So, pay attention to debt data and you might see where the economy is heading.

Prof Keen argues that the cycle of growing debt always feeds into rising asset prices as the “euphoria economy” takes over. “The final stage is the emergence of “Ponzi financiers” who invest purely on the basis of rising prices.

“They do not have the cash flow to service their debts. When the cycle turns, they are bankrupt at once and are the first to go.”

You can follow his predictions at steve keen blog.

Prof Keen, of the University of Western Sydney, is author of the best-selling book, ‘Debunking Economics’.

Steve Keen Economic Prediction : Forecast is a post from: Daily Investment Tips

The billionaire investor warned investors to avoid “long-term fixed-dollar investments” such as 10-year U.S. Treasury bonds. Buffett worries that the $2.3 trillion in new money the US government has pumped into the economy, when combined with interest rates so low they’re practically giving money away, are combining to dilute the value of the dollar.

U.S Dollar Projection: Forecast : Prediction

As a result, Buffett warns: “If you ask me if the U.S. Dollar is going to hold its purchasing power fully at the level of 2011, 5 years, 10 years or 20 years from now, I would tell you it will not.”

U.S Dollar Forecast & Prediction By Warren Buffet is a post from: Daily Investment Tips

The sage of Omaha suggested a housing recovery will likely begin within the next year, which would help the economy and several Berkshire subsidiaries, including ones that make carpets and bricks.

If Buffet is right then expect a pick up of mortgages and a rise in house prices going into 2011 & 2012.

Warren Buffet Housing Forecast & Prediction is a post from: Daily Investment Tips

The latest news is John Paulson did it again by earning an estimated $5 billion in 2010 thanks mainly to bets the economy would recover. This is better than the $4 billion haul made off the subprime bet.

How John Paulson Makes Money

John Paulson runs his own hedge fund investment firm, Paulson & Co. Inc. (PCI). It is an employee owned hedge fund sponsor, primarily providing services to pooled investment vehicles. He is earns money through commissions on funds under management plus a share of profits.

John Paulson Investing Strategy

The firm manages separate client-focused portfolios, employing merger arbitrage, long/short, and event-driven strategy to make its investments. Paulson & Co. Inc. utilizes fundamental analysis to make its investments, benchmarking the performance of its investments against the S&P 500 Index.

John Paulson Investment Philosophy

In a Wallstreet Journal interview this is how he summarizes his investment philosophy: “The flexibility of having long and short exposure across the capital structure allows us to optimize performance across market cycles. Our goals are capital preservation, above average returns over the long term, and low correlation to the markets.” As the market recovers from its shortfalls of the past years, Paulson is betting on strong economic growth in the recovery: “it is time to be in the stock market,” he says, and that now is not the time “to be under-invested”.

John Paulson Investing Strategy is a post from: Daily Investment Tips

Transcript of Obama Tech Meeting at John Doerr Dinner February 17

John Doerr: Hi everybody, thanks for coming. I just wanted to start out and remind everybody here that you all work for me.

All: Understood

Obama: Thanks John, we all know who’s in charge, but I need you folks to do something for me. I’ve got to figure out how to turn this economy around by 2012. Or you’re all going to be listening to stories about Moose hunting the next time you want to meet with the President.

John Chambers: Don’t look at me. I voted for the old guy last time. Didn’t think it would turn out this way.

Steve Westly: But I want to tell you about my approach to business, based upon my eBay experience

Doerr: Yes Steve, we all know it’s better to be lucky than good, but that’s not going to turn the economy around by 2012

Eric Schmidt: Look, these guys don’t know what they’re talking about. What we need to do is open source government. Instead of hiring case workers to manage welfare and unemployment offices, let’s just ask users to submit ideas about how these underutilized resources can be used better. For example, let’s sell advertising on the backs of shirts of welfare moms and the unemployed, and then have them pick up trash on the freeways.

Obama: Hmm, I don’t know Eric…

Dick Costolo: @Woodside mansion. Pasta delicious!

Schmidt: OK. Another idea. Instead trying to figure this out ourselves, let’s get on an advisory board of a country that’s working well, say, like Sweden. We listen to their ideas, copy them, and then give the ideas away for free. And we sell advertising on the backs of shirts of government workers.

Steve Jobs: Yes, Schmitty, I know that’s how it works for you. But I think we really need to revolutionize the way this country works. Like what if we combine the prescription drug program, FEMA, and the National Endowment for the Arts, into one thing. We’ll call it the iPFArt. Yes, that’s it…

Carol Bartz: $#@! You boys always think you know the answer. What the country needs is tough love. Let’s cut, cut, cut back the federal employees until we have one thing left that works. Who says we need to grow the economy anyhow? This whole growth thing is over-rated. Why, while I was CEO of Autodesk, for the first 10 years, I turned it from a billion dollar company into a billion dollar company. Nobody complained. They just learned to accept the status quo. That’s what this country needs. To just accept it!

