Where to Put Your Money Now
With nearly every investment sector reeling, this recession has been an equal-opportunity destroyer of wealth. As our losses continue to mount, where can we put our money (other than the mattress)? Two financial advisors weigh in:
Ivory Johnson (CFP/Scarborough Capital Management): The only incorruptible form of money is gold. It’s a hedge against U.S. government debt being downgraded and is safer than any currency right now. You can buy gold bullion through an ETF like the GLD. Do not buy gold mutual funds.
Doug Flynn (CFP/Flynn Zito Capital Management): With the market this low, you want to be a net buyer of equities and equity mutual funds. When the Dow creeps back to 9,00, this won’t be true, but since it is retesting the November lows right now, we have a buying opportunities on our hands.