The more the uncertainty in the stock market, the higher the volatility. Personally, I believe this recent extreme volatility is derived from hedge fund activity.
Hedge funds control large amounts of money and don’t have the limiting rules of mutual funds. They can move quickly in and out of investments of their choice. But, hedge funds […]
Monthly Archives March 2008
Rx For A Bipolar Market
Where’s The Asset Allocation?
According to today’s Wall Street Journal:
J.P. Morgan Chase & Co.’s deal to buy Bear Stearns for $2 a share wiped out the life savings of many of Bear’s 14,000 employees, who owned one-third of the firm’s shares. Most employees at Bear, known for its loyalty and a strong merit-driven culture, expected to lose their […]
Bernanke Go Bragh
Looks like the Fed is giving out some green for Saint Patrick’s Day.
According to Sunday’s (yes, Sunday) press release:
First, the Federal Reserve Board voted unanimously to authorize the Federal Reserve Bank of New York to create a lending facility to improve the ability of primary dealers to provide financing to participants in securitization markets. […]
Subprime Primer
Now that the Fed has taken historic steps to bailout the investment bank Bear Stearns, they’ll be renewed interest in how this whole subprime debacle got started and how it reached today’s proportions.
There’s a good article posted on Wikipedia describing the history of the subprime mortgage crisis, the roles of those involved, and it’s impact […]
Consuelo Mack: WealthTrack
I just finished viewing the Leap Day video episode of WealthTrack and thought it was interesting enough to recommend watching it.
A short description of the show and the WealthTrack transcript:
How to keep a cool head when the financial news turns scary? Two professors who study the markets and investor psychology will have some advice. […]
Does History Repeat Itself?
As so poignantly written yesterday by Andrew Leonard on Salon.com:
The word of the day on Wall Street is “deleveraging.” The simplest way to explain the concept is with an old bromide: What goes up, must come down. If you borrow a lot of money to make big bets in the market when times are […]
