Saturday, September 27, 2008

Debate Time and Petticoal Mirror Stock Investing

Debate time will not be the useful fun. It is hard to enjoy sparring between Presidential candidates at a time of such financial distress. We can be reasonably certain that Wall Street will get its bail-out in substantial form. However, all we have with respect to jobs, incomes, and homes, are strings of banal statements, and apprantly good intentions.

This is not to say that debate time has to be wasteful/ The trick is to listen intently for what is not said, and the non-verbal communication. Everyone can put best feet forward for the cameras, but it is what goes on behind the hidden portions of podiums that tells the whole story. This is what we learn from the expletives of President Bush, recorded when he thought that no microphones were around to pick up his verbal habits.

The Petticoat mirror has followed hemlines to extinction. Liberated ladies no longer need these aids to check on appendages of modesty and decent upbringing. However, the unscrupulous will continue to use convex optics to steal furtive glances at what most women still like to hide. Fortunately, there are no sanctions against using petticoat mirror concepts in business management and stock investing. Indeed, using markers to detect business issues that executives like to hide, is the crux of top stock investing strategy.

The current economic imbroglio could have been avoided if figurative petticoat mirrors had been used. It would have been apparent that auditors had become parties to valuing assets fictitiously. Similarly, hectic derivative activity could have been reviewed to realize that purchased debts were worthless. I have written about excessive leverage in an earlier post, and even a novice stock investor can uncover this fundamental financial tort.

Use debate time to improve your skills at making profitable stock picks. Learn to sniff out points of discomfiture, and realize that an Achilles heel may lie beneath that part of the surface. A particular candidate may try and dodge debate time altogether, while a more pushy one may prefer to smile and bluster a way through every weak spot. It is the same with quarterly events at which executives and Boards meet with stock owners.

Fortunately, the last lap of 2008 debate time and a reporting season will coincide. Use the confluence to your advantage, or write to drsbanerji@gmail.com if you need a financial concierge to get stock skeletons out of your retirement portfolio.

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