Your customized headlines for Thu, Jul 12, 2012

Federal Reserve leaders are worried about the economy. Their assessment of economic growth and employment has worsened, and many think it could still get worse.

But they are deeply divided over what to do about it — whether to act, how to act, when to act, according to Wednesday's release of the minutes from the central bank's June policymaking meeting.

Europe's major banks have complied with demands that they bolster their reserves but only by relying heavily on government aid, accounting techniques, asset sales and methods other than raising cash from investors, the European Banking Authority reported on Wednesday.

The Republican-led House voted Wednesday to repeal President Obama's health-care law, a symbolic gesture meant to highlight the GOP's commitment to ending it despite a U.S. Supreme Court ruling that it is constitutional.

How is your portfolio doing since the 2008 financial crisis? If you're like most Americans, it's probably healed some. After all, stocks are up about 13 percent since October 2008. Bonds are up about 30 percent. ¶ "Winnie-the-Pooh" is doing a bit better. A 1926 first-edition copy of the fabled children's classic can fetch nearly four times what it did in 2008 — a return of almost 300 percent. ¶ "I'm holding the very first introduction of this character to every generation," said Patrizio Di Nicola, who snapped up a pristine copy of the book for $1,825 in October 2008. Today, similar copies retail for $7,000. "I don't ever have to worry if they're ever going to be worth anything." ¶ Beset by low yields, choppy markets and a flood of uncertainty from Europe's debt crisis, investors are increasingly looking to nontraditional assets to bolster their portfolios. The goal is to detach themselves from the ups and downs of stocks and bonds while building wealth in tangible items they enjoy. ¶ Some buy rare books, photos or paintings. Others allocate a portion of their savings to fine wines. Precious metals, in the form of gold coins as well as jewelry, are also popular. ¶"Collecting assets like art and jewelry is not only an emotional investment or a passion investment," said

Whenever there is turmoil in the markets, my phone lights up with calls from journalists, investors and potential clients. They are typically in a panic about the crisis of the moment and are calling for my take on the situation. ¶ In my decades as an investor and analyst on Wall Street, I have learned that panics come and go. They turn out not to be the main cause of investors' financial setbacks. Rather, what hurts most investors most is a failure to understand the basics of investing. Not grasping the simple mathematical drivers of returns invariably leads to very costly errors. ¶ The best time to make an investment plan is before a crisis, not during it. When the sky turns cloudy, you should follow your plan, including all "exit strategies." ¶ Consider these 10 points in the context of your own discretionary investments, 401(k)s and IRAs. Identify any errors you are making, and fix them now — before the next storm hits.

Federal Reserve leaders are worried about the economy. Their assessment of economic growth and employment has worsened, and many think it could still get worse.

But they are deeply divided over what to do about it — whether to act, how to act, when to act, according to Wednesday's release of the minutes from the central bank's June policymaking meeting.

Europe's major banks have complied with demands that they bolster their reserves but only by relying heavily on government aid, accounting techniques, asset sales and methods other than raising cash from investors, the European Banking Authority reported on Wednesday.