Alert: Huge Risk to Investors Emerges
Sep 30, 2008

The biggest risk that has emerged after the record sell-off Monday is to get out of the market here. If you're thinking of selling today, shut down your computer and blackberry (or iPhone for you touch screeners) and go walk the dog. Ok, maybe a long walk that would last until Thursday.

The values presented in today's market are compelling and the rational investor is going to take advantage of the panic and either stay positioned in equitites or start picking up shares of beaten down companies with good fundamentals.

While the ills that befall Wall Street change from year to year and generation to generation, the fundamental principles of free markets and fair value do not. Markets tend to overreact in both the upside and downside as a result of human emotion. You may have felt some of that recently, but don't let the cold sweats push you into doing something you'll regret. In other words, if you can buy a dollar for 80 cents its a good deal now as it was fifty years ago.While you're dollar looks like 80 cents now it most likely won't in 6 months. 

Despite the astounding congressional malaise, don't confuse that with inaction. Even the slow kids get it eventually. The economic rescue plan is likely to pass in some shape or form this week.

The pre-market buying we're seeing from our sophisticated individual and professional clients indicates that this is not lost on the prudent ones. Stay tuned and stay invested.