Advice From the 'Disciplined Investor'

Investing podcasts are a great way to catch up on market news and get new ideas, all during your morning or evening commute. Recently, I spoke with Andrew Horowitz, a Weston, Fla.-based investment adviser and host of the weekly podcast The Disciplined Investor. During his show, which lasts an hour or so, Horowitz says he aims to "bring the markets to life" with a mishmash of guests who include bloggers, analysts, journalists, and authors. Recent shows have featured discussions of the psychology of investing, the Enron Loophole, and guest John Perkins, author of Confessions of an Economic Hit Man.

Last week, I asked Horowitz to give me his best ideas for navigating the current market. His advice:

• Be nimble. "The whole 'buy and hold' idea is about to explode in everyone's face. You can't tell me that buying and holding GE forever is a good idea anymore," he says. "You need to be nimble and realize that there are many different ways to make money, and you can do it in up or down markets."

• Be skeptical. "Don't necessarily believe that just because something comes down it's a good buy, à la Washington Mutual, or pick your poison. What worked before doesn't necessarily work now," he says. "Make sure management has turned out consistent earnings. Stay away from the fads."

• Consider hedging your portfolio. "Hedging needs to be brought back to something used on a regular basis. People are caught up with hoping things will come back, but that's like driving without a seat belt," he says. "No one knows when the market will turn. Risk management is the best way to deal with that."