The New Reality of Wall Street : An Investor's Survival Guide to Triple Waterfalls and Other Stock Market Perils

"New Reality of Wall Street" is an oddly assembled book with some flashes of insight. Although Mr. Coxe has a lively writing style, the substance and weight of his assertions often leans towards what is colloquially referred to as "bull". The novice will find much to be confused about. The keen skeptic will have much to be skeptical about. And the expert will find nothing new. The book starts out in the style of a wilderness survival guide. This would suggest the book is meant for novice investors. And this is supported by his diversions to explain concepts such as risk premium and bond duration. But he also delves into detailed discussion regarding foreign currencies without explanation of currency mechanisms. For example, he explains that Japan, as an enormous creditor to the USA, must print large amounts of Yen to "absorb" the inflow of Dollars. A novice who does not understand central banking mechanisms is left without so much as a trail of popcorn to figure out why or how this is. So while Mr. Coxe spends too many pages on basic principles for this to be an expert investor's book, he entirely skips vital concepts for this to be a novice's book. Even if one does understand everything that is said in these pages, there are other thematic problems. He makes numerous creative assertions regarding the causality of certain economic events, but does not offer any supporting logical arguments or empirical evidence. (Contrast this with writers such as Robert Shiller or Marc Faber who do not require you to take their statements at faith, but instead support their assertions with data.) Most often, his arguments are based on political opinions and platitudes. If you do not accept his political opinions, you may find it difficult to accept many of his explanations or conclusions. It's not that his political opinions are unusual as much as his opinions display a disconcerting tendency to confuse fact with opinion or logic with data. For example, in one instance he simply states without further elaboration that democracy is superior to communism as a matter of logical fact. While most readers would agree that historical evidence supports the superiority of democratic style governments, to state that this is a result of deductive reasoning is be ignorant or confused. Faith is required in reading this book. Ironically, he spends considerable effort explaining why you should never accept Wall Street recommendations on faith. Finally, although some of his assertions may seem bold for those who do not regularly read beyond mainstream financial magazines, his investing recommendations betray any uniqueness. His recommendation is simply to diversify broadly among stocks, bonds, and cash. Although I happen to agree with much that he writes about, I am left feeling that this is nothing more than a very long elaboration of a poolside conversation over beer. It may be enjoyable and you may be nodding your head in agreement often, but unlike what the title suggests, there is nothing substantial, concrete, or convincing. Marc Faber's "Tomorrow's Gold", although slightly dated, is a far superior treatment with similar conclusions and more daring recommendations. With 20/20 hindsight, pundits like to think they saw the market crash coming before it hit, and that, with a little more thought and imagination, we could have avoided the devastating loss of wealth. But as individual and institutional investors alike continue to scramble to find ways to get back into positive territory, they are finding that the more things change, the more they remain the same. What we've been seeing in the markets the past two to three years is much of the same, we could have seen it coming, and perhaps even should have. But, there's still much to be done to improve positions and save the retirement fund from complete disaster. The secret is in identifying the Triple Waterfall. Don Coxe, chairman and chief investment strategist at Harris Investment Management, has uncovered the Triple Waterfall Effect. From the stock market crash of 1929 to the gold and oil crashes of the late 1970s to the tech crash of 2000, the signs are the same. "Triple Waterfall" is a term used by technical analysts to describe a catastrophic market collapse, which always occurs in three cascades.; Today, we're still in the final leg of the latest triple waterfall - we're not out of the woods yet. The New Reality of Wall Street shows investors what happened, and how to get out of the mess. The tech wreck of the early 2000s represents the greatest loss of wealth to date. The New Reality of Wall Street takes a commonsense approach to rebuilding your portfolio, despite the fact that the third leg of the triple waterfall still has a strong future in front of it. But the news is not all bad. The global economy, led by Asia, is in a new growth cycle, and investment opportunities abound. For investors who know where to look, and keep their wits about them, there are ways to bolster their portfolios despite the gloom and doom. In this timely guide, readers will find helpful information that reveals much about how the markets got to where they are today, where they are headed tomorrow, and what do to in the meantime. Don Coxe explains key topics such as: - What folly merely prolongs the agony - How Triple Waterfalls define major trends in capital spending and investing, creating the seeds of their own destruction.; - How much will you need to retire and how can you get there in a post-Triple Waterfall market The New Reality of Wall Street takes a well-needed rational approach to what went wrong and how to overcome those faults and troubles in order to recoup losses, build retirement savings, and sleep well regardless of the markets An investor's survival guide to avoiding costly dangers in today's uncertain markets That the "bubble burst" in 2000 is really a misnomer. The fall of the markets actually marked a seldom-seen—but always dangerous—triple waterfall. In The New Reality of Wall Street , Donald Coxe—a huge name in institutional investment circles—provides shaky investors with the reassuring knowledge and guidance they need to recoup recent investment losses, and weather a financial storm that is still far from over. While Coxe warns that the third leg of the triple waterfall is still alive, he shows there are profits to be made. The New Reality of Wall Street tells investors where to look—and what to look for—to invest profitably despite the prevailing doom and gloom as it discusses: How to understand and profit from the triple waterfall phenomenon What the fall of the dollar means to future investors Which direction inflation should turn, and why An investor's survival guide to avoiding costly dangers in uncertain markets. It tells investors where to look - and what to look for - to invest profitably despite the prevailing doom and gloom as it discusses: how to understand and profit from the triple waterfall phenomenon; and, what the fall of the dollar means to future investors. Tells investors where to look and what to look for in today's seemingly chaotic Triple Waterfall markets. The author applies the lessons of history to the current boom-and bust market environment.