Hoping Is Not A Strategy...

So, I rebalanced my portfolio again. I sold a partial position of BAC and exchanged the moola for some BNHNA (Benihana) shares as well as another issue of Lehman bonds.

Price/Sales and Price/Book are both attractive enough for me with BNHNA. It's one of the Fair Weather Friends stocks I was talking about. The cash vs. debt situation is not great, but I think over the long term, this should change. I think I slightly overpaid, but that's OK. I got more shares out of this capital than I had with BAC.

The great thing about BNHNA is that it operates 9 Haru restaurants located in upscale areas. I noticed they used these modern chandeliers that I know are expensive because I was window shopping them once. The Haru restaurants don't seem to have a consistent interior design theme, but the online reviews are pretty positive. I'd have to do a Diva Taste Test next time I'm travelling. Based on its balance sheet, customer reviews, and the overall economic recovery, I think BNHNA should test the $20s again one day. I plan to add more of BNHNA and my other top secret Fair Weather Friends stock over the next few months.

With the issue of Lehman bonds I bought today, I potentially stand to at least recover my full investment in Lehman bonds if the rest of the bonds turn out to be worthless. Recall I was worried about my investment not paying off a few posts back. Finally, I decided to do something about it and bought this additional bond issue, which was a lot more than what I paid for my other ones. I plan to cash out on some of the bonds if they start trading substantially above my entry price. This most recent purchase is somehow up +7.33% already. I'm looking to potentially add more to my position if I can get in at a good price.

I am now waiting for all those investors who invested in bonds to get out of that market and jump into the equities pool. The most attractive yield in the bond market averages about 8.01% now on Municipals A bonds.

I think when the Lehman bankruptcy estate starts making distributions, we'll see another wave up in the markets.

So, yes, I have my rose-coloured glasses back on and whilst hoping is not a strategy, we cannot allow ourselves to lose hope!