My original rational for my eight picks remains intact as far as I'm concerned, and although they are down I still like all of them for the year. See Chasing Value: Final list -- 8 stocks for 2008 for the original story. In January, I added Newcastle Investment Corp. (NYSE: NCT) and Huaneng Power (NYSE:HNP) to my holdings. I made no additions in February or March among these stocks. The only purchase we made in March was noted in Chasing Value: Tiffany is looking more polished and that has performed very well.

This month the average return for my eight picks was a loss of -15.96%, almost doubling the -8.06% through February. This under-performed the average return of the indices: -11.19%. This years stalking horse, Berkshire Hathaway (NYSE: BRK.B), sagged a little during the month, still besting both my average and overall indices average. So once more, I must take my hat off to 'my pal Warren'.

Now, including dividends for my picks, which average 3.91% yield divided by four for the three months, allows for an additional .978%, reducing the loss to -14.98%. Using 1.8% for the average dividend of the indices divided by 4 adds 0.45%, reduces the loss to -10.74%. Nothing can make my picks look good this month. BRK.B does not pay a dividend.

Newcastle Investments reduced its dividend by two-thirds in March (going forward) to increase liquidity and possibly buy back shares. In the coming months I will account for this and reduce the accrued dividends proportionally.

I hope 2008 does not end up being about who loses the least, instead of who makes the most. The following are my eight picks with the starting share price as of December 28, 2007:

• Anglo American plc (ADR) (NASDAQ: AAUK) from $30.79 is Down to $29.77 for a loss of -3.31%.
• Bunge Limited (NYSE: BG) from $119.03 it's down to $86.88 for a loss of -27%.
• Huaneng Power International, Inc. (ADR) (NYSE: HNP) from $41.75 is down to $30.54 for a loss of -26.85%.
• Loews Corp. (NYSE: LTR) from $49.35 is down to $40.22 for a loss of -18.50%.
• Newcastle Investment Corp. (NYSE: NCT) from $13.08 is down to $8.26 for a loss of -36.85%.
• Raytheon Co. (NYSE: RTN) from$61.51 is UP to $64.61 for a gain of +5.04%.
• Reliance Steel & Aluminum (NYSE: RS) from $54.32 is Up to $59.86 for a gain of +10.2%.
• Valero Energy Corp. (NYSE: VLO) from $70.55 is down to $49.11 for a loss of -30.39%.

The Indices:

• Dow Jones Industrial Average: 13,365.87 dropped to 12,262.89 for a loss -8.25%
• NASDAQ Composite Index: 2,674.46 dropped to 2,279.10 for a loss -14.78%
• Standard & Poor's 500 Index: 1,478.49 dropped to 1,322.70 for a loss -10.54%

This year's "stalking horse" Berkshire Hathaway (NYSE: BRK.B). I am tracking the 'B' shares, not the more expensive 'A' shares. The B shares are down from $4,685 to $4,472.90 for a loss of -4.53%. This is the first month Berkshire has had much of a loss, but it still bested most everything else....so 'my pal Warren' outperformed all of the indices and my average as well. As was the case last month, individually RTN (defense sector), AAUK and RS (metals) made a better showing.

The Federal Reserve Chairman Bernanke, speaking before Congress used the recession word quite freely, and again shared his willingness to lower interest rates again.

Sheldon Liber is the CEO of a small private investment company and the principal for design and research at an architecture & planning firm. He writes the columns Chasing Value and Serious Money. DISCLOSURE: I currently own shares of AAUK, BRK.B, HNP, NCT, and VLO. (and TIF)