Don Hays The great Don Hays, a friend (meaning we love him but he doesn’t know us!) was on CNBC this morning He said “I believe that the market will take one more significant dip before it goes higher”
Mark from Squawk Box: ” So you are still bullish on this market?” Don Hays: “Yes” Don Hays is one of a few people that Harry S. Dent Jr. uses when looking at the market. He is a trusted source and we here at comingcrisis.com when making investment decisions weight him higher than other market forecasters, as he has a very favorable past. Who Do You Trust? One point that I wanted to address is that of people that you listen to.
Who are your trusted sources?
Why are they your trusted sources?
On Tuesday I received a call from my mom (I know what your thinking and yes she does love me) she was concerned because she was watching TV and some “financial guru” came on TV predicting doom and gloom for America, she told me “Sell all our stocks, the market is going to crash”. I asked her why she said this? She said she had seen it on TV, to which I replied, “What was his name? What company does he work for? Does he have any vested interested on saying stocks are going to crash? Does he do any business with bonds or commodity brokers?” to which she replied, “I don’t know”.
This again brings me back to my point, who are the sources that you trust? Just because Dan Rather says something does that mean you can trust him? Consider The Source Always consider the source. Second what is there history and do they have any vested interest? Now as I write this you may be thinking who is good? That is not really for me to decide but what I can say is you must get educated on the matter, personally I watch Jim Cramer for short term stock outlook, while I turn to people like Don Hays and Harry Dent for a longer broader outlook. There are also a few analysts that I trust to but they have to earn our trust. Conflict of Interest After the whole internet stock boom and crash they put into motion “Regulation FD” which is supposed to tell you about the so called “advisor” and there “history” it’s giving you the full disclosure. The problem with this is when I see someone who is telling you to do something but they rarely tell you what they are doing! If there is a conflict of interest they have to disclose it by law, but the real red flag should be if there is not a conflict of interest! Why would you ever trust someone’s advice that is telling you to do something but not doing it themselves? You must always keep that in your mind, it reminds me of that saying my mom used to tell me when I was a kid when I would say, “well my friend can do this or that”, “if your friends jumped off a bridge would you?” The correct saying should now be “if the advisor is telling you to invest your money somewhere, but is not himself should you?” I know it doesn’t have that same ring to it, but I think it holds very true.