The Great Recession Brought Great Opportunities for the New Generation of Investors

Here's an article referring to my friend. Missing you Daniel! Read below:

The Great Recession has turned into the best of times for young investor Daniel Lee.

Early this year, the 30-year-old salesman in Scottsdale, Ariz., shelved expensive meals and vacation plans and threw "every spare dollar" into the stock market. The value of his portfolio has more than tripled as the market has rallied since March.

"This is like buying a swim suit in the fall or a winter jacket in the spring," he says. "Get in while it's a good deal."

Halfway across the country in Detroit, retiree Irvin Hall, 70, is living through the recession in a different way.

His mutual funds fell 35 percent during the stock market plunge that started last fall and continued for six months, and his monthly pension from General Motors dropped by 10 percent. He and his wife pay more for health care and medicine after the company reduced his insurance benefits.

"It takes your mind a while to really adjust to this," he says. "You're expecting, hey, I'm set for life, and then all of a sudden that's taken away."

Read the rest of the article here:
http://news.yahoo.com/s/ap/20091005/ap_on_bi_ge/us_meltdown_generation_gap

You Can Make Good Transactions in Bad Markets, and You Can Make Bad Transactions in Good Markets

This video talks about the following:

What transactions are getting done; The state of the CMBS market; and the interviewees' Outlook on commercial real estate.

While the maxim holds true, (see title) do you think he sounds too positive or what?

See the video at the original post here.

Fed scales back emergency lending programs

The Federal Reserve on Thursday said it is further scaling back two emergency lending programs as the U.S. economy improves.

The Fed will reduce the amount of money available to banks in short-term loans under a program called the Term Auction Facility.

For 84-day loans, the Fed will provide a total of $50 billion in loans in October, and $25 billion each in November and December. For 28-day loans, the Fed will continue to make $75 billion available monthly through January.

The Fed also is cutting back on a program where investment firms can temporarily swap risky securities for super-safe Treasury securities.


http://www.investmentnews.com/apps/pbcs.dll/article?AID=/20090924/FREE/909249991

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New Breed of Investors Arise After Recesssion (If it's Really Over)

The onslaught of the recession brings about a new breed of investors which online brokers seek to accomodate.

According to the Sept. 21 edition of Barron's, online brokerages are expecting bigger demand as budget-conscious investors and money managers change their investing habits, seeking lower fees.

Full article here.

CMBS and TALF - What's Going On?

TALF coming into the picture provides good opportunites for owners to refinance, investors to acquire investment properties, as well lenders to access capital.

TALF was expanded in May to include highly rated commercial mortgage-backed securities (CMBS).

Two REITs are expected to soon test the new CMBS component of TALF, with each projected to borrow up to $600 million against assets in their portfolios. A substantial amount of the capital raised will likely be utilized to pay down maturing debt.

As a result of the lengthy ramp-up time for this program, TALF has been extended through March 31, 2010, for existing CMBS and through June 30, 2010, for newly issued CMBS.

A growing number of large property owners, investors and lenders will take advantage of the program by year end.

http://commercialrealestateinvestmentadvisory.com/2009/09/18/outlook-on-commercial-mortgage-backed-securities-cmbs-and-term-asset-backed-securities-loan-facility-talf-%e2%80%93-3-of-3/

Lewis Ranieri says Commercial Real Estate at the Beginning of a Cycle which Can Potential Disrupt Economic Recovery

Lewis Ranieri, the mortgage-bond pioneer, said the U.S. housing market is “still very fragile” and commercial real estate is at the beginning of a cycle that will damage banks, potentially disrupting the economic recovery.

http://www.bloomberg.com/apps/news?pid=20601087&sid=axfiTJpVyYUM

Survey says U.S. property recession seen through 2011

NEW YORK, Sept 15 (Reuters) - Most of the U.S. commercial real estate industry is expected to remain in recession through 2011 with an industry-wide recovery not expected to begin until 2012, according to a quarterly survey commissioned by PricewaterhouseCoopers.

Read the full article here.