Looking Behind And Looking Ahead
Mood:
hungry
The surprising thing about 2008 was how quickly, the bad investments in toxic paper and ludricous energy futures of $200 a barrel came to a head so quickly. It simply demonstated to me that many incompetent financiers were controlling too much money. By the year's end, the world's stock markets had collapsed like a house of cards.
Not only did those with lots of money engage in panic selling, but hedge fund managers sold off their blue chip stocks to cover crazy future contracts in commodities and energy. Moral: Just because you have a big bank account doesn't make you a smart businessman or investor.
No doubt, many of these CEOs and money men have been given the boot already. There is a need for much more competent and dedicated businessmen/financiers in the U.S. Hopefully, the new President of the United States, Barack Obama, will encourage changes in the management of Corporate America.
I'd like to think ahead for a positive 2009 where we've learned many lessons from 2008. There are opportunities for real job and wealth creation in the U.S. and Canada. Lets take a look:
The decaying infrastructure in North America with regards to roads, bridges and sewers will be addressed with long term projects. This will encourage investment in commodities and infrastructure companies.
Green techology will be developed quickly to produce jobs and wean us off of decreasing dirty fossil fuels.
There will be atequate credit available so that profitable companies can buy insolvent companies. Governments will lean on banks to make sure this happen.
Cheap foreclosured homes will assist renovation companies and handymen to increase the value of abandoned houses by renovating them.
Cheaper gasoline prices will encourage tourism and small businesses.
Retiring baby boomers will buy more RVs than ever. This will be good for the trucking industry and the vacation industry.
Baby boomers will increase online trading accounts. This will be profitable for the investment industry and baby boomers.
I lost some money in mutual funds and stocks during 2008, but I'm not going to give up investing because I got an investment haircut.
I have an online trading account and a tax free saving account where I can put a few dollars if I have any. I don't know if U.S. banks have that kind of account, but The Canadian Government has approved them for Canada in 2009.
Happy New Year! Happy Investing! Happy Saving! And most of all, I wish you success in those activities and relationships that mean a great deal to you.
Posted by qualteam
at 2:14 PM EST
Updated: Thursday, 1 January 2009 3:01 PM EST