| STOP! Do not read another word! Advance | | | | goal directed activity, and the Yankees won the |
| mouse to Do not pass GO. Do not collect another | | | | American league pennant most of the time. |
| prospectus. | | | | Almost everything (except the Yankees) changed |
| The NYSE advance-decline line has been positive | | | | with the onslaught of the "new generation" of |
| for nearly six years! (Contact the Author for the | | | | Mutual Fund marketeers and self-directed |
| Spreadsheet.) | | | | retirement vehicles. Wall Street invented market |
| What is wrong with the averages? How sick are | | | | prediction techniques and new subdivisions of |
| the Mutual Funds? | | | | securities; investment products were |
| Here are some questions you should be asking. 1) | | | | mass-produced in every shape, size, model, and |
| Is there "Investment Life" after Mutual Funds? 2) | | | | color, with great financial planning success; sales |
| What is the average investor/speculator to do? | | | | literature was sold as research/analysis, and |
| (3) Who can you trust? (4) Why are people still | | | | financial institutions became indistinguishable from |
| throwing money at the corrupt Mutual Funds? 5) | | | | one another. People pay extra not to collect |
| Is there a safe(r) alternative? 6) Can a financial | | | | current interest and loss-taking is seen as a good |
| professional function without funds? (7) Did Mutual | | | | idea. Unproven team-player Mutual Fund managers |
| Funds make YOU lose money over the past | | | | receive signing bonuses that would shock |
| several years? (Answers below.) | | | | professional athletes, and 60-second sound bites |
| Investing always involves more questions than | | | | on CNBC define today's investment reality to the |
| answers, and the idea that Wall Street has those | | | | masses. A calendar year is now long-term, buy |
| answers and that they are imbedded in the | | | | high/sell low a religion, and absolutely everyone, |
| products that they market to the "moneyed" | | | | from accountants to wedding planners, can sell |
| public, is simply part of the brainwashing of the | | | | Mutual Funds for extra cash. Wall Street is Las |
| American investor. So, too, is the myth that | | | | Vegas in pinstripes and red suspenders. |
| Mutual Funds are a safer investment mechanism | | | | Are today's late trading, market timing, and |
| than a properly constructed portfolio of individual | | | | executive suite scandals going to change things |
| securities. Perhaps they should be, in concept. In | | | | dramatically? It's doubtful, simply because Mutual |
| reality, they haven't been for decades. | | | | Funds are so profitable for the institutions, so |
| Investors have always searched for a safe and | | | | mindlessly easy to sell for financial professionals, |
| easy way to protect and to grow their portfolios. | | | | AND the only available investment medium for |
| This used to be accomplished by applying a | | | | hundreds of millions of employees throughout the |
| combination of management and investment | | | | country! But is there a better way to invest |
| principles to the process. A diversified portfolio of | | | | safely and profitably in spite of all the problems? |
| high quality, profitable companies, and an | | | | You can't afford to be lazy anymore. Learn how |
| appropriate amount of less volatile income | | | | to manage a high quality, diversified portfolio of |
| producers was pretty easy to create, to manage, | | | | individual securities. |
| and to monitor. | | | | Answering the six questions raised in the first |
| It still is, when you realize that investing is not a | | | | paragraph, from the pages of the Business Best |
| competitive event. The original Mutual Fund | | | | Seller: "The Brainwashing of the American |
| managers actually knew how to do this, were | | | | Investor". Yes Virginia, there is investment life |
| paid to do it, and were not at all influenced by the | | | | after Mutual Funds. (2) Rediscover individual |
| incredible confluence of outside forces that | | | | securities, after taking a crash course in the |
| impacts their decision making today. In their | | | | principles of investing. (3) Trust yourself, once |
| original form, Mutual Funds were Trustee directed | | | | you've taken the course. (4) Most investors have |
| within the retirement benefit community, and a | | | | no choice but to use Funds, the others learn their |
| stepping-stone to a properly diversified, individual | | | | lessons slowly. (5) Yes, individual securities in a |
| security portfolio on the personal level. Before the | | | | plain vanilla investment plan can be much safer. (6) |
| three-ring Wall Street circus came to town, there | | | | Some planners have de-toxed from funds, but it's |
| were only two "classes" of securities, retirement | | | | a lot more like work. Most won't try. (7) Nope, |
| programs were not self-directed, the DJIA was | | | | you'll have to take the blame for the losses |
| an economic indicator, investing was a personal | | | | yourself. |