The Stock & Bond Markets -
In celebration of my 28 years serving investors, and in recognition of the break in the racial divide with the recent election (regardless of who you voted for), I thought I would take advantage of this opportunity to share how investors become clients of Shoreline Wealth & Investment Management. Besides having the qualifying minimum account size and desire for superior service and returns (relative to the market), clients also understand and appreciate my company's discrimination and anti-discrimination policies. I do not discriminate against any qualified client due to "race, gender, religion, sexual preference or age." I do discriminate against individuals lacking "honesty, integrity, responsibility or respect." One of the benefits of owning your own business is being able to establish policies rather than be limited by policies dictated by others.

Regarding the stocks, the market continues to struggle and a re-test of the low is likely. As the saying goes, "they don't ring a bell at the bottom or at the top of the market" but given the $6 trillion lost since the market highs, price-earnings (P/E) ratios down below 11% and price-to-book values around 2.5, this does seem to be a time to consider scaling back into the market gradually.

Treasury bills, notes and bonds have been the asset of choice for many who were looking for the ultimate in safety given that, unlike many firms that went under, the government can print money to cover debts. If the coordinated efforts around the world work as hoped, the recession won't be as deep, as long or as painful as it would be without such an effort. Given the weakness in the stock market and the historical lows in consumer confidence, it's going to take some convincing before bond owners are willing to begin cashing out and re-allocating funds into stocks.

CELEBRATING 28 YEARS
Since 1980, I have been providing financial advice to investors and I'm proud to say that our service and performance (see "Bottom Line" section on the right) continue to be superior to the market and our peers. Thanks for your support.

Real Estate -
Readers of my monthly newsletter will normally see lots of facts and figures as well as my take on what they may mean. Given the endless media coverage of the current state of the real estate market, I thought I'd simply note that sales have picked up as housing prices continue to decline. What I find interesting is that investors are beginning to get back into the market. This portends well for the real estate market since investor funds are often referred to as "smart" money since they tend to buy low and sell high (what a concept!). Perhaps this is a hopeful sign the bottom of the market being tested but this is a shift worth paying attention to and following should it become a trend.