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Tech Players that May Benefit from the Financial Crisis

Posted Oct 09, 2008 08:30am EDT by Sarah Lacy in Investing, Internet, Media, Recession, Banking
Who knows how far we've come through this bear market, but Paul Kedrosky is already thinking about the eventual tech winners. Kedrosky, financial blogger and strategist at Ten Asset Management, posits an interesting thesis. Because this whole crisis came about because of a lack of financial transparency, he says, there's going to be a big push for financial information democratization. And who better to benefit from that than tech companies? Here, he offers his picks, none of which he owns.
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62 Comments

Reedersong
Reedersong - Thursday October 09, 2008 08:37AM EDT

Well...I guess if people are out of work...they are probably on the internet more...but spend less. However, it would be good to go long on some ISP's.

Doug C
Doug C - Thursday October 09, 2008 08:41AM EDT

Oh my god, oh my god, oh my god! How in the heck are we going to start letting our government get into ownership of our banks??? Are you kidding me??? Heck, just look at the way they handle our money now! What a mess! Have us in debt for 50 Trillion Dollars and now want to get into the banking business? They would all be in jail if they ran the banks the way they run the Federal Budget!

David
David - Thursday October 09, 2008 08:56AM EDT

The whole world is waiting for some financial wisdom - yet all world leaders seem to have little. Consider some ancient wisdom from the Book of Proverbs, said to be penned by the world's wisest man at that time and possibly for many millinia. " The rich rules over the poor, and the borrower becomes the lender's slave". Prov. 7:22. The "plantation" continues to get larger and larger and freedom and responsibility continues to get smaller and smaller. The federal plantation wants its adherents to believe there are no consequences to debt - they just pass it along to others they want to enslave. I am so tired of hearing about people loosing "their" house. I owned my house after the 360 th payment - not one month before. If all of these people are going to be forgiven their obligations which are being passed to all of us, why not also share in all the other "stuff" they bought along the way as they flipped all their other mortgages to spend their equity and building security. Equity provides freedom - debt provides enslavement. Yet government policy wants to "nullify" this truth for more political power as all our freedom is sucked away by the federal plantation.

Yahoo! Finance User
Yahoo! Finance User - Thursday October 09, 2008 09:00AM EDT

... from Beat the Dart ... Standard & Poor's 500 composite futures added 19.50, or 1.99 percent, to 999.50, on IBM posting third-quarter results that beat forecasts and reaffirmed its full-year earnings guidance, while Asian were steady to higher and European markets rose. Watch reaction of an effect short selling will have on the market now that a three-week ban imposed by regulators has expired. J.W. Stocksmirf believes the unprecedented ban on short selling -- an effort to bolster investor confidence amid the worst financial crisis since the stock market crash of 1929 -- did more harm than good at a time of historic market volatility. ... Before committing hot money consider September 2002 at 815.28 as next index test. ... The heavy losses in stock markets around the world signal that markets are determining that the credit crisis won't likely be resolved soon.The worries on the Street have been exacerbated by the spread of the U.S. credit problems overseas. Several banks in Europe have had to be bailed out, and earlier this week, the governments of Germany, Ireland and Greece took steps to guarantee private bank deposits. Moreover, the markets are mindful of the fact that the government's $700 billion financial rescue plan is in its early stages of implementation and will take some time to have an impact on banks' balance sheets. Not a good picture. Don't allow them to "talk-you-out-of-your-money.

Yahoo! Finance User
Yahoo! Finance User - Thursday October 09, 2008 09:01AM EDT

What did you say!?*&$^ Tech Player that May Benefit. I'm tech player and I lost thousand of thousands of f*&^ing dollars with tech stocks

Rosepw
Rosepw - Thursday October 09, 2008 09:07AM EDT

How about putting all those sellers and creators of those bets on houses going bad called credit default swaps in jail and cancel all those contracts that made us trillions of dollars indebt. Those were contracts conceled under the name swaps so they would not be illigeal. They are letting them go on still right now. A few million defaulted homes did not create this problem. It was these swaps, hidden contracts :if you default on your home,than some one has to pay me ex amount of bucks , like gamblers betting on a foot ball game that they do not even own. And now we are supposed to pay for these games. They dump the public buy aying its the houses that are the problem. It is these swap bets that we are bailing out with all those rich criminals who made trillions of profit on it. Wake up, they are dumbing us into taking the blame, as: Consumers that spend too much. Make us feel guilty so we will bail them out.

Yahoo! Finance User
Yahoo! Finance User - Thursday October 09, 2008 09:20AM EDT

Our current administration is dangerously secretive. Autocratic? You be the judge. They have created mistrust. Financial instruments follow that same path. Financial markets need to better understood by the public so everyone has more accurate information with which to make decisions. I believe we are on a precipice one side inflationary recession, the other side deflationary depression. Fundamentals seem to now run closer to deflationary. Of course our government is desperately pushing us toward inflation.

