Scroll down to the good stuf about REITs. These comments are from Bill Fleckenstein at Stocksite. He is also on CNBC ... regularly--I think.
About value stocks... Some people have sent me e-mails asking why I haven't recommended more value stocks since I happen to be a value investor. And it's because while there is value in smaller stocks, my fear is that when the bubble bursts and the massive panic in the stock market ensues, these stocks will be taken down as well. Even though I see value in small-cap stocks in various different areas, I don't think it will be sufficient to protect us from what's coming next. So I have not chosen to try to till that soil, so to speak. In fact, one OTC dealer who covers a broad array of securities constantly is telling me how they have all these cheap, small-cap stocks that he cannot get a bid for. Those kinds of things make me nervous; there seems to be no liquidity in these smaller-cap ideas. The moral is, if they're illiquid now while the mania is still going on, what happens when we have a scramble for liquidity?
The REIT stuff... One area where people may want to do some work is REITs. Although I'm not an expert, I've been told that some of these REITs represent very good value and I think the dividends may be such that they won't be cut. And obviously if you can get a big dividend and get paid to wait, then that's a different issue.