Be greedy when others are fearful

The Sage of Omaha has spoken. He wrote in a commentary article in the New York Times that he is now buying US stocks and predicted that shares would substantially outperform cash over the next decade. As the world richest man and the world's most successful investor, Mr. Buffett's views and opinions are highly regarded by the investor community worldwide. Small investors may take lead from his optimism and start to buy in equities again. In the midst of the current financial crisis where stock markets worldwide have plummeted to the historical low, what Warren Buffett had written in the New York Times should provide a ray of hope to the panicky investors.

It is the time to be greedy when others are fearful, said Mr. Buffett. True indeed Mr Buffett, but most of the investors have no more "bullets" to be greedy. Most of the "bullets" had been miss-fired at stray targets when KLCI was approaching historical high last year when everyone was greedy and nobody was fearful. I just pray hard that KLCI will slowly recover so that my losses could be minimised.