father knows best | 7:36 am | 31 August 2009
When Max Frost speaks, people listen!
Far from Wall Street, in a suburb of Green Bay, investment adviser Max Frost gave some bold advice on this day a year ago.
In a column for his local newspaper, Frost took note of September’s cursed history. Given the unwillingness of banks to lend money, he warned at the time, “Houses won’t be built, businesses won’t expand, consumer goods will not be purchased.”
His conclusion: Sell. “If you’re not shorting this market, at least put some of it in cash. You can always buy it back.”
Today, Frost remains pessimistic, especially after stock prices kept climbing over the past few months.
“This market has gone up like a bad moonshot, without enough money to get to the moon,” he said in an interview last week. “Everything’s gotten too highly valued.”
It is, after all, almost September, Frost observed: Look out below.
