Forget Your Fears: 'Everything Is Cheap,' James Altucher Says
Posted Jul 10, 2008 12:48pm EDT by Aaron Task in Investing, Biotech
Related: ^DJI, ^GSPC, FRE, LEH, QQQQ, SPY, FNM
The market lurched forward Thursday as the Dow Chemical-Rohm Haas deal overshadowed, for the moment, ongoing concerns about the soundness of the financial system.
Even as Fed Chairman Ben Bernanke and Treasury Secretary Henry Paulson testify about the need for new regulation while Lehman Brothers, Fannie Mae and Freddie Mac tumbling again, James Altucher, managing partner of Formula Capital, says "fear of the unknown" is obscuring opportunity for investors.
On an enterprise value/cash flow basis, almost "everything is cheap," Altucher says, recommending investors buy index ETFs to get exposure to a market the author, columnist and investor believes is "dirt cheap."
