The Trust-No-One Investing Plan

Corporate scandals got you scared of stocks? Try bonds, whose returns aren't as low as you think

It's only when the rinse cycle begins," a wise old friend of mine likes to say, "that you can tell how dirty the laundry really was." With Enron, Arthur Andersen, Henry Blodget and Dennis Kozlowski all sloshing back and forth in the muck, it has become clear to everyone that the late bull market in stocks was fueled partly with Potemkin profits, partly with bluster, partly with outright lies.

Yet I don't think you should get out of stocks; when the market puts shares on the bargain counter, logic dictates that you should buy, not sell. On the other hand, this...

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