The stock market has been taking a beating of late. However, this is the best time to buy. There has not been an opportunity like this in stocks in about the last 75 years. As Warren Buffett says, “we aspire to be greedy when others are fearful, and fearful when others are greedy.”

That is just what is going on here. I wrote on Garth Turner’s Greater Fool Blog: here, I said pretty much the same thing. I am not going to list the equities I currently hold on my blog, as I am still trying my best to buy up as many of the shares as I can at these bargain basement prices. I don’t want to encourage others to buy the same equities I am, I need to keep the prices down.

And that brings me to the other thing. If you are going to be buying equities, then make certain you are reinvesting the dividends. This gives you a massive tax break, and in times when share values are low (like now) you end up with a considerably larger number of overall shares. When the market recovers (as it will, but it takes time) you will have a larger number of great shares in a good company paying strong dividends, and a wonderful form of passive income. The catch is, you have to buy those equities now.