Here’s the next installment of investment tips for 2009 from Chris Dardaman, who has a plethora of certifications including CPA, CFP, CIMA, and PFS. He is the CEO of Brightworth in Atlanta, Ga.
Converting a traditional IRA to a Roth might be a good idea in certain situations, like if a person’s income in 2009 will be lower. The thing to watch out for is the ordinary income tax bite, which lowers the amount the investor will have to invest.
We think commodities still have more downside now, but as they come down, the entry point will likely be just before the global economy starts to perk back up.
We think that high quality U.S. stocks and corporate bonds selectively) both look very attractive at this point.
Most equities should do well in 2009. We are at the historical inflection point in recessions (just past half way) where the stock market usually turns back upward, ahead of the economic recovery, which still may be two to four quarters away.