cooler heads

Wilbur Ross was on CNBC this morning. Here's a guy who has been around for a long time and has been one of the most successful investors in this type of market. He isn't in the panic selling mode, nor has he been forced to do so (read Thornburg Mortgage). Step back, look for the actual vs. perceived value, and invest prudently. The market, but especially the riskiest parts of the credit markets (high yield, sub-prime, emerging markets) had moved away from any sense of value. That's over, cooler heads have prevailed and reality has set in. Remember Julien Robertson? He thought the equity markets had gotten out of control and unwound his hedge fund in Feb. 2000, one month before the peak. Listen to Wilbur. You can't get something for nothing.