Greenwood Village, CO (PRWEB) October 2, 2008
WealthRidge offers free report to help people cope with the current economic crisis: How To Survive (And Thrive) In The Current Economic Crisis.
The current economic crisis has many causes and its resolution will take years, not months says Louis Llanes, CFA, investment management partner in WealthRidge. The country will get a plan in place that will stabilize the financial system in the short-run, but we are not out of the woods yet.
It is likely that stocks will bottom as the crisis continues and the average person will be pretty skeptical of any rallies. Stock valuations are actually becoming more rational, but they will likely drop below where they should be. This may ultimately present good buying opportunities.
While the picture may be bleak, there is hope, and there are concrete steps that can be taken to survive the economic crisis says Michael Snowdon, CFP®, WealthRidge financial planning partner.
First, as mundane as it may sound, it is time to get back to basic personal financial principles. These have developed over time to reflect best practices. When the economic environment is overwhelmingly positive, it seems to make sense to set aside those principles. However, a quick review of the current housing market shows that forgetting those basic principles can have a disastrous financial impact.
Contrary to what you might think, now is not the time to panic.
As the market stabilizes, we will be entering into a period when careful investors can benefit. The old idea of buy low and sell high is an investing truth. In periods like we now have, buying low becomes much easier to do. The key question is what to buy, and when. Strong companies whose stocks are well-priced can represent true value and provide solid investment returns. Selected bond investments can also provide a reasonably safe place to generate income and preserve capital. Some alternative investment vehicles may also provide positive returns.
To see our full commentary, visit http://www.wealthridge.com to download the free report. WealthRidge is an independent fee-based financial planning firm in the Denver metro area. Our mission is to help clients achieve their goals and dreams by providing skilled financial expertise with absolute integrity. Principals Louis Llanes, CFA and Michael Snowdon, CFP® have more than 30 years of financial planning and investment management experience.