why You Can Be Good — But Probably Not Great

Todd Sullivan often posts some great speeches or client letters from successful investors on his ValuePlays web site, and he recently featured a particularly interesting speech that former hedge fund star Mark Sellers gave to Harvard Business School students. In the speech, Sellers tells these top students that they “have almost no chance of being […]

A Little Consistency, Please

Earnings: It’s been a dirty word for the past several months, as companies across the country have been posting some ugly results and slashing estimates of future earnings. Standard & Poor’s is now projecting $54.70 in 2009 operating earnings per share for the S&P 500, and just $41.88 per share in as-reported earnings for the […]

Kass Turning Bullish?

It appears that Doug Kass — the money manager and RealMoney.com columnist who has been particularly bearish in recent years and predicted some of the economic crisis — is turning a bit bullish. On his RealMoney blog, Kass says he sees “tentative signs, but positive signs nonetheless,” for the stock market. “On multiple fronts, equities […]

Buffett Cut J&J Stake, Other Holdings in Fourth Quarter

Berkshire Hathaway has released the list of its holdings for the fourth quarter of 2008 — and it looks like Warren Buffett has made some substantial changes to his company’s portfolio. While Buffett has recently said he is “buying American” with his personal portfolio, the biggest news from Berkshire’s filing doesn’t involve new purchases, notes […]

Hulbert: Signs of Investors Moving Back Toward Risk

In his latest column for MarketWatch, Mark Hulbert notes that a “dramatic reversal” is taking place in the bond market — and says it’s a reversal that could signal good things for the economy and the stock market. The yield spread between 10-year U.S. Treasuries and 10-year triple-A-rated municipal bonds has fallen significantly in the […]

Growth vs. Value: Does It Matter Anymore?

Growth versus value: For decades, it has been perhaps the most widely asked question in stock market strategy discussions. But in Forbes’ most recent Intelligent Investing Panel, two top strategists argue that the growth/value debate is no longer the critical question it once was. Robert Froehlich, chief investment strategist for DWS Investments at Deutsche Bank, […]

Schiff: Any Stimulus Plan Will Be Disastrous

While investors are eagerly waiting to hear what the final economic stimulus package will include, author Peter Schiff, who predicted the recent housing and stock market collapses, has been issuing dire warnings about whatever version of the plan is approved In an interview with Yahoo! TechTicker’s Aaron Task, Schiff says passage of the stimulus plan […]

Munger on Morality, Higher Taxes, and How The Founding Fathers Can Help Us Now

Charles Munger, Warren Buffett’s long-time sidekick at Berkshire Hathaway, offers some tough medicine for the U.S. in an editorial written for today’s Washington Post. Calling the current situation “dire”, Munger says that the current bust goes well beyond the normal boom & bust cycle, and measures should thus be taken to keep it from occurring […]

Hulbert: Graham’s Approach Endures

In his latest MarketWatch column, Mark Hulbert wonders whether the recent market plunge has shown that “maybe Ben Graham isn’t old-fashioned after all”. Over the past couple decades, Hulbert says, the strict, conservative approach used by Graham — who is known as both the “Father of Value Investing” and the mentor of Warren Buffett — […]

PIMCO Boss: A New Take on Asset Allocation

In this month’s Kiplinger’s magazine, PIMCO CEO Mohamed El-Erian offers some interesting insights into diversification and risk management in an economic world that is in great flux. According to El-Erian, the old rules of diversification have changed in a couple different ways. First, with other countries catching up to the U.S., he says investors shouldn’t […]

Tilson & Heins: Look for Safer Buys in this Market

In their latest “Discovering Value” column for Kiplinger’s, Whitney Tilson and John Heins warn that investors shouldn’t give in to the temptation to swing for the fences by buying speculative stocks after the recent market plunge, but instead should focus on solid, undervalued stocks. “Given the perilous state of the economy, this is not the […]