I came across two Top Ten lists that are both very timely and that should prove helpful in very different ways. First up, from My Aisling, we have the Top Ten Investing Rules for Common Folk:
1. Never put “at risk” more than you can afford to lose.
2. Focus on industries that provide goods or services whose demand don’t rely on an expanding economy.
3. Know the industry, not just the company.
4. Focus first on reasonable debt levels then current profit.
5. Find the lowest transaction cost to buy and sell as you can.
6. Put your long-term investments in DRIPs and direct stock buys.
7. Watch for changes in senior personnel, and always presume they were forced out.
8. Learn the basics of macroeconomics, and apply them to your industries.
9. Falling prices are buying opportunities.
10. No one ever took a loss selling at a profit.
The author goes into extensive detail on each point. You can visit the link to read more. The value of this post is substantial, especially considering the current state of the market. If more of us "common folk" knew enough about our (somewhat) free market economic system, to the point where more of us thought rationally when it came to economic downturns, those downturns would end more quickly. And less value would go up in smoke. Just this bit of rational, unemotional advice alone could save us all a great deal of money and worry:
Investments are not one-night stands. No, you don’t have to (and shouldn’t) marry it, but don’t bail just because you have a fight. Do research, get other opinions, and then make a commitment. A down-tick doesn’t mean it isn’t what you thought it was – find out why it happened. Be confidant in your decisions, and weather the ups and downs. Sometimes you need to bail, yes, but don’t live your investing life focused on being burned.
Meanwhile, the New Conservative has an excellent Top Ten list that he put up for Thanksgiving. Very few of us have been focusing on the positives for conservatives right now, but he notes a handful of them. It's a much needed optimism boost heading into a new week. 10 Reasons for Conservatives to be Thankful:
Fifth, Republican governors make up a diverse, attractive, and effective group of leaders. From the ranks of Bobby Jindal, Sarah Palin, Jon Huntsman, Mitch Daniels, Haley Barbour, Tim Pawlenty, and Mark Sanford will come conservative ideas, articulate spokesmen, and a raft of contenders for 2012. If President Obama fails to bring about economic recovery with a reenactment of the New Deal, this group stands ready to present alternative plans for reviving the economy.
Sixth, the MSM has never been in lower repute. Reporters and editors from their own ranks concede their bias. The stock of major media companies is plummeting. They are in bigger trouble than the Big Three auto companies. And they show even less inclination to reform. That means the opportunity exists for conservative and new media to cultivate large audiences...
Ninth, President George W. Bush and General David Petraeus persevered against tremendous odds and have placed us on the verge of one of the great military turnarounds in our history. We can disagree about the wisdom of the decision to go to war in Iraq, but a victory with a stable Iraq allied with the U.S. and a humiliated al-Qaeda is now within our grasp. By avoiding defeat and empowering an Arab nation to take up arms and defeat Islamic terrorists, Bush and Petraeus furthered the security of the U.S., the region, and our allies around the world.
Those are three of my favorites. Much more at the link.
As New Conservative notes, we really do have a nice stable of attractive governors that should be key leaders for the next couple decades. Journalism has been proven dead with the election, which is not necessarily a happy occasion, but at least very few people believe a damn thing the MSM says anymore. Either it will reform and we will start getting truth, or it will go out of business. (Or Congress will issue another bailout.)
And, despite every attempt by the left to make sure America suffered a Vietnam-style defeat in Iraq, we have emerged victorious. The enemy is weaker. And more of them are dead. And hopefully the left is partially correct, and we have pissed off more losers who will become future terrorists. That's fine by me. I'd rather know what lies inside them so we can assist in their future martyrdom, than have that insane level of hatred just simmering at the surface, unknown to everyone.
We still have a lot to be thankful for. And a lot of work to be done to keep it that way.
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