End of Warren Buffet Era?

Warren Buffet is a skilled communicator in all aspects of life. Communication is the real key of leadership and has been key to Buffet’s long term success. Along with having the right investment strategy at the right time. However, in an age of rapid change and a restructuring of the world investment order Buffet’s buy and hold strategy may not produce nearly as good results in the future.

Warren communicates openly and frankly with his investors and makes sure that he can communicate effectively with the managers of a company before he buys it. In a global market that level of communication may be difficult to emulate when you may be interested in buying stock in a company located half a world away and immersed in an entirely foreign culture.

Hammering Hank Paulson Wall Street Reformer

The former CEO of Wall Street’s largest investment bank, Goldman Sachs, now US Secretary of the Treasury, has proposed new legislation that would be the greatest Wall Street reform act since the Great Depression.

The short take on Mr. Paulson’s bank bailout plan is that the Federal Reserve Bank would become an extremely powerful entity, not that it’s not already, but it would become even more powerful with almost unlimited powers to regulate the nations financial affairs, banks, brokerage firms, hedge fund industry, you name it.

How Bad Will the Mortgage Crisis Get?

If you are like most investors you are probably beginning to wonder just how bad will the mortgage and financial crisis get?

I’ve been saying for some time that the developing financial crisis that started in the mortgage market has been underestimated by many people, including most certainly those who are supposed to have some good ideas about such matters — the economists.

The problem with many economists these days is that they are working for people who order forecasts that must in some way fit in with their hopes and expectations. For example, an economist who is working for say the NAHB, National Association of Home Builders, doesn’t want to lose his job or contract over some dang economic forecast that is a bit too pessimistic. The poor fellow must try to balance out what his own research shows against what his bosses wants to hear.