Archive

Archive for the ‘OPTIONS’ Category

Forget Buy & Hold – Here are 3 Easy Steps to Actively Manage Your Investment Risk

March 16th, 2012

An important debate is still unfolding amongst investors and advisors – Is Buy & Hold dead? Does it really still make sense to buy a stock or ETF and ignore strong signs that reflect increased risk that could seriously threaten returns? While some Read more…

ETF, OPTIONS, Uncategorized

A New Risk Indicator To Sidestep Market Downturns: Is It Better Than VIX?

November 14th, 2011

Without question the most popular model to predict market crashes is the VIX, commonly referred to as the “Fear Gauge,” a market index that measures the implied volatility of the S&P 500 index options. Its concept is quite simple, when the uncertainty and fear among Read more…

ETF, OPTIONS, Uncategorized

ETFs Turn Exotic – Protect yourself

October 17th, 2011

Investments that do not move in tandem with U.S. stocks present opportunities for diversification and potential performance Read more…

Commodities, ETF, OPTIONS, Real Estate, Uncategorized

CANCEL your Weiss subscriptions and I will “pay” you $9,581!

June 12th, 2011

The powerful economic changes we’ve been warning you about have now begun to hit the U.S. economy where it hurts.

So to help make sure you’re completely ready for the huge volatility ahead, I want to change our relationship in a very fundamental way.

To make that possible, I will “pay” you $9,581 to immediately cancel your current Weiss Research subscription, and in a moment I’ll explain exactly how and why.

That’s nearly $10,000 for you.

All you have to do is decide whether you want to accept it or not.

But don’t worry: If you decide to go for it, I’ll still be there for you through thick and thin. So will Mike Larson, Larry Edelson, Nilus Mattive, Sean Brodrick, and everyone else on our team.

In fact, if you cancel your subscriptions right now, you can get ALL of the services and profit opportunities that ALL of our analysts offer for as long as you want, and STILL get the $9,581 IN ADDITION to all our services.

Unbelievable? Perhaps. But it’s true.

You cancel your subscriptions. You get EVERYTHING we publish today — every service, every recommendation, every video or email.

You get them FOREVER.

Plus, you’ll also get ALL the new Weiss publications we introduce in the future.

And on top of everything, you get “paid” $9,581!

Yes, I agree. It IS hard to believe. But it’s a fact. And by the time you finish reading this letter, you’ll know everything you need to know to claim your $9,581.

It’s an opportunity that I am offering exclusively to a small, select group of our subscribers, but only for TEN DAYS. The opportunity expires promptly at midnight, Saturday, June 18th. I have selected this ten-day window right now because of the dramatic events that have just begun to unfold!

Nationwide, housing prices have just made new lows. Unemployment is rising again. We have an obvious downturn in the U.S. economy.

We see a rapid deterioration in U.S. bank finances.

Plus, we are facing landmark budget battles in Washington — and a Congress sworn to block any major new bailouts or stimulus schemes.

I don’t want you to be hurt by the fall-out or miss any of the dramatic opportunities this crisis has already begun to generate.

Plus, there’s another, very practical reason I have limited this offer to a small group of investors and strictly for this ten-day window: Because of the mixed impact this kind of monumental give-away can have on my business.

I’ve been running this company without interruption for 40 years straight, and if you consider the legacy of my father’s companies before me, we have an 80-year Weiss family tradition of guiding investors to safety and wealth building opportunities.  

I’m in great health and have a solid team of successors to keep the business going for decades to come.

So now let me explain the new kind of relationship we can have and how it works:

It’s my Weiss Inner Circle.

My Inner Circle is the most intimate, most elite, and most private group of friends and clients among our entire family of 400,000 readers and subscribers.

The idea is very straightforward: You get every newsletter, every VIP trading service, every rating, every research report, and EVERY PROFIT OPPORTUNITY that ALL of the Weiss divisions currently have to offer.

You get every single Weiss publication we launch in the future. You get them for as long as we publish them — and as long as you want them.

You get all that FOR LIFE — for less than the cost of just ONE YEAR of those services.

You’ll receive our in-depth monthly investment newsletters — the widely acclaimed Safe Money Report, Real Wealth Report, Income Superstars, Crisis Profit Hunter and Asia Stock Alert.

You’ll get our high-end global VIP trading services, including Emerging Market Winners, International ETF Trader, Red-Hot Global Resources, and Crisis Trader.

You’ll be welcomed with open arms to our million-dollar portfolios, which, with this rare exception we’re making for you now, are CLOSED to all new investors!

They include our Million-Dollar Contrarian Portfolio, our Million-Dollar Rapid Growth Portfolio and our Weiss Million-Dollar Ratings Portfolio.

