Solutions: Your Shrinking Investments

Howdy, howdy, howdy. S&P is back after the end of year holidays and a nice bout of sickness. To kick of the year I'm starting a new column entitled Solutions, where instead of my normal complaining about ridiculous garbage spewed by politicians and other public figures I'll attempt to offer what I think are some genuine fixes to what ails us. Today, I'm going to offer a quick tip for all of you wanna be investors who are scared out of your minds about the markets right now.

When we go through economic downturns, be it recessions or what not, people tend to spend less money on frivolous things which means going out to dinner less and maybe skipping that new movie and perhaps just spending more time at home... bored...

*wink wink nudge nudge*

I coined the term "Bailout Baby" as soon as I heard that the government was considering stepping in to prop up the failing banking institutes during the presidential election and stuck with that term as "TARP Baby" lacks the alliteration and sounds like some sort of sticky disease. Come June we are going to start to see the outcome of this recession in maternity wards across the nation. So my solution for those who are looking at the rock bottom stock prices and are thinking that there must be something worth while investing in and holding on to for a rainy day: any large company that specializes in baby necessities such as food and diapers (ala Procter and Gamble, Johnson and Johnson...) 

Keep in mind the necessities bit and avoid such nonsense as Baby Mozart or Einstein or DeSade or whatever nonsense they are trying to sell as that leg up your kid needs to get into Harvard. If people are trying to tighten their wallets they become a little bit better informed about products and will recognize snake oil for its slither. 

The Rational Moderate

(Oh, the picture of that beautiful baby is of my Best Man Pat's new little girl Katherine Anne. Congratulations Pat!!!)