Dear Clients,

In keeping with my recent theme of resurrecting some of my newsletters from the past, to help you maintain the proper perspective in today’s volatile environment, I have attached below a letter from April 2005 titled “Making Lemonade”. In this piece I expose the silver linings to what initially appeared to be very negative business and/or economic developments. Over the years I have found that, virtually without exception, the seemingly bad economic events (that are inevitable given the economy’s cyclical nature) possess the potential for better things that may never have come to pass had the “negative” events not occurred.

Of course the recent market moves pale in comparison to what you’re about to read, and I’m certainly not predicting what the near term future may have in store. However I can predict with great confidence that somewhere on the horizon the next economic “crisis” looms. I simply think it’s a good idea that we acknowledge as much, and know that history provides strong evidence that the initially unseen (long-term) benefits of what may appear to be a negative event, have a way of more than compensating for the initial economic and/or stock market reaction*.

Take care,
Marty

*Past performance offers no guarantee of future results.

Making Lemonade
April 2005

After 21 years of reading and listening to the financial news media report on all that is, was, and may be, I