__A_YAHOO_USER__
__A_YAHOO_USER__ - Thursday October 09, 2008 09:21AM EDT

No doubt about it surely benefit from this point to the economic turn around.

Yahoo! Finance User
Yahoo! Finance User - Thursday October 09, 2008 09:35AM EDT

The markets are still in upheaval and very high in volatility - not the ideal place for the average joe - i dont think its an environment for buy and hold just yet. Still for the somewhat experienced trader there is a lot of opportunities in which..... www.tickerwatcher.com

Yahoo! Finance User
Yahoo! Finance User - Thursday October 09, 2008 09:36AM EDT

The markets are still in upheaval and very high in volatility - not the ideal place for the average joe - i dont think its an environment for buy and hold just yet. Still for the somewhat experienced trader there is a lot of opportunities in which..... www.tickerwatcher.com

Billy
Billy - Thursday October 09, 2008 09:37AM EDT

No doubt about it. The rich get richer and the middle class gets poorer.

rockjock1037
rockjock1037 - Thursday October 09, 2008 09:43AM EDT

The emporer has no clothes

sportsmadness
sportsmadness - Thursday October 09, 2008 09:46AM EDT

Yahoo finance chart of the DOW .... what is wrong with the chart. It shows a 174+ gain but it is below the red line that shows the opening worth. CMON Yahoo get it right. You cant show a gain when its below the red line.

Dustin Dawind
Dustin Dawind - Thursday October 09, 2008 09:52AM EDT

Right, Billy B. Cuz the rich don't put any of their money into the stock market. Yeah, that's how the world works.

DON P
DON P - Thursday October 09, 2008 09:56AM EDT

Now is the time to buy huh? Well let me go to my pocket, no change, let me go to the bank...closed..let me pull my 401k...ooops all gone. Gee sign me up for that Paulson credit card so I can buy some of that great valued stock. Last week was the worst unemployment role but today it has rebounded, yepper....I feel good now!

sportsmadness
sportsmadness - Thursday October 09, 2008 09:58AM EDT

Am I blind or what .... check this summary out ... AP Wall Street opens higher a day after heavy selling Thursday October 9, 9:43 am ET By Tim Paradis, AP Business Writer Stocks open higher, IBM profit forecast and government bank stake report cheer investors NEW YORK (AP) -- Stocks are opening higher after IBM Corp. reaffirmed its profit forecast and investors hoped the government might take ownership stakes in banks to help stabilize the financial industry. Wall Street is looking to recover Thursday from near-panic selling that has cascaded through global markets in the past week. The Dow Jones industrials are up 140 points at the 9,394 level in early trading. The previous close was at 9447 so how in the heck can 9394 be an upward number. Are the journalists writing this stupid or what. Lets see 9397 is bigger than 9447 .... even a kid in the first grade can figure this out.

Warren
Warren - Thursday October 09, 2008 09:58AM EDT

I warned on this blog that tech company will be suffered bad financil consumer and business demand plunge in recession, financial crisis was caused by bad investment decisions, betting on the wrong side of invesstment, high tech can do little to help out.. That is why AAPL, GOOG, IBM stocks plunged 50 %, details on www.osawh.com/SP500.htm www.osawh.com/NASDAQ.htm

sportsmadness
sportsmadness - Thursday October 09, 2008 09:58AM EDT

Am I blind or what .... check this summary out ... AP Wall Street opens higher a day after heavy selling Thursday October 9, 9:43 am ET By Tim Paradis, AP Business Writer Stocks open higher, IBM profit forecast and government bank stake report cheer investors NEW YORK (AP) -- Stocks are opening higher after IBM Corp. reaffirmed its profit forecast and investors hoped the government might take ownership stakes in banks to help stabilize the financial industry. Wall Street is looking to recover Thursday from near-panic selling that has cascaded through global markets in the past week. The Dow Jones industrials are up 140 points at the 9,394 level in early trading. The previous close was at 9447 so how in the heck can 9394 be an upward number. Are the journalists writing this stupid or what. Lets see 9397 is bigger than 9447 .... even a kid in the first grade can figure this out.

Bill
Bill - Thursday October 09, 2008 10:03AM EDT

Wow, Sarah - talking to Paul Kedrosky? What a refreshing new twist to your journalism! Will anyone else ever be a guest? You & Paul - always so cheerful & bullish. When will tech/ticker stop allowing your thinly veiled attempts to try to move the prices on your holdings?

JackW
JackW - Thursday October 09, 2008 10:07AM EDT

Once we stabalize the credit markets, the trials will begin. Sure glad I don't work in the banking/finance industry.

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