To underscore my confidence in these investment approaches, I have invested $1 million of my own money in each one! And you can not only track what I do with my own money but actually buy or sell BEFORE I do.

You’ll get our fast-paced, ultrahigh-profit-potential options research services, including Resource Windfall Trader, LEAPS Options Alert, and World Currency Trader.

Perhaps most exciting of all, you’ll be among the first to get the new Weiss service we’re getting ready to launch in a few weeks — not to mention all the new ones we introduce in the months to come.

Plus, There’s One Big Extra Bonus
You’ll Receive That No One Else Will.

You see, up until now, whenever our analysts in Asia, Europe, Latin America or right here in the U.S. have come across major profit opportunities in certain, unique small, but innovative companies, I’ve told them NOT to recommend them.

As you might imagine, this has frustrated the hell out of our analysts who find precious little gems they’d love to recommend to their subscribers.

Still, I have drawn a line in the sand on this issue. We simply cannot recommend these investments to thousands of investors. It would make it difficult for investors to get in — or out — at a fair price.

And that’s a shame — because as you know, it’s these smaller companies that can often post some of the most explosive gains!

The great news is, you can have full access to these kinds of recommendations as a member of my Weiss Inner Circle!

Since my Weiss Inner Circle is a very intimate, VIP group, I have given our analysts the green light to recommend these special opportunities exclusively to Weiss Inner Circle members.

This way, savvy investors like you can take advantage of these stellar, extremely high profit potential companies all over the world.

The profits from just this one benefit ALONE could cover the entire cost of membership in my Weiss Inner Circle.

In addition,

You’ll Be Among the Very First to
Get the Brand-New Service We’re
Launching THIS Month!

It’s devoted to an extremely high-powered new investment vehicle.

We’ll give you the opportunity to try it out before virtually everyone else in the world.

And then when we launch it to the general public, it will cost at least $2,500 PER YEAR. But it will be yours FOR LIFE with your membership in my Weiss Inner Circle.

And there’s more.

In recent months, we have inaugurated some incredibly valuable services and offered them FIRST to Weiss Inner Circle members.

For example, members of our Weiss Inner Circle were the first to gain unlimited access to the proprietary research we have on 40,000 companies and investments.

That includes every public company in the U.S., ranging from the smallest upstart to the largest blue chip. Plus, it also includes every exchange traded fund (ETF) and mutual fund.

We also cover nearly every U.S. bank, credit union, and insurance company.

And all of this research is based on the objective ratings we originally developed.

If you want our research on any institution, you can get it instantly. If you want reports on a hundred institutions of your choice, they’re yours.

Or if you want our help to SEARCH through the strongest among THOUSANDS of institutions, that’s also a part of your membership.

Grab our research as often as you like …

Claim as many reports as you like …

There are absolutely NO LIMITATIONS!

The more investments you have, the more banks or insurers you do business with, and the more you use this incredibly timely, accurate resource, the more profitable it could be for you.

Value: Immense and unlimited!

And there’s another very unique benefit to my Weiss Inner Circle — a benefit that flows directly and naturally from our 80-year history. It’s the Weiss Family Program, which I’ll explain to you in just a moment.

But …

Please Don’t Underestimate the
Exclusive Value of This Membership.

I will never send this invitation to the general public.

I am sending this invitation exclusively to our most loyal subscribers, representing only a small fraction of our readers. And we have set aside only a very tiny number of Weiss Inner Circle memberships — enough for only 2% of our loyal subscribers.

So I am asking you not share this invitation with anyone else.

Now, if you know me, you know I devote a lot of my time and heart to helping the average investor. So I’d love to help everyone if I could. But since many of the investments made available to our Inner Circle members are often smaller special opportunities, we MUST strictly limit the number of memberships we make available.

That’s why I’d like you to keep this to yourself and your closest family members only.

Most important, I recommend that you NOT wait until the end of this ten-day window. Membership is first come first served. If all the available memberships are taken BEFORE the last day, we will close the doors sooner.

In other words, the BEST time to collect your $9,581 is right now.

So now let me explain precisely how you can effectively get paid $9,581 — and at the same time cancel your Weiss Research subscriptions.

Remember what I said at the outset: A membership in the Weiss Inner Circle costs LESS than one year of the services that members receive.

You can get a lifetime membership in all our investment newsletters … all our fast-paced ETF and stock trading services … all of our million-dollar portfolios … all of our extreme high-profit-potential options services … PLUS unlimited access to our research on all 40,000 companies based on the ratings we originally developed.

And you get it all for LESS than the DISCOUNTED price of what you’d pay for a single year.

On top of that, you get all the Weiss publications we will launch in the future.

In the first year alone, you’ll immediately save a whopping $9,581! That’s how I “pay” you this money immediately.

