My SEC licenses are long expired and you shouldn’t take financial advice from a washed up ex-broker/financial advisor, not to mention a guy with less than $250 to his name. But I do have some thoughts, and remember, This is NOT a recommendation!
It’s been over a decade that I woke up and had the market on my mind, why today was any different is beyond me. I suppose it has something to do with the fact a buddy of mine bought 500 shares of an old stock pick of mine (FFIV) last month and has made a couple bucks after I looked at the chart and did a little research. I’ve been checking in on it and decided to take a broader look at the market this morning while sipping my coffee, “what a mess”!
I was never big on being glued to the Bloomberg, micro-managing numbers, or following the herd. The market has a heartbeat of its own and if you watch it and listen to the little hairs on the back of your neck without the television on you can get a decent sense of the way money breathes.
Look at the historical NASD, DJIA, and gold charts here:
NASD:
http://stockcharts.com/freecharts/historical/nasdaq1978.html
DJIA:
http://stockcharts.com/freecharts/historical/djia1900.html
Gold
http://goldprice.org/gold-price-history.html
I’m so, so, so very happy that I’m not responsible for anyone’s portfolio anymore!
I think we are going to see a major “correction” (decline) in the US market and its going to hurt unless you’re shorting, and shorting is a risky business, trust me, I KNOW!
Diversifying is, in my humble opinion, something one should be doing before they diversify, diversify, and diversify some more. And then you need to think LONG TERM, and longer term, invest for your old age, not tomorrow.
If I had money I’d be looking at tying some up in foreign (NOT EU) investments. Brazil, Australia, and other nations who are more or less independent from the US/European economy. If I was still sitting at my desk today, it would probably be the day I retired, bought a sailboat, and sailed into the sunset.
Money is a funny thing. Not having it can be uncomfortable (for me) but not having it when you are plugged into rent, credit, fuel, and insurance can be unbearable. In the last month I lost my laptop, iPod, battery charger, and starting battery, but I’m still living in paradise with Love in my heart and good karma & friends all around. Money is just paper and doesn’t nourish me physically, psychologically, or spiritually.
My financial advice to myself today would be to protect what I have, not worry about gain, and diversify/increase my international portfolio. I’d be looking to move laterally. I’d also be looking at commodities (foreign & domestic), and possibly taking some profit out to buy tangible things like a sailboat, land, or things that would make my heart smile (travel).
I’m going spearfishing to my new spot again today or tomorrow. My buddy from Brazil (Mario) just shot a 
beautiful fat snapper there the other day (15m), but it’s deep and diving that deep scares me. I need to work on my deep diving (12-15 meters) because that’s where the fish are. It’s not easy to hunt fish so deep but that’s where the payoff is, same goes for money. You may have to look at some deep, foreign, and “uncomfortable” options to follow the money, but that’s where the fish are, I mean, that’s where the money is.
Just food for thought. Panama real estate seems to be a good investment as well, some of my friends have done quite well.
Carla and I watched a movie last night that really touched my heart, “ Buena Vista Social Club”. It really touches on the heart, passion, and family vibe that runs deep throughout Latin America. “The Motorcycle Diaries” is also one of my favorite films, I highly recommend both.
As I write this Carla wants me to mention that I just made the best hummus of all time. About $0.70 makes us enough hummus (big batch) to eat liberally for a week. We like it on home made flat bread with vegetables, fish, or whatever. It’s good clean food.
Peace from paradise.
– alex
PS, Carla just posted a new blog.