Have you ever been struck from behind while you were in your car? It usually happens at a stoplight or stopsign. Everything is nice and peaceful and BANG you get a terrible whack. Totally unexpected. Some damage to the car and maybe to you.

It might be a day or so later as headaches start, dizzy spells and vomiting. Yuk! Best thing is to be off to your chiropractor to have bones reset.

This is somewhat like the stock market and your portfolio. You are going along comfortably relaxed and suddenly the market hits you from behind. Totally unexpected. There is damage to your portfolio and maybe to your peace of mind. Could be headaches and vomiting depending on how serious is the crash.

It's off to your broker or financial planner to get things fixed. After you get there you are shocked to find out he has no idea how to get your money back. Yuk! He is supposed to be an expert and this should not have happened in the first place. You are about find out that brokers and financial planners have been taught their trade by the big Wall Street brokerage houses. Their goal is not to make you rich but to get rich off you. Can this be true? You betcha. You will learn that advice from a broker is a eulogy for your money.

It is not that your broker or financial planner is dishonest. It is that he doesnt know that he doesnt know. The methodology of Wall Street is to get your money and keep it. Buy and never sell. Brokers are not taught that cash is a position. Think back. How much more money would you have today if you had been in cash from 2000 to 2003? There are times when Buy And Hold is a good idea, but there are also times when you should be in a money market.

Your chiropractor will make an adjustment to your neck and back and you will get off the table feeling better. Your broker will suggest adjusting your portfolio by selling certain equities and buying others. The chiropractor may ask that you have additional adjustments. Unfortunately, unless you have a very large account brokers forget their clients until you are faced with another headache and call him to make further adjustment. It doesnt help unless he is aware of the general direction of the market up or down. Down he doesnt understand and has not been schooled how to protect your money.

The standard Wall Street medications of Buy and Hold, Diversification, Do Research, Dollar Cost Average and You Cant Afford to be Out of the Market are a few of the poison pills prescribed to investors every day. There are more standard WS tablets and they will all make your portfolio smaller over a period of time.

If you have either of these types of whiplash you will need to find someone who knows the cure.

Al Thomas

Albert W. Thomas has spent most of his life in the field of finance. In 1965 he founded an insurance holding company, Security Dynamics Investment Corporation, after having been an agent and General Agent for several life insurance companies. In 1970 he became cofounder and president of Real Life Estate, Inc., that marketed a unique real estate and life insurance package.

After he became interested in commodities he bought a seat for his personal trading on the Chicago Open Board of Trade, which is now known as the MidAmerica Commodity Exchange. Later he became a full time trader and also acted as a commodity broker for a few select clients. By fellow floor traders Al is considered to be an excellent technical analyst much of which is outlined in his book IF IT DOESN'T GO UP, DON'T BUY IT! It became a best seller on Amazon.

In 1981 he sold his membership on the Exchange and with his wife, Carolyn, lived full time aboard their 41' ketch, the Aumakua (which means guardian angel in Hawaiian). They sailed in Florida and the Bahamas for two years.

He founded World Trading Group in 1984 that grew to the seventh largest introducing commodity brokerage firm in the U.S. with 35 offices from coast to coast, Alaska and Canada. It was sold in 1992.

Al is a graduate of Northwestern University with a B.S. degree in Commerce and is a member of MENSA. He is now president of Williamsburg Investment Company that syndicates his weekly financial column since 1999 to more than 300 newspapers and writes a financial market letter called Over My Shoulder that is quoted in Barron?s and many other publications. A 3-month trial subscription is available on his web site. He is a regular guest on several financial radio talk shows.

His favorite pastime is fishing.

Mr. Thomas is available for speaking engagements. Please call 321-453-5300 for more information.