This is a dip to be bought, not the start of something worse. The 7% pullback in Australian shares over the past month has created an opportunity to go overweight in a balanced portfolio. Bonds and cash continue to offer paltry, real value destroying returns, property has become too hot, the Australian dollar has moved - substantially eroding the upside from global equities - leaving Australian shares and their franking credits as the standout for domestic investors. I'm seeing a few blue chip stocks PE's trading below 12x FY15E and with yields around 6% like Australia and New Zealand Banking Grp Ltd (ANZ), Bank of Queensland (BOQ) & Insurance Aust. Grp (IAG) . Before this correction, many commentators anticipated a -10% correction, my guess is we'll probably only fall -8% because asset managers are circling for value & Interest rates are at generational lows which means lack of alternative asset class opportunities.