The Global Financial Crisis 2008.

When I was writing this article I was shocked to here the flash news about Mumbai’s brutal terrorist attack where our collogues in other hotels and the ATS chef of Mumbai was shot dead by terrorist. My condolence to their families, it hurts us when we find innocent civilians and brave officers of our country are being targeted, but the question is during this crucial time when the world is witnessing global financial meltdown, what is our duty? Are we need to be panic? I believe that we are in the middle of a Financial Panic and Global Terrorism threat.
Many are hoping that things would get better and wanting to avoid adding to the panic.
I understand that approach. I don't want to add to the panic either. I didn't cause this mess, and I am very sorry for all who are hurt by brutal attach of terrorists. But I do believe that things have reached a point that we can only move on if we admit where we are, are we realistic about the situation, and make the best of it that we can. Being an ostrich will not improve our situation.
Citibank laying off 50,000 employees worldwide, consumer’s confidence at the lowest point, Sensex is down so many points etc . . . Where do I stop?
Have you talked to people losing their jobs and family members of those brave mans who sacrifice there life recently to save this nation or those who are struggling to meet a mortgage or being wiped out by money market? People are scared. They are terrified. They are in a "panic" that I believe will go down as one of the most important financial disasters in the past 200 years (Yes. That was 200, not 20). So why pretend everything is fine? Even better, why not look for opportunity?
"Next to my daughter I love a good panic more than anything else."
I hope the "downturn" is a short and silly one, but that is not what the data indicates. The most optimistic experts are now looking to mid 2009 as a possible bottom, but others are looking to 2010 or beyond, and fear a weak recovery when it finally comes.
Do your own research. Look at who made money then. You will find fairly big lilt of names around you.We may still have some significant pain to suffer, but there will be a phenomenal opportunity to make money in the very near future. We are still having trouble accepting that things are this messed up. So every new piece of depressing data immobilizes us like we were for months after the 9-11 tragedy -- frozen in front of our TVs, watching the twin towers getting hit over and over.
NOW is the time to get ready for the unprecedented opportunities. Somewhere in 2009 or 2010 the landscape will start to look different. You can hunker down until then or you can start looking for opportunities that will put you way ahead of the game.
We are on the verge of value opportunities that we haven't seen for at least 20 years.
Here are some of the opportunities I see which I shared with you.
Discounted notes. Opportunistic investors with capital will look first at discounted rate. With out regard to real value of the underlying asset, which may be compromised in varying amounts. This is an area where we expect price and value will take bigger adjustment faster. Look for the discount of 20 percent or more. Some are seeing what they believe are up to 30 percent now.
Recapitalizing distressed borrowers. One way to invest in the upside is to buy assets or outright equity in distressed owners needing capital to fund operations or to meet other financial challenges, may even step back into a passive position with little prospect of economic gain other than delaying. This is an area for creative and aggressive deal making with the assistance of a competent advisory team.
Equity purchases or investment. It's not "whether" it's going to come back, it's "when." Cash is king, so if you have money then get ready to jump in the game. How long should you wait before you jump in? Don't wait too long - a good deal is a good deal. I remember the 1992 when my father wanted to invest but he could not. "We don't know if it's low enough to buy yet; how long can we carry it?" A few years later my father use to say : "I should have bought everything I could." My friends who bought made a bundle.
Workouts. Workouts are an opportunity to harvest great value. Don't let this stop you! Hook up with those experts who have knowledge, energy, and capital and have been through the workout drill before. There is a ton of capital on the sidelines. Workouts will help the deal flow.
Mixed use and hotel mixed use. If you have the stamina and the intelligence, properties can be repurposed with great profit potential. Due carefulness is particularly critical here. If you don't know how to create a successful hotel regime, then you don't know the right questions to ask to see if your potential investment can succeed, or to develop the exit strategies!

I asked so many people about the future of our economy. At least 90% of them said they are optimists! It's a good thing too. These are the people who will do the deals they will help to get the economy back on track. Some of them will even make a fortune.
This current environment will continues to provide great opportunity and . . .danger. Fortunes will be made . . . or lost in the coming months.