First Post

After years of simply reading housing blogs I have decided I need an outlet to post my own views regarding the developing situation. This is partially a result of my wife's observance that housing and the economy are all I seem to talk about. My hope is that this blog will allow me to express all my opinions and frustrations with the economy in a forum where others are just as interested in this topic. I have learned in my personal life that it is a rare person that gets excited about a discussion surrounding the money supply or the federal deficit. Fortunately, the web provides a great means of allowing a minority of the population to get together as a majority, in a new forum.

Another goal of this blog is to glean investment advice for profiting from the significant downturn that I feel is in store for our economy. This is where I came up with the name for the blog. My basic idea is to take a $5000 portion of my savings and invest it in a manner that provides the potential for high returns and thereby also has high inherent risk. If the morons on Wall Street can run hedge funds that profit off of loans that no one is ever going to pay back, I feel it only makes sense that someone profits as these horrible investments unravel. In the rare chance that someone reads this blog I have added Google Adsense in an attempt to increase my investment base. I have also placed a donate button on the page in the even more unlikely occurrence that someone reads this and then feels compelled to aid me in my goal of making some gains off of the downturn in our economy. Any money I receive, from either ads or donations, will be added to the investment base of my Housing Hedge Fund (HHF).

My first investment (Monday morning) is going to be $5000 of January 2010 put options for Centex. I plan on purchasing the $40 contracts (YYVMH.X). As mentioned above this is a high risk hedge fund. I will have %100 of its assets in one position. (Yes, I know that makes the term hedge fund a misnomer). I have watched this stock over the last couple of months, and done some research into their financials, and I feel that they have nowhere to go but down. I realize they have already taken a large hit, but they are losing money each quarter and I don't expect them to reverse this trend in the current environment. I welcome any and all comments on housing, investments, the economy, or anything else that is related thereto.