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Monday, September 8, 2008

About Stocks: Bailout Necessary, but Dangerous

About.com    Stocks
In the Spotlight | More Topics |
  from Ken Little
The federal takeover of Freddie Mac and Fannie Mae gave the markets a much needed shot of confidence Monday. However, unless there is a follow through by Congress and regulators to prevent the mess we are in today, the effort may be wasted. Many investors put money into Freddie and Fannie stock with the belief that the federal government would not let either fail. No one wants to see those investors lose all of their money, but investing does entail a risk. Investors should be prepared to take the consequences. Counting on taxpayers to make investors whole is a very bad idea.
 
In the Spotlight
Bailout Necessary, but Dangerous
The takeover of Freddie Mac and Fannie Mae by the Treasury Department is a necessary, but potentially dangerous move.

 
           More Topics
Stagflation is Dangerous for Stocks
Stock investors always worry about inflation and they also worry about recession. However, their worst fear is a combination of the two economic conditions known as stagflation.

 
Avoiding Companies with No Earnings is Good Idea
Is the company making money and does it have a history of making money? Some investors may find this question obvious, but it never hurts to be reminded that one of...read more

 
 
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