AccreditedEYE

Vanguard's Sauter: Avoid Irrational Exuberance with Alternatives

I am sick and tired of every other idiot ready to carve out the grave stone for buy-and-hold investing. Every time I watch Fast Money and have to watch any one of the "experienced traders" say that buy and hold investing is going the way of the dinosaur I want to scream "Where were you in 1999!!!!!!"

First, if it is such a horrible strategy, why do most major institutions (Private & Muni Pension funds, Endowments, etc.) in the US still rely on a passive buy-and-hold allocation for their portfolios? Heck, we won't even get into the greatest investor in the world making his fortune off of it.

The time to decry buy and hold is NOT when expectations for equities are the lowest they have ever been in 75+ years. It's not when every economist is as eager as a beaver to label this the Great Depression of our time. It's like buying high and selling low. You folks look at the Dow during the Great Crash. Look where the market went over a 5 to 10 year term (in a Depression no less!!!) This is the time to be accumulating equity assets NOT selling them. Buy-and-hold is not dead and now is the precise time to be buying for the long haul....when nobody wants to even think about the strategy...or equities for that matter!

So long free markets: The roots of today's crisis are to be found in the financial deregulation of the 1980s, George Soros says. We're seeing the end of a free-market model that has dominated capitalist countries for three decades.

Good point HiSpeed, but it's his wallet that backs his opinion that I'm concerned about.


On Feb 22 07:09 PM HiSpeed wrote:

> Soros had 9.5 million shares of Lehman so I wouldn't put much credence
> is his opinion anymore. Sorso is a commy has-been.

So long free markets: The roots of today's crisis are to be found in the financial deregulation of the 1980s, George Soros says. We're seeing the end of a free-market model that has dominated capitalist countries for three decades.

Agreed. I am sick of this tired old man trying to tell us how we should run our country. We may be having some problems right now but I am still sure we have the best formula for innovation, growth, sweeping the old away to make way for the new, and letting anybody with a brain make their fortune if they want to. Europe does not. Europe is a poor model to follow if that is George's idea of an alternative. And until China allows people to speak their minds without chopping off their feet, they are also a bottom shelf, cheap imitation brand.

Don't kick us while we're down George. We will come back. We will do so as previous generations have done: dusting ourselves off and finding a better way. When we do come back, I propose we vote George off the island and back to his Old Europe buddies back east.


On Feb 22 04:41 PM NITRAM wrote:

> We should send George back to the old country. He is a communist
> whom would love socialism.

RTC: Creating a Big Bad Bank

Hey Rokjok777, I got news for you buddy...you can't blame Reagan for what is happening here. If you want to REALLY attach blame to someone his name is spelled M..I..L..K..E..N. He had this crazy idea that debt shouldn't be a 4 letter word and giving debt to subprime corporations to overleverage them was a great idea. Connect the dots... Predators Ball taught us that debt used to be reserved for entites that could handle it pre Milken. You can blame him for our problems now.