I watched some business television programs recently to get more ideas of what people think.

When I heard people from the asset management industry(namely mutual funds) say that “The bottom is close and it’s time to buy stocks,” I get a little sick.

I’m sickened because I know that there are lots of investors out there who listened to these “experts” for the past months. These investors are looking at 30%-80% losses, and need 100-200% gains or more to break even. Very sadly, many of those may not have that much time left in their life.

Riding in a down market fully invested is an totally insane way to invest when it costs so little to be defensive, when so many individuals have lost carryforwards that make these moves tax-free.

I have been telling people I know that they should hold on buying any stocks or mutual funds now, esp. for those have little knowledge on the markets. Put your cash in a few banks for CDs and similar. When the markets find their bottom, they can then get back in buying.