Each quarter we write a detailed review of how the global economic climate responded to varying conditions and what we see ahead.   here are a few of the areas we cover in detail this quarter.

Usually, this is only available to clients of Horowitz & Company, but this quarter we wanted to make it available for your review.

• Economic data releases from the Bureau of Labor Statistics have been bullishly skewed and subsequently revised downward showing increased bearish sentiment.
• Optimism from proposed government intervention should not trump unprecedented unemployment, retail sales and credit problems
• Short term effect from economic stimulus in the form of rate reductions can be beneficial, but a longer-term solution is needed.
• Legislation needs to be enacted to expand the allowable plan assets and clearly define effective investment diversification.
• Mutual Fund companies and buy and hold advisors have failed miserably at protecting investor’s hard earned money.
• Money flows have clearly shown a skew toward ETFs rather than Mutual Funds.
• Increased incentive to borrow due to rate reductions will only decrease the chances for consumers to get out of credit problems.
• Access to credit by consumers will be limited by their lack of gainful employment.
• IPOs have become extinct which has caused investment banks to lose significant revenue.

If you would to read the detail and our forecast, click HERE