If you got only ONE YEAR of our services and nothing more, you’d already have a huge benefit — nearly $10,000.

But that’s just the beginning …

By the second year, you’ll have saved $27,983.

By year five, you will have saved $83,189!

And in year ten, your total savings will add up to a whopping $175,199!

WITHOUT even including the value of the new services we’re going to be adding — typically a few per year.

In this letter, I’m going to tell you about many of the services you will get, including a few that sometimes go for large triple-digit gains.

But before I do, I want to make sure you understand the context.

It’s important to point out that those large triple-digit gains are NOT always possible, and you should NOT go into any of our services with the expectation that they are the norm.

Normally, most investors are thrilled to bank single- and double-digit profits, and so are we.

And typically, it’s only when great events make markets more volatile that it’s possible to make the far larger gains.

The recent huge rises in oil, gold and other commodity prices are good examples. So is the dramatic decline of the U.S. dollar recently. The collapse of major banks in 2008-2009 also provided some unique megaprofit opportunities. And with the U.S. economy now weakening, with a big budget battle looming and major new global money flows on the immediate horizon, we anticipate similar — or bigger — market moving events ahead.

But it’s also important to remember that all investments involve risk of loss. Nobody I know — including our analysts, who I feel are among the best in the world — can win 100% of the time. Losses, even losing streaks, come with the territory.

The good news is that, with expert guidance and prudent risk management, the historic events we’re now seeing in the U.S. economy, the currency markets and in commodities offer us opportunities that other generations of investors could only dream about. With that in mind, let me tell you about the first new service we’re going to be adding THIS MONTH.

It’s by the world’s most consistently successful trader I have known or probably ever will know. And what’s unique about it is that he HAS been a consistent big winner year after year.

I can’t reveal his name right now. But when I do reveal it this month, you’ll probably recognize him instantly since he’s been such a regular guest on CNBC, Fox News, CNN … and because he’s been quoted so often in the most widely respected websites, journals and blogs all over the world.

What many people do NOT know about him is that he’s been making recommendations to a very small, private group of investors who could have used them to make a fortune.

His track record since he began in 2004 through May of this year, which we’ve verified trade by trade, shows a total return — including winners and losers — of 1,133.2% — enough to make you more than 11 times richer!

If you had started with $10,000, you could now have over $120,000. If you had invested $25,000, you could now have over $300,000. And if you had started with $100,000, you’d now have over $1.2 million.

An astonishing 69% of trades were winners — and the AVERAGE return on each winner was 87.4% — nearly a double, while the average loss on losing trades was only 32%.

Of course, past performance is no guaranty of future success because the vehicles he uses and market conditions can change. But I have personally been getting his trading signals; and I’ve seen, in real time, how consistently accurate they’ve been.

That’s important. And it’s why we’ve decided to add a new service he’ll be running to our Weiss Inner Circle this month.

Normally, investors would pay up to $5,000 for his trading signals, and even if we decide to offer a discount for Charter members, they will still pay close to $2,500 — for one year. But as a member of my Weiss Inner Circle, you will get them as part of your lifetime membership.

As a member of my Weiss Inner Circle, you will also get a lifetime membership in Mike Larson’s LEAPS Options Alert.

In most respects, LEAPS options — or simply LEAPS — are just like any other stock option. They’re generally inexpensive. And their purchase offers you virtually unlimited profit potential with your risk on each trade strictly limited to their cost plus a small broker commission.

But LEAPS give you a critical advantage that ordinary options do not: They can give you far more TIME to work in your favor — up to THREE YEARS! While most other options expire in just a few months, you can buy LEAPS right now that won’t expire until 2014!

This makes LEAPS excellent vehicles for two goals that are especially critical today:

  • To serve as “crash insurance,” helping to PROTECT your portfolio against losses; and
  • To GROW your wealth rapidly — especially helpful in declining markets.

Take Phase I of this great debt crisis, for instance: Had you purchased long-term LEAPS on each of the stocks we warned you about well in advance — the very same stocks we NAMED as candidates for failure — you could have banked …

CANCEL your Weiss subscriptions and I will “pay” you $9,581!

June 12th, 2011

The powerful economic changes we’ve been warning you about have now begun to hit the U.S. economy where it hurts.

So to help make sure you’re completely ready for the huge volatility ahead, I want to change our relationship in a very fundamental way.

To make that possible, I will “pay” you $9,581 to immediately cancel your current Weiss Research subscription, and in a moment I’ll explain exactly how and why.

That’s nearly $10,000 for you.

All you have to do is decide whether you want to accept it or not.

But don’t worry: If you decide to go for it, I’ll still be there for you through thick and thin. So will Mike Larson, Larry Edelson, Nilus Mattive, Sean Brodrick, and everyone else on our team.

