Richard’s Wisdom –

“Third Phases and Where We Currently Stand”

Richard’s comments

All great bull markets come in three psychological phases. The first phase is the accumulation phase, during which sophisticated and value-oriented investors pick up what is generally being ignored.

The second phase is the phase where the seasoned professionals and a few more sophisticated funds take their positions. It is in the second phase where we see the most painful secondary corrections, which are almost always mistakenly taken to be primary bear markets.

“Richard’s Thoughts on Long-Term Returns”

Richard’s Comments

It’s interesting, but the great portion of what we hear about stocks today is concentrated on near-term performance. CNBC has even reduced stock analysis to quarterly earnings (after all, they have to fill up a lot of time each day).

Yet when stocks collapse, Wall Street’s apologist-strategists talk about “holding for the long term.” Ah, there’s the irony. THE DEPRESSING FACT IS THAT STOCKS ARE NOT PRICED TO BRING IN HEALTHY RETURNS OVER THE LONG TERM.