| ot JA TgMOCe p> vet NV. 6 heoy gy mec oyI = 1 JIS A EST y ta RY) MOIKelUO! “\W WI a SD 0M Learning To Treat Patience As An Asset by John Buckingham (NAPSA)—Whenselecting an investment strategy that fits these times, it’s important to remember that you get the chicken by hatching the egg, not by smashingit. gil History does not always repeat, and there is a sizable \ Bre hole that consumers and investors have py> . to climb out from. a However, there are reasons to think John that the steps taken Buckingham by the Federal Re“——__~ serve and U.S. Treasury to alleviate the financial cri- sis and to get credit flowing again will ultimately bear fruit. For example, the recent announcement of the Term AssetBacked Securities Loan Facility (TALF), under which the Fed will spend $600 billion to buy mortgage-backed securities, has already led to a big decline in 30- year mortgage rates, making Experts say there are a number of reasons to think that the steps taken by the Federal Reserve and U.S. Treasury to get credit flowing again will ultimately bear fruit—in time. That’s why patience is essential. Still, there is reason to be opti- mistic for the long term. Theyield on the 10-year Treasury has hit an all-time low and assets in money market funds are near record highs. While valuations of many stocks are suggesting that corporate profit growth will not return anytime soon, gas prices are much lower in most places and many are expressing optimism about the economic team that President Obama has assembled. The result is a growing number of people now believe it may be a muchbet- ter time to be buying than selling, even though it wouldn’t be a big surprise if the lows of November are revisited. home buying more affordable. As the American humorist Arnold H. Glasow said, “The key about additional shoes that may drop in the credit mess—including credit cards and commercial real estate. There is also the concern Asset Management as well as editor of “The Prudent Speculator” estimates for corporate profit growth in 2009 remain too high. at www.alfrank.com. Certainly, concerns remain voiced by some that Wall Street to everything is patience.” John Buckingham is the chief investment officer for Al Frank newsletter. To learn more, call (888) 994-6827 or visit the Web site