In fact, if you cancel your subscriptions right now, you can get ALL of the services and profit opportunities that ALL of our analysts offer for as long as you want, and STILL get the $9,581 IN ADDITION to all our services.

Unbelievable? Perhaps. But it’s true.

You cancel your subscriptions. You get EVERYTHING we publish today — every service, every recommendation, every video or email.

You get them FOREVER.

Plus, you’ll also get ALL the new Weiss publications we introduce in the future.

And on top of everything, you get “paid” $9,581!

Yes, I agree. It IS hard to believe. But it’s a fact. And by the time you finish reading this letter, you’ll know everything you need to know to claim your $9,581.

It’s an opportunity that I am offering exclusively to a small, select group of our subscribers, but only for TEN DAYS. The opportunity expires promptly at midnight, Saturday, June 18th. I have selected this ten-day window right now because of the dramatic events that have just begun to unfold!

Nationwide, housing prices have just made new lows. Unemployment is rising again. We have an obvious downturn in the U.S. economy.

We see a rapid deterioration in U.S. bank finances.

Plus, we are facing landmark budget battles in Washington — and a Congress sworn to block any major new bailouts or stimulus schemes.

I don’t want you to be hurt by the fall-out or miss any of the dramatic opportunities this crisis has already begun to generate.

Plus, there’s another, very practical reason I have limited this offer to a small group of investors and strictly for this ten-day window: Because of the mixed impact this kind of monumental give-away can have on my business.

I’ve been running this company without interruption for 40 years straight, and if you consider the legacy of my father’s companies before me, we have an 80-year Weiss family tradition of guiding investors to safety and wealth building opportunities.  

I’m in great health and have a solid team of successors to keep the business going for decades to come.

So now let me explain the new kind of relationship we can have and how it works:

It’s my Weiss Inner Circle.

My Inner Circle is the most intimate, most elite, and most private group of friends and clients among our entire family of 400,000 readers and subscribers.

The idea is very straightforward: You get every newsletter, every VIP trading service, every rating, every research report, and EVERY PROFIT OPPORTUNITY that ALL of the Weiss divisions currently have to offer.

You get every single Weiss publication we launch in the future. You get them for as long as we publish them — and as long as you want them.

You get all that FOR LIFE — for less than the cost of just ONE YEAR of those services.

You’ll receive our in-depth monthly investment newsletters — the widely acclaimed Safe Money Report, Real Wealth Report, Income Superstars, Crisis Profit Hunter and Asia Stock Alert.

You’ll get our high-end global VIP trading services, including Emerging Market Winners, International ETF Trader, Red-Hot Global Resources, and Crisis Trader.

You’ll be welcomed with open arms to our million-dollar portfolios, which, with this rare exception we’re making for you now, are CLOSED to all new investors!

They include our Million-Dollar Contrarian Portfolio, our Million-Dollar Rapid Growth Portfolio and our Weiss Million-Dollar Ratings Portfolio.

To underscore my confidence in these investment approaches, I have invested $1 million of my own money in each one! And you can not only track what I do with my own money but actually buy or sell BEFORE I do.

You’ll get our fast-paced, ultrahigh-profit-potential options research services, including Resource Windfall Trader, LEAPS Options Alert, and World Currency Trader.

Perhaps most exciting of all, you’ll be among the first to get the new Weiss service we’re getting ready to launch in a few weeks — not to mention all the new ones we introduce in the months to come.

Plus, There’s One Big Extra Bonus
You’ll Receive That No One Else Will.

You see, up until now, whenever our analysts in Asia, Europe, Latin America or right here in the U.S. have come across major profit opportunities in certain, unique small, but innovative companies, I’ve told them NOT to recommend them.

As you might imagine, this has frustrated the hell out of our analysts who find precious little gems they’d love to recommend to their subscribers.

Still, I have drawn a line in the sand on this issue. We simply cannot recommend these investments to thousands of investors. It would make it difficult for investors to get in — or out — at a fair price.

And that’s a shame — because as you know, it’s these smaller companies that can often post some of the most explosive gains!

The great news is, you can have full access to these kinds of recommendations as a member of my Weiss Inner Circle!

Since my Weiss Inner Circle is a very intimate, VIP group, I have given our analysts the green light to recommend these special opportunities exclusively to Weiss Inner Circle members.

This way, savvy investors like you can take advantage of these stellar, extremely high profit potential companies all over the world.

The profits from just this one benefit ALONE could cover the entire cost of membership in my Weiss Inner Circle.

In addition,

You’ll Be Among the Very First to
Get the Brand-New Service We’re
Launching THIS Month!

It’s devoted to an extremely high-powered new investment vehicle.

