Should Investors Be Scared Witless?
Jeff Miller | Jun 21, 2013 03:26AM ET
It is an important question I raise each week in See here for more details.
If you are seeking advice about the Fed and investment results, why would you look to those who have been wrong for many years?
The path to the final destination can include a significant correction. I explain to investors in our long-term stock program that there is a 15% correction in most years --- even the best ones. It is unrelated to fundamental value and cannot be reliably anticipated. Most of those who "predicted a correction" did so long ago and missed the rally to date. Investors should be wary about claims by market timing geniuses.
To summarize, if you own bond funds, utility stocks, or other yield proxies, it is time to worry. If you own solid companies with good valuations, just focus on your regular job. If you happen to be overweight in cash, you can go shopping.
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