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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: Jurgis Bekepuris who wrote (33267)	1/12/2009 1:47:18 PM
From: Spekulatius	Read Replies (1) \| Respond to of 78749

re AOB IMHO, second-guessing the management is one of the worst things most investors do. Ignoring to second guess management speak has in the past led to considerable losses for me. I'd rather guess wrong sometimes than not guess at all. Investing is all about second guess based on limited information, IMO. Regarding you other question about preferreds, i don't think I am a buyer at 10-11% yields. Most of these are not rock sold companies and even though preferreds have some protection relative to common, it is far from bullet proof. Just ask the bagholders for FNM/FRE preferreds how this can work out. I'd rather buy some rock solid non-cyclical equity stock like PEP or NSRGY where I'd expect similar returns with much less risk, IMO.