Integration/Deflation? There is a huge debate on this issue and he thinks it could go either way. If the Fed decides to monetize the current debt, there could be big inflation but if they put a clamp on the money supply we could have deflation. Do not expose yourself by buying long-term bonds. Some gold in your portfolio could act as a hedge.

He tends to be a big believer in this sector, the gaming space in general. Have a lot of debt, which is scary. If you own you are betting on their ability to refinance. The high yield market is in a lot better shape than in March so directionally he would be bullish.

Likes Johnson & Johnson (JNJ-N) and Merck & Co. (MRK-N) a little better but he likes the whole space. People are negative on pharmaceuticals because of a perception that the Obama administration is hostile to pharmaceuticals/healthcare in general. There is truth in that but the stock has gotten too cheap relative to its earnings. Some things are coming off patent but they have decent stuff in the pipeline. (See Top Picks.)

Had a near-death experience and almost went under in March. Have almost $100 billion of commercial paper outstanding so it is more of a finance company than people think. This one is too hard.

Good buy for the next 3-5 years? If you go that long he would say yes but he thinks there are still problems in housing. Not that cheap as a stock at about 16X earnings. Also has some problems with the quality of this company.

Trading at just about the lowest multiple it ever has at around 12. Likes it here. High quality name.

Made all those acquisitions and it is still very scary to him. Still a lot of unknowns. About to go through a bad real estate cycle.

This is only for the faint of heart. If you own he would recommend you sell as a tax loss.

This is only for the faint of heart. If you own he would recommend you sell as a tax loss.

Had a multiple of 35 PE, dropped to 30 and is now in the low 20's. Starting to get very interesting. Because it is a growth stock he can't own it. Still too big a multiple to him, but getting close.

High quality large-cap and is undervalued. Trading at the lowest multiple in its 20-year history. You're getting it at about 11X earnings.

They provide all the data to companies like Johnson & Johnson (JNJ-N) and Pfizer (PFE-N) on pharmaceuticals sales. If you are J&J and want to know what drug is selling where and how well they tell them. Now trading at 8X earnings. Very cheap.

The leading IT services company globally. Quality large-cap that has under performed this year. People are worried that they do a lot of business for a lot of large financial institutions but people are going to be outsourcing more and more of their technology and will be hiring more and more IT consultants. Very cheap at about 11X forward earnings.

(A Top Pick Aug 27/08. Down 35.7%.) With consumer pressures and oil going back up they have under performed. Very cheap stock and he is still recommending it.

(A Top Pick Aug 27/08. Down 23.9%.) Outperformed the market by a little bit.