Emerging Markets

As our economy alternates between growing and sputtering, some industries, such as pharmaceuticals, remain relatively steady in the face of downturns. If you have high cholesterol, you're not likely to skimp on the Lipitor you get from Pfizer (NYSE: PFE), however the latest unemployment report reads.

If you're like me, you want to build wealth for life by beating the market. You want to stay ahead of the masses that stash their money in savings accounts (gasp!), bonds, and even index funds. But you certainly don't want to lose to them. There's no feeling worse than knowing that you'd be doing better by doing nothing. 

The failure last week of California bank IndyMac has many savers worried about whether their bank may be next. Images of customers standing in long lines to get their money evoked memories of the big bank runs during the Great Depression.

When it began, the financial engineering that got us into the current mortgage crisis actually made sense. On a purely mathematical basis, bundling mortgages together is a clever way for banks to reduce their risks while still earning the same expected returns on their investments.

Lately, if it comes from the ground, it's been as good as gold -- or sometimes, even better.

Oil's near its high of $135 a barrel, up from $70 less than a year ago. Precious metals have come off their highs but are still way above last year's levels. Even farm products like soybeans and corn have seen big price hikes lately.

"Well, it looks like we weathered through the bottom of this cycle pretty well." Thus said National Semiconductor (NYSE: NSM) CEO Brian Halla at the start of last night's earnings call, setting the tone for a surprisingly positive report.

Indonesia is a vast nation, consisting of 17,000 islands that stretch for more than 3,000 miles. It has 235 million citizens -- the fourth-largest population in the world -- and those citizens speak more than 500 languages.

You probably consider this title salacious, but "extreme" isn't even my word. It's Bill Nygren's. He said on his fund's fourth-quarter conference call, "The values that we're seeing today in financials and retailers are extreme."

This is your red-letter day, dear reader. If you hadn't happened on this article, your life might have unraveled in a most unfortunate way. You might have -- gasp! -- invested in mutual funds! As Shakespeare might say, "Heaven forfend!"

I am always looking for a good deal, whether that means buying an extra box of Frosted Flakes when they're on sale or pouncing on undervalued stocks. The idea that anybody would sell a stock for less than its worth may seem silly, but legendary value investor Ben Graham tells us, by way of allegory, how we can look out for these situations.

The market's malaise is a savvy fund investor's opportunity.

Stop rubbing your eyes. Do not adjust your set. Growth-stock investing is back.

Really.

It's natural for you to be skeptical. Growth stocks tend to be high-beta pills that fall sharply when the market tanks, and we're not exactly in a roaring bull market right now. Then again, the past few months have been kind to those willing to pay market premiums for companies growing their prospects quickly.

Actions speak louder than words, as the old saying goes. So why does the media focus so much attention on what Wall Street says about companies, instead of what it does with them?