We’ll give you the opportunity to try it out before virtually everyone else in the world.

And then when we launch it to the general public, it will cost at least $2,500 PER YEAR. But it will be yours FOR LIFE with your membership in my Weiss Inner Circle.

And there’s more.

In recent months, we have inaugurated some incredibly valuable services and offered them FIRST to Weiss Inner Circle members.

For example, members of our Weiss Inner Circle were the first to gain unlimited access to the proprietary research we have on 40,000 companies and investments.

That includes every public company in the U.S., ranging from the smallest upstart to the largest blue chip. Plus, it also includes every exchange traded fund (ETF) and mutual fund.

We also cover nearly every U.S. bank, credit union, and insurance company.

And all of this research is based on the objective ratings we originally developed.

If you want our research on any institution, you can get it instantly. If you want reports on a hundred institutions of your choice, they’re yours.

Or if you want our help to SEARCH through the strongest among THOUSANDS of institutions, that’s also a part of your membership.

Grab our research as often as you like …

Claim as many reports as you like …

There are absolutely NO LIMITATIONS!

The more investments you have, the more banks or insurers you do business with, and the more you use this incredibly timely, accurate resource, the more profitable it could be for you.

Value: Immense and unlimited!

And there’s another very unique benefit to my Weiss Inner Circle — a benefit that flows directly and naturally from our 80-year history. It’s the Weiss Family Program, which I’ll explain to you in just a moment.

But …

Please Don’t Underestimate the
Exclusive Value of This Membership.

I will never send this invitation to the general public.

I am sending this invitation exclusively to our most loyal subscribers, representing only a small fraction of our readers. And we have set aside only a very tiny number of Weiss Inner Circle memberships — enough for only 2% of our loyal subscribers.

So I am asking you not share this invitation with anyone else.

Now, if you know me, you know I devote a lot of my time and heart to helping the average investor. So I’d love to help everyone if I could. But since many of the investments made available to our Inner Circle members are often smaller special opportunities, we MUST strictly limit the number of memberships we make available.

That’s why I’d like you to keep this to yourself and your closest family members only.

Most important, I recommend that you NOT wait until the end of this ten-day window. Membership is first come first served. If all the available memberships are taken BEFORE the last day, we will close the doors sooner.

In other words, the BEST time to collect your $9,581 is right now.

So now let me explain precisely how you can effectively get paid $9,581 — and at the same time cancel your Weiss Research subscriptions.

Remember what I said at the outset: A membership in the Weiss Inner Circle costs LESS than one year of the services that members receive.

You can get a lifetime membership in all our investment newsletters … all our fast-paced ETF and stock trading services … all of our million-dollar portfolios … all of our extreme high-profit-potential options services … PLUS unlimited access to our research on all 40,000 companies based on the ratings we originally developed.

And you get it all for LESS than the DISCOUNTED price of what you’d pay for a single year.

On top of that, you get all the Weiss publications we will launch in the future.

In the first year alone, you’ll immediately save a whopping $9,581! That’s how I “pay” you this money immediately.

If you got only ONE YEAR of our services and nothing more, you’d already have a huge benefit — nearly $10,000.

But that’s just the beginning …

By the second year, you’ll have saved $27,983.

By year five, you will have saved $83,189!

And in year ten, your total savings will add up to a whopping $175,199!

WITHOUT even including the value of the new services we’re going to be adding — typically a few per year.

In this letter, I’m going to tell you about many of the services you will get, including a few that sometimes go for large triple-digit gains.

But before I do, I want to make sure you understand the context.

It’s important to point out that those large triple-digit gains are NOT always possible, and you should NOT go into any of our services with the expectation that they are the norm.

Normally, most investors are thrilled to bank single- and double-digit profits, and so are we.

And typically, it’s only when great events make markets more volatile that it’s possible to make the far larger gains.

The recent huge rises in oil, gold and other commodity prices are good examples. So is the dramatic decline of the U.S. dollar recently. The collapse of major banks in 2008-2009 also provided some unique megaprofit opportunities. And with the U.S. economy now weakening, with a big budget battle looming and major new global money flows on the immediate horizon, we anticipate similar — or bigger — market moving events ahead.

But it’s also important to remember that all investments involve risk of loss. Nobody I know — including our analysts, who I feel are among the best in the world — can win 100% of the time. Losses, even losing streaks, come with the territory.

The good news is that, with expert guidance and prudent risk management, the historic events we’re now seeing in the U.S. economy, the currency markets and in commodities offer us opportunities that other generations of investors could only dream about. With that in mind, let me tell you about the first new service we’re going to be adding THIS MONTH.

It’s by the world’s most consistently successful trader I have known or probably ever will know. And what’s unique about it is that he HAS been a consistent big winner year after year.

