This is a guest post from my friend Nick who is a financial consultant in UK.

I take this oppurtunity to quickly present some ground rules for these turbulent times in financial markets.  Make your own judgement w.r.to risk-reward profile of yours.

– Do not commit to any long term debt, most particularly buying a house 
– Do not bottom fish in assets for a long time 
– Reduce family fixed cost base: rent house on a short contract, downsize expenses 
– Delay purchase of any big ticket goods in anticipation of sales Q3 2008 
– If a contractor, try to go permanent 
– If a City worker, avoid front office volume-driven jobs 
– If you have a relatively secure position at work, do not be lured away for more money, especially if it’s heavily weighted towards a bonus 
– Liquidate all assets. Hold cash across many banks below insured limit, and preferrably in different currencies 
– Save now on the assumption you will lose your income at any moment

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