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A Registered Investment Advisor

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Market Commentary - March 2012

Don't buy into it. This market has experienced a significant run-up off the lows from last year and looks an awful lot like the market did at this stage last year. Volume over all remains very weak, and when you back out the earnings of a company like Apple from U.S. market figures, earnings are closer to a 2.5% growth rate which is still very anemic. The bond market is even more precarious. I would recommend reading "The Short View" from 2/29 in the Financial Times. It provides a solid overview of current thinking. As the article points out, there is a group of investors who believe that "bonds are no longer sending a reliable signal". This is due to the massive intervention on the part of central banks. This is a very dangerous situation since other asset classes should be priced from this asset category. In addition, as can be seen from the flow of money into mutual funds, the regular investor is not buying into this new bull market.

Right now investors should be looking selectively to take some profit. Westwood is still recommending( non-financial) dividend-paying stocks, and some MLPs. There are some option strategies that can be used here, and as has been said here before- gold, silver, and a number of other commodities offer solid long-term potential. Contact Westwood Advisors today for your FREE portfolio check-up..Don't wait until the market crashes in on you again…