On January 4th, 2010, I made the following prediction: I am looking for a decline in the S&P 500 index from the 1,131 level today to around 1,100. I don’t see a substantial decline in the index, but the market overall seems to be slowing down. I do not see great holiday revenues coming from many retailers, and believe we will hear Q4 corporate profits, from various sectors, are mediocre at best.
Today, January 29th, the S & P 500 Index is at 1085.18, and I am now recommending you start putting cash to work by buying stocks. The markets are down over 4% since January 4th, 2010, therefore, I am not predicting the markets to fall very far from this level, if at all, in the next few months. After reviewing recent earnings reports from some of the largest companies in the world, it is clear business demand is increasing, yet at a slow pace.
Several companies have showed strong profits from a year ago, however, that in itself is not a good measurement of how our economy is right now. Cautious outlooks for 2010 from several companies tells me our economy is doing better than it was in 09′, but we still need to realize in 09′ the government provided plenty of stimulus money, and 2010 may not benefit from those handouts. Federal Funds rate should remain low for the next 3-6 months, providing cheap money to banks. We have to wait to see how much lending the banks are willing to do, provided the increase in security measures the Treasury Department has imposed on those banks.
In summary, the market is down 4% in the past few weeks, now is a good time to start buying stocks using the dollar cost averaging strategy.
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Jim has worked as a Portfolio Manager & Financial Advisor since 1996. In May 2005, Jim founded WHI Financial Services, LLC, WHIFinancial.com, a Registered Investment Advisory firm, with headquarters in Texas. His primary focus is on portfolio management, financial & retirement planning, and financial advisory & insurance services. Jim manages investment portfolios & advises individuals, small to mid-size companies, and non-profit organizations on a variety of financial and business issues.
Prior to founding WHI Financial Services, LLC, Jim worked as a portfolio manager & financial advisor for two international investment firms. From 2001 to 2005, Jim worked with Prudential Securities (merger with Wachovia Securities, now Wells Fargo Financial Advisors), and from 1996 to 2001, he was working with Merrill Lynch. While working with both Wachovia Securities and Merrill Lynch, Jim enjoyed dual responsibilities as a portfolio manager, financial advisor and leader of the Professional Development Program.
Jim's responsibilities as leader of the Professional Development Program included, recruiting, interviewing, training, and overseeing the daily operations of all financial advisors involved in the Professional Development Program. Jim was responsible for managing between 10-20 advisors, while still managing his own client investment accounts.
In addition to his experience in the financial services area, Jim has been involved in several start-up companies. Jim's Philanthropic work includes serving as President/Treasurer of a private foundation established to provide non-profit organizations financial assistance, and Chairman/President of the Believe In Your Dreams Foundation. In 2007, Jim established the Believe In Your Dreams Foundation, a 501(c)3 organization, to help individuals who are suffering from life-altering circumstances beyond their control.
Jim has taught investment, insurance, and credit repair classes through continuing education at universities in CA & TX since 1997. Jim attended the University of Minnesota where his focus was Management & Marketing.
Jim has recently written two books, one called "Your Financial Lifecycle" a book which describes several key investment topics everyone will face throughout their life, and a book titled, "The Truth about Your Credit Score", which defines how credit scores are calculated and how you can increase your credit score, including templates which you can use to send to creditors.
Jim's books can be purchased on Amazon.com, via Author search, or by emailing him directly at JimWigen@GetWealthyStayWealthy.com.
In the Fall of 2011, Jim will be starting his radio show called, The Jim Wigen Show, Teaching You to Get Wealthy & Stay Wealthy. You can hear his shows through streaming audio by visiting JimWigen.com.
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