Forester Sounding Bullish

Tom Forester — whose Forester Value Fund was the lone stock fund to make money in 2008 — tells MarketWatch that he’s now only holding a small portion of his portfolio in cash, has dropped his hedge positions, and sees more upside than downside in the market for the next three to five years. “It has certainly helped the fund’s performance that this self-proclaimed ‘low P/E buyer’ has no qualms about moving heavily into cash,… Read More

A History of Resilience

The economic news has offered some rays of hope in the past few weeks — surprisingly good bank earnings, unemployment declines, improved capital-raising conditions for corporations — and the markets have responded. Whether the next few weeks will provide the same hopeful signals, however, remains to be seen. But whatever the short term brings, the U.S. will recover from the current crisis and move on to new heights — that’s one of the key issues… Read More

Rogers: Diversification “A Scam”

Commodities guru Jim Rogers offers his take on the current state of the economy and stock market in an interview with BusinessWeek, saying that diversification is “a scam”, that the U.S. might be better off letting a couple big institutions fail now, and that commodities are the place to be — whether the world economy revives or not “Diversification,” Rogers says, “is something that stock brokers came up with to protect themselves, so they wouldn’t… Read More

Market Opportunities, but Long U.S. Economic Recovery, Strategists Say

Three top market strategists — Francois Trahan of ISI Group, Dennis Stattman of the Blackrock Global Allocation Fund, and John Dorfman of Thunderstorm Capital — had some encouraging views on the stock markets on Consuelo Mack’s WealthTrack recently, though they think the U.S. economy could be in for a long haul in righting itself. Trahan noted that the current bullish turn is the fifth 10%-plus rally we’ve seen in the past year, but the first… Read More

“Fair Value”: The GMO Perspective

The big question on many investors’ minds lately has been whether the recent market plunge has caused stocks to be undervalued — and, if so, how much more undervalued they might become. One obvious question involved in that debate: What goes into figuring the fair value of the market? In a white paper recently posted on the website of GMO — Jeremy Grantham’s firm — Ben Inker takes a shot at answering that question, and… Read More

Fisher: “Look Up and Out”

In his latest Forbes column, Kenneth Fisher says that bargains abound in the market — and that, with a “wall of money” coming from the global stimulus efforts, now is a time to be bullish. And, in an interview with Bloomberg, he says the bull run could be a big one. “Why aren’t people buying stocks when stocks are cheap?” Fisher asked in his Forbes article. “Investors refuse to think a few years out to… Read More

Whitman on The Importance of Credit Worthiness, and Why He’s Buying Stocks Now

Marty Whitman, the illustrious Third Avenue Funds founder, tells Steve Forbes that he is seeing great opportunities in distressed debt and the equity markets, and is particularly bullish on Hong Kong blue chips. “From the top down, from the macro view, things could not suck more than they do suck,” Whitman said. “[But] from a bottom-up point of view, there have never been, in my lifetime, as attractive securities as are available today at the… Read More

Hedge Fund Guru: Buy & Hold Far from Dead

Is buy-and-hold dead? Lloyd Khaner, whose hedge fund has a successful two-decade track record, tells that he doesn’t think so — though he says successful implementation of a buy-and-hold approach isn’t as simple as many assume. “Buy and hold for the smaller, individual investor is not gone,” says Khaner, whose Khaner Capital fund (which does not use leverage) has posted positive returns in 15 of the last 18 years and is ahead of the… Read More

Ritholtz: Three Things to Remember in this Rally

Barry Ritholtz of The Big Picture blog writes that investors need to remember three things as they consider whether the current stock surge is a bear market rally, or the start of something bigger: Follow the Playbook: Ritholtz writes that “the smart investor’s playbook is very different in bear markets than bull markets”. In bulls, you buy the dips, and “lower prices are an opportunity to buy into equities at cheaper valuations”. Buy & hold… Read More

All Indicators Now Bullish for Top Timing Newsletter

Two weeks ago, we highlighted how The Cabot Market Letter — one of the best-performing newsletters of the past decade — was turning bullish on stocks. Now, in the newsletter’s most recent edition, editor Michael Cintolo writes that “every one of our market timing indicators has now turned positive. … In short, the stage is set for a great profit-making bull market.”