I can’t reveal his name right now. But when I do reveal it this month, you’ll probably recognize him instantly since he’s been such a regular guest on CNBC, Fox News, CNN … and because he’s been quoted so often in the most widely respected websites, journals and blogs all over the world.

What many people do NOT know about him is that he’s been making recommendations to a very small, private group of investors who could have used them to make a fortune.

His track record since he began in 2004 through May of this year, which we’ve verified trade by trade, shows a total return — including winners and losers — of 1,133.2% — enough to make you more than 11 times richer!

If you had started with $10,000, you could now have over $120,000. If you had invested $25,000, you could now have over $300,000. And if you had started with $100,000, you’d now have over $1.2 million.

An astonishing 69% of trades were winners — and the AVERAGE return on each winner was 87.4% — nearly a double, while the average loss on losing trades was only 32%.

Of course, past performance is no guaranty of future success because the vehicles he uses and market conditions can change. But I have personally been getting his trading signals; and I’ve seen, in real time, how consistently accurate they’ve been.

That’s important. And it’s why we’ve decided to add a new service he’ll be running to our Weiss Inner Circle this month.

Normally, investors would pay up to $5,000 for his trading signals, and even if we decide to offer a discount for Charter members, they will still pay close to $2,500 — for one year. But as a member of my Weiss Inner Circle, you will get them as part of your lifetime membership.

As a member of my Weiss Inner Circle, you will also get a lifetime membership in Mike Larson’s LEAPS Options Alert.

In most respects, LEAPS options — or simply LEAPS — are just like any other stock option. They’re generally inexpensive. And their purchase offers you virtually unlimited profit potential with your risk on each trade strictly limited to their cost plus a small broker commission.

But LEAPS give you a critical advantage that ordinary options do not: They can give you far more TIME to work in your favor — up to THREE YEARS! While most other options expire in just a few months, you can buy LEAPS right now that won’t expire until 2014!

This makes LEAPS excellent vehicles for two goals that are especially critical today:

  • To serve as “crash insurance,” helping to PROTECT your portfolio against losses; and
  • To GROW your wealth rapidly — especially helpful in declining markets.

Take Phase I of this great debt crisis, for instance: Had you purchased long-term LEAPS on each of the stocks we warned you about well in advance — the very same stocks we NAMED as candidates for failure — you could have banked …

Buy This Fund Manager for 50% Upside Potential

June 8th, 2011

Buy This Fund Manager for 50% Upside Potential

In the 1990s, not owning a Janus mutual fund in any of your investment accounts was tantamount to having to carry a Waltons lunch box at an all boys school in fourth grade. Believe me, I know what the word “ostracized” means and I really don't want to talk about it anymore. Anyway, Janus was one of the hottest of the hot growth fund managers during the tech-bubble era. Its flagship Janus Fund and high octane growth Janus Twenty fund took in billions and billions of dollars.

If you wanted aggressive growth back then, Janus was the go-to shop. Then, like an angry DJ pulling the record player arm off of the L.P., the music stopped…

Janus Capital Group Inc. (NYSE: JNS) was born in the late 1960s as Stillwell Financial, a subsidiary of Kansas City Southern Industries (NYSE: KSU), the parent company of the Kansas City Southern Railroad. l don't know about you, but when I think “railroads,” mutual funds always come to mind. But such was the fancy of 1960s and 1970s industrial conglomerates. (Remember Gulf and Western?) Anyway, the firm, so named for its flagship Janus Fund, switched to its current moniker permanently in 2003.

A 400% dividend hike and a tradition of superior growth management
One of my favorite sayings that can be applied to investing comes from hockey legend Wayne Gretzky: “I skate to where the puck is going to be!” Everyone who fancies themselves as an investment picker should have that tattooed on the palm of their hand and look at it at least 10 times daily. Back in the day, it seemed that Janus was always in scoring position.

The company turned in stellar numbers in the 1990s and produced rock-star fund managers, most notably Tom Marsico, who went on to fame and fortune at the helm of his own firm, Marsico Capital Management.

However, when the bubble burst, Janus experienced plenty of the associated heartache that included investor flight and participation in a Securities and Exchange Commission investigation into market timing for favored clients in 2003. The punishment came down in the form of Janus shelling out a cool $262 million in fines. Ouch.

But after the downturn of 2000-2002, large-cap growth (Janus' core competency) was out of style. Oil, gold, emerging markets, real estate, bonds and other asset sleeves have outperformed for nearly a decade. Still, all the while Janus has still been able to produce superior results: 42% of Janus' funds have either a four- or five-star ranking from Morningstar.

