<p>Lacero nailed it. </p>
<p>Whoever thinks the markets are “bad” right now lacks the vision and foresight to capitalize on these conditions. If you’re intelligent enough and understand the intricacies of the global economy, you’ll realize that no situation is ever “bad” or hopeless. This very recognition is what separates the good bankers from the great bankers, the okay investors from the visionary, second coming of Warren Buffet-type investors. The markets are an interrelated system and every system undergoes periods of innovation (think about the life line of CDOs). Securities, like a woman’s wardrobe, become more and more complex with new layers of options and tranches, but the fundamental stitchings of a fixed-income or equity instrument are the same. Revert to the basics, invest in the securities suitable for current market conditions (ex: distressed debt now), and you end up ahead of the curve.</p>
<p>“One man’s garbage is another man’s treasure.”</p>