Simply put, investors should own less equities, more bonds, more global investments, more cash and more dry ammunition.

Investors should be cautiously positioned as the global economy and markets face major uncertainties. The downgrade will be a further headwind to growth and job creation in the U.S.

Investors should invest on what they know. The biggest mistake is to invest on what they don't know.

Investors have few spare tires left. Think of the image of a car on a bumpy road to an uncertain destination that has already used up its spare tire. The cash reserves of people have been eaten up by the recent market volatility.

America's downgrade may serve as a wakeup call for its policymakers. It is an unambiguous and loud signal of the country's eroding economic strength and global standing. It renders urgent the need to regain the initiative through better economic policymaking and more coherent governance.

The global realignment is accelerating the migration of growth and wealth dynamics from the industrial world to the larger emerging economies.