Perspectives - Personal Finance Blog

Linda says:

Financial fashions will radically alter in 2008.

My financial forecast for 2008 is a return to the virtues of simplicity.

No more convoluted financial models, which require an advanced degree in mathematics to have any hope of understanding.

No more investing in the blind faith, that name institutions in glossy premises are not going to lose you a truckload of money.

Out of fashion are any styles completely, of dodgy mortgage related securities that have some sort of down gradable rating on them.

Extremely fashionable will be some form of legal action, aimed at sellers of the dodgy mortgage related securities.

That last season’s hot number called private equity buyout will be replaced by the far less glamorous style of actually running a business in a viable, long term manner.

Second hand yachts and Ferraris are likely to be in ready supply and at good prices.

The fashion colour of 2008 is likely to lashings of bright RED, especially in terms of red ink in the balance sheets of some banks and brokerages.

Equally red may be some faces of CEOs, especially entering court.

Owning a condominium, in an empty building in Florida, will definitely not be admitted to by any fashionista.

Buying any asset to “flip”, especially real estate, will be seen as a total style disaster.

Dining “in” is going to be the look of the season, rather than dining “out”.

Throwing the credit cards on the barbecue, is another new fashion trend that is likely to be a hit.

Very well dressed will be the politicians on TV, calling for legislation to do something about whichever financial problem is in the headlines.

Excessive debt levels will equate to excessively high heels- likely to contribute to a wobble and probably a nasty fall.

Unfortunately, the camouflage, military look is also likely to a growing trend in numerous locations across the world, which are not usually known for setting fashion trends.

This entry was posted on Thursday, January 17th, 2008 at 9:59 pm and is filed under Credit, Economy, General, International, Investing, Lifestyle, Saving. You can follow any responses to this entry through the RSS 2.0 feed.