A Comment -- General Comments From an Expert (A Commentary)

Oil. Feels current levels are a fair price. Doesn't expect it will grow as rapidly as people think. Potentially has the ability to go higher but at a slower pace than expected.

Natural gas. Seems to be trying to stabilize around $3.75. Natural gas has a very distinct seasonality from mid-August to mid-October. Coincides very nicely with the hurricane season. His preference would be to own the gassy stocks rather than gas itself. His preference would be the Natural Gas ETF (FCG-N). Inventory levels were very high last year but are now getting close to the bottom of their 5 year range.

Silver. Seasonality starts to turn positive around the end of September and goes right through until springtime. Because it is an industrial product, it tends to follow the industrial sector. Might be a little early, but a very interesting play going forward.

Crude Oil. Seasonality is from January to September. This year it is not following the seasonal trend and is under performing the markets itself. Currently it is in the downward trend.

Treasury bills maturing in one month. Be careful in the month of September. Markets are currently overbought after going very strongly for the last 4 weeks. 4 negative events happen every September. 1) Analysts overestimate earnings. 2) Hurricane season. 3) Consumer spending is down. 4) Lower confidence levels.

Treasury bills maturing in 2 months. You want to set yourself up so that right around October 28, (average date to reenter equity markets) you can put your money into equities.

Treasury bills maturing in 3 months. Gold and silver stocks do very well at this time of year. Agriculture historically goes from the beginning of July right through until the end of the year.

Market. Feels we are in a bottoming process here and in the economy so it may take a little time but there are some opportunities out there.

Gold. Feels that gold will still remain relatively strong, above $1500-$1600. He is biased that the gold stocks (versus bullion) will start to rise.

Oil. This is probably in some kind of a range. Not sure it has bottomed yet or not. Might retest its lows in the next couple of months. Europe has some issues to work out as does the US. Economically sensitive commodities, such as oil, could just continue to grind away.

A good time to invest in a NASDAQ ETF or mutual fund for 12-18 months? 12-18 months is really speculating, not investing.

Tax implications on US holdings in a TFSA? It doesn't really matter, as you do not pay interest going in or coming out.

Short-term bond funds for cash positions? There are 2 he would recommend. A 5 year laddered from Claymore (1-5 yr Government Bond ETF) (CLF-T) is basically 20% in 5 years and 20% in 4, 20% in 3, etc. There is also the DEX Short Term Bond (XSB-T).

Ratio of small caps, medium caps and large caps in a portfolio? He would encourage people to tilts more to small and mid rather than to large. Large caps usually have lower returns.

Bond ETF's. Does the low average volume represent a higher level of risk or cause greater volatility, particularly on the downside? He used to be concerned about this, but the more he looks, the more he realizes it is not an issue.