Oh, you cant see the whole ghost?
That should be a driver problem, usually when something's missing that means you have to update your drivers.
Try turning off a few options in the shader menu, or even turning on a few options to see if that works.
Also try deactivating then reactivating the ghost with the button b.
I'd guess it's because of the changes done in the 3.8's shader engine, it might need more then your card can handle.
Try messing with your card's 3d options, set it to quality or even high quality, that will boost the graphics quality but lower the performance, so it might work.