SOS should we buy and hold stocks?

World GDP is about USD60 trillions

World derivatives is about USD600 trillions

Daily world trade is about USD4 trillions

Fiat money created over the last 10 years via derivatives is about USD500 trillions.

What will happen when 10% of the derivatives turns bad?

Some of the questions we need to ask ourselves.

1. Is the zero interest effective?
2. Is the first bailout effective?
3. Why the second bailout?
4. Any action to resolve the Derivatives problems?
5. Is the problem cause merely by sub prime? or is it Derivatives created via sub prime?
6. Why is the world stock market still so volatile?
7. Should one enter the market at this stage?

MyView

In a long run, it is not going to be pretty. One needs to protect our hard earned wealth. How? High cash flow stocks and high dividend stocks may be a good protection. A small portion in precious metal is not a bad idea. Shorting the markets is risky.