The rich getting richer? Not in this market. - Top Stocks Blog - MSN Money
 
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The rich getting richer? Not in this market.

Posted Dec 03 2008, 11:56 AM by Kim Peterson
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Aw, why all the sad faces on millionaires these days? Reuters reports that the investment outlook from U.S. millionaires is now the gloomiest on record.

The "millionaire investor index" by Spectrum Group has fallen for a fourth-straight month and is bearish for the first time ever. The index has fallen a record 15 points from October to minus 39. Any reading below minus 31 is considered bearish.

Rich investors are getting dinged as corporate bonuses are slashed and stock prices decline, said researchers. Their confidence has been hit by the tumbling real estate market, rising unemployment and the problems in the auto industry.

They're changing their investing strategies as well, fleeing from traditional paths like mutual funds and real estate. Now, more of them are hoarding cash and waiting for things to settle.

We've seen some of the country's richest investors get taken down a notch or two lately. Donald Trump's casinos can't pay their bills. Sumner Redstone lost $600 million on just one company. The Ford family fortune has been mostly destroyed.

Comments

 

The world´s most successful investor, Warren Buffett, succeeds because he is a contrarian.  When the average Joe and Jane are selling, he is buying.  When the average Joe and Jane is buying, he is selling.  He is selectively buying value stocks right now.  Any company that is currently trading far below its liquidation value is a great candidate for an investment.  These value stocks are rare, but they are out there.  Smart investors like Buffett are slowly accumulating these future winners right now.  While even the wealthy investors are sitting on the sidelines hoping for the market to settle down, Buffett is buying positions in companies that are already trading at a price far below liquidation value.  If they end up going down more, he buys more.  More info on value stocks at http://www.ValueStockTips.com

Couldn't happen to a more deserving group!  Should include Bush, Bernanke and Paulson.

And let's not forget Pelosi, Reid, and the rest of the Democrat majority in Congress.

what is all that greed and accumulation of wealth for????money is but a dream...if they  had helped the poor with that money, it would have not been lost.....it would be invested, instead it has evaporated like boiling water....

I can not say for certainty that the Ford family would have all their assets in Ford Motor Company, but if they do or did that are certainly stupid.  The first rule of investing is diversification, period.  I would think that they are still rather wealthy in relation to you and me.  Plus most of them have probably never have had to work in their respective lives.  Hurrah for the prolateriat, up with the masses, down with capitalism, here is to President Elect Obama and the Democrats wherever they are, SOCIALISM is the new government of and for of the People of America.  A HAND OUT FOR EVERYONE and ever STATE and CORPORATION / BUSINESS.

The rich who got to where they are now through hard work and being responsible with their money deserve everything they have and do not owe anything to those poorer than them. Those poor have the same opportunity to make a living for themselves as anyone else. You can argue all day about education and one parent families but it comes down to how badly do you want to make a good life for yourself. If you want it badly enough the resources are available to make it happen. I would rather see money invested and lost in a bear market then it given to poor families who use it to buy designer handbags and rims for their beat up car.

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