Dick Costolo: cant believe i missed the office 2nite. steve carrell ROCKS!

Larry Ellison: Barack. The problem is you are measuring the economy with someone else’s numbers. Instead you should be thinking like Kirk and the Kobayashi Maru. If you don’t like the rules of the game, the change the rules. Instead of publishing numbers about GDP, you need to be measuring the economy with different metrics—how many new jobs there are in bankruptcy law, increases in yacht sales, whatever!

Reed Hastings: I think we need to make army uniforms bright red. It must be hard for you to find all those soldiers. Why not make them wear red so we know what side they are on.

Mark Zuckerberg: Seriously, you guys are wasting my time. I’m sitting here listening to you, while back at the Facebook offices, my colleagues are inventing things that no one in this room will ever be capable of. Look, Barack, if you want to cut the deficit, run all the government’s IT through Facebook. All your employees are spending a couple of hours per day at work using Facebook already, why not transfer all the government functions into Facebook apps, so that that government workers can be more efficient doing whatever it is they do, instead of having to hit the “boss” button to hide Facebook every time they hear footsteps.

And if you don’t like my idea, %*@! It. Look, Tunisia and Egypt were just beta for us at Facebook. We can overthrow your government in a few days. All I have to do is push a button and I’ve got 5 million people protesting on the Mall by Saturday.

Obama: Right, got it. All government functions on Facebook. But only if you can get Russia to do the same.

Zuckerberg. Don’t be silly. I Skyped with Putin this morning. It’s a done deal.

To read the rib cracking stuff, Mark Zuckberg, Larry Ellison, Steve Jobs and the rest of Tech CEO’s said at the meeting go to techcrunch

Transcript of Obama Tech Meeting At John Doerr Home is a post from: Daily Investment Tips

Investing in Emerging Market Funds in 2011

Am I late by investing in Emerging Market fund in 2011? The answer is NO. China just reported that their 2010 GDP Growth was 10%. It is also estimated that by 2050 the BRIC economies of Brazil, Russia, India and China will all be among the world’s half-dozen biggest, along with the US and Japan. China is expected to have overtaken the US to become the most powerful economy on earth.

What this means is, investors risking money in Emerging Market funds may continue to enjoy massive profits.

Investing In Emerging Market Funds 2011 is a post from: Daily Investment Tips

Oprah Winfrey Personal Finance Tips.

Oprah advices people to divide their their income into five core areas

1. Education,
2. Real Estate,
3. Savings,
4. Spending
5. Retirement Investment.

Oprah encourages everyone to invest in financial education ; The only way to can invest successfuly is by understanding how the stock market works, knowing how to read financial accounts and knowing how the economy works.

Oprah says that everyone should plan for the future and at it helps to solve the situation when you are badly in need of money.

Financial Information courtesy of oprah-winfrey.org

Oprah Winfrey Financial Advice is a post from: Daily Investment Tips

I like the following websites for investment advice. They are parked with information that I use to better understand the markets.

Businessweek Online.

I have been a subscriber since I first opened my good old yahoo email account. I have never been disappointed. The recent merger with bloomberg will only make them stronger.

UK Financial Times Online.

To access the full articles you need you need to be a paid up member. They have free account that limits you to read 10 articles a month. But they will send you headlines of all top business news.

Wallstreet Journal Online.

The biggest business publication in the world. With such a large financial support you can be assured they will find business information that matters.

Yahoo Finance.

The beauty of Yahoo Finance is syndicated feed they run on the site. They have articles written from top finance blogs.

Google Finance.

This is not a single site but an aggregator of business news. They have fabulous charts that can help you track trends over a period of time.

Best Investment Advice Sites is a post from: Daily Investment Tips

George Soros bet (correctly) that the Bank of England would not support the pound participation in the European Exchange Rate Mechanism (ERM) indefinitely by jacking up interest rates in an economy already in recession. Soros made $1 billion overnight when the Bank of England let the British currency devalue.

For indepth research on the events that led to pound devaluation and how Soros’ and other investor took advantage, read the following article, George Soros’the man who broke the bank of england

George Soros 1992 Currency Bet is a post from: Daily Investment Tips

William Stone Financial Advice

In businessweek interview the man gave his thoughts on why this is the best time to be investing in stocks.

Widespread nervousness about the economy is “a positive” because it gives investors a chance to find “a good company that’s being dragged down by the overall market.”

William Stone : PNC Wealth Management is a post from: Daily Investment Tips