Opportunities for the long term…

Everybody is following the financial crisis in the US. What will happen to Bear Sterns? How does the “out of control” Federal Reserve Fed actions will be perceived by the markets today? Tomorrow? Will the developing countries continue to surprise us by their inner strength?

Times like these call for cautious decisions. The markets are volatile, and don’t really know where they stand. Many people I meet are reconsidering their investments. They don’t want to risk their hard-earned money. Who would blame them?

Yet, as most long term investors well know, the best opportunities arise over uncertain or difficult times. Seth Godin even wrote about the opportunity of a lifetime – Seth writes way better than I ever will – do read these inspired 10 lines !At the end of the day, we should take a step back and ask ourself what we really want to do in such markets.

Many will back-off and will look for safer opportunities. The long term investors will build positions over the next 2 to 3 years and wait for the markets to get back on track. They have time on their side. At the end of the day, they will be the ones who are rewarded for their boldness!

“We simply attempt to be fearful when others are greedy and to be greedy only when others are fearful?” – Warren Buffett