But all that may be changing. In the past few months, the broader equity markets have seen a significant shift from commodity-related stocks and international names to domestic (U.S. equity) industrials, transports, consumer staples, even utilities. The larger theme here, though, is that things are tilting toward U.S. large-cap equities, which is definitely in Janus' wheelhouse.

Is it Janus' time to rise?

At the end of March, Janus had about $173.5 billion under management compared with $165 million in 2010. In 2010, revenue recovered to $834.5 million, better than its 2008 level of $826.7 million and way better than the anemic 2009 revenue number of $684 million. This year is on track to improve on that number. First-quarter revenue came in at $265.4 million and is projected by analysts to total $922 million for the whole year, good for an increase of nearly 10.5% from last year. With its recent first-quarter report, the company also delivered a nice annual dividend boost from $0.04 to $0.20. This would put the current yield at around 2.1%. I'd say a 400% dividend hike is a good sign.

When tech stocks cratered, so did Janus. About 11 years ago, Janus was a $50-plus stock. The popping of the tech bubble and the economic slowdown attributed to 9/11 brought shares down to around $10 (see chart below). There was some nice movement back up to $30 during the highest period of the 2005-housing boom. However, thanks to the financial crisis of 2008, shares are back to their post-9/11 level.

Mutual Fund, OPTIONS, Real Estate, Uncategorized

Buy This Fund Manager for 50% Upside Potential

June 8th, 2011

Buy This Fund Manager for 50% Upside Potential

In the 1990s, not owning a Janus mutual fund in any of your investment accounts was tantamount to having to carry a Waltons lunch box at an all boys school in fourth grade. Believe me, I know what the word “ostracized” means and I really don't want to talk about it anymore. Anyway, Janus was one of the hottest of the hot growth fund managers during the tech-bubble era. Its flagship Janus Fund and high octane growth Janus Twenty fund took in billions and billions of dollars.

If you wanted aggressive growth back then, Janus was the go-to shop. Then, like an angry DJ pulling the record player arm off of the L.P., the music stopped…

Janus Capital Group Inc. (NYSE: JNS) was born in the late 1960s as Stillwell Financial, a subsidiary of Kansas City Southern Industries (NYSE: KSU), the parent company of the Kansas City Southern Railroad. l don't know about you, but when I think “railroads,” mutual funds always come to mind. But such was the fancy of 1960s and 1970s industrial conglomerates. (Remember Gulf and Western?) Anyway, the firm, so named for its flagship Janus Fund, switched to its current moniker permanently in 2003.

A 400% dividend hike and a tradition of superior growth management
One of my favorite sayings that can be applied to investing comes from hockey legend Wayne Gretzky: “I skate to where the puck is going to be!” Everyone who fancies themselves as an investment picker should have that tattooed on the palm of their hand and look at it at least 10 times daily. Back in the day, it seemed that Janus was always in scoring position.

The company turned in stellar numbers in the 1990s and produced rock-star fund managers, most notably Tom Marsico, who went on to fame and fortune at the helm of his own firm, Marsico Capital Management.

However, when the bubble burst, Janus experienced plenty of the associated heartache that included investor flight and participation in a Securities and Exchange Commission investigation into market timing for favored clients in 2003. The punishment came down in the form of Janus shelling out a cool $262 million in fines. Ouch.

But after the downturn of 2000-2002, large-cap growth (Janus' core competency) was out of style. Oil, gold, emerging markets, real estate, bonds and other asset sleeves have outperformed for nearly a decade. Still, all the while Janus has still been able to produce superior results: 42% of Janus' funds have either a four- or five-star ranking from Morningstar.

But all that may be changing. In the past few months, the broader equity markets have seen a significant shift from commodity-related stocks and international names to domestic (U.S. equity) industrials, transports, consumer staples, even utilities. The larger theme here, though, is that things are tilting toward U.S. large-cap equities, which is definitely in Janus' wheelhouse.

Is it Janus' time to rise?

At the end of March, Janus had about $173.5 billion under management compared with $165 million in 2010. In 2010, revenue recovered to $834.5 million, better than its 2008 level of $826.7 million and way better than the anemic 2009 revenue number of $684 million. This year is on track to improve on that number. First-quarter revenue came in at $265.4 million and is projected by analysts to total $922 million for the whole year, good for an increase of nearly 10.5% from last year. With its recent first-quarter report, the company also delivered a nice annual dividend boost from $0.04 to $0.20. This would put the current yield at around 2.1%. I'd say a 400% dividend hike is a good sign.

When tech stocks cratered, so did Janus. About 11 years ago, Janus was a $50-plus stock. The popping of the tech bubble and the economic slowdown attributed to 9/11 brought shares down to around $10 (see chart below). There was some nice movement back up to $30 during the highest period of the 2005-housing boom. However, thanks to the financial crisis of 2008, shares are back to their post-9/11 level.

