Larry House

Defensive Positioning in the Bailout's Absence

Thoughtful piece. I think we are at a turning point from which investing is going to change for who knows how many years. I don't think we will go back to the same things working and making money as they did in the past. We may avoid a true Depression, but I think we are going through just as big a change. The most dangerous thing an investor can do right now, in my opinion, is to just think this is a short-term occurence in the world economy, and everything will be back to normal soon. We are going to find a new normal over the next decade or so, I think. But what the hell do I know; I bought Lehman bonds earlier this year. I have such little confidence in my investing ability that I have put some money in PTTDX to see if Bill Gross can make some money for me over the next several months. He can't do any worse than I have done.