Mutual Fund, OPTIONS, Real Estate, Uncategorized

4 Stocks Selling for Less Than the Value of Their Assets

June 8th, 2011

4 Stocks Selling for Less Than the Value of Their Assets

This past Wednesday (June 1), the Dow Jones Industrial Average (DJIA) dropped nearly 300 points in just one day, causing investors to feel a bit shaken. Tempting as it may be to load up on names that now seem like bargains, further market drops may still occur in the next few weeks and months. This is why it pays to focus on stocks that have clear downside support. And as Benjamin Graham and David Dodd once noted in their famous tome Security Analysis, the safest stocks are those that trade for less than their tangible book value.

Naturally, investors need to understand what's on the balance sheet to see whether the assets are truly appealing. For example, dry-bulk shipping stocks look awfully inexpensive by this measure, but as I recently noted in this piece, the value of the ships these companies own may be worth a lot less than the value carried on their balance sheet, leaving only one stock among the group looking truly appealing.

With this in mind, here are four stocks that trade well below tangible book value, while holding assets that are appropriately valued on the balance sheet.

OPTIONS, Uncategorized

4 Stocks Selling for Less Than the Value of Their Assets

June 8th, 2011

4 Stocks Selling for Less Than the Value of Their Assets

This past Wednesday (June 1), the Dow Jones Industrial Average (DJIA) dropped nearly 300 points in just one day, causing investors to feel a bit shaken. Tempting as it may be to load up on names that now seem like bargains, further market drops may still occur in the next few weeks and months. This is why it pays to focus on stocks that have clear downside support. And as Benjamin Graham and David Dodd once noted in their famous tome Security Analysis, the safest stocks are those that trade for less than their tangible book value.

Naturally, investors need to understand what's on the balance sheet to see whether the assets are truly appealing. For example, dry-bulk shipping stocks look awfully inexpensive by this measure, but as I recently noted in this piece, the value of the ships these companies own may be worth a lot less than the value carried on their balance sheet, leaving only one stock among the group looking truly appealing.

With this in mind, here are four stocks that trade well below tangible book value, while holding assets that are appropriately valued on the balance sheet.

OPTIONS, Uncategorized

The Return of the Downgrade Cycle

June 6th, 2011

“Downgrading” is in a bull market.

If you google the phrase “credit downgrade,” your query returns 264,000 responses. But when you google “credit upgrade,” you get only 52,600 responses. Clearly, downgrading is in an uptrend.

The downgrade craze emerged slowly in the summer of 2007, as the housing boom was shifting into bust mode. By September of 2007, the ratings agencies had downgraded only $85 billion worth of mortgage-backed securities (MBS). But within one year, that number would soar to nearly $2 trillion.

And these weren’t your run-of-the-mill downgrades from AA to A, or some such. These were epic downgrades unlike anything the financial world had ever seen. More than half the nation’s 32,000 asset-backed securities (ABS) with credit ratings received downgrades. Thousands of ABS plummeted from AAA to “junk.”

The credit crisis of 2008-9 ensued. But then the Fed and Treasury joined hands to fix the whole mess. At least that’s the official storyline.

Unfortunately, the Federal Reserve and Treasury did not vanquish the downgrade cycle; they merely swept the downgrades into a different venue, like San Francisco cops sweeping the homeless from the Financial District to Market Street.

Over the last few months, the ratings agencies have been working overtime to downgrade everything from corporate credits to state governments to foreign governments. Even the US government itself, is “under review for possible downgrade.”

Clearly, something is out of whack. When so many participants in the global economy possess so little ability to repay their debts, something is clearly broken.

But maybe there’s a way to break this cycle – not with austerity and repayments, of course. That path is hopeless. Perhaps we could break the cycle by downgrading the metrics, rather than the borrowers.

Why not begin rating credit risk “on the curve?” Absolute standards are so…well…absolute. Based on absolute accounting standards, for example, the Greek government fully deserves its “junk credit” status. But surely there are other credits around the globe that are even worse than Greece. If Moody’s and S&P were rating on the curve, Greece might receive a “D,” rather than a failing grade. Imagine how much better Greek bondholders would feel…until the day of Greece’s inevitable default.

But that’s just our perspective…as glass-half-full guys. Back in the real world, where absolute standards – and a wee bit of politics – determine credit ratings, the trends are disconcerting, if not downright alarming.

“Rating activity during the first three months of 2011 marked the ninth consecutive quarter in which downgrades in the municipal sector exceeded upgrades,” a recent report from Moody’s observes. “With negative outlooks assigned to all major municipal sectors, the trend is likely to prevail for all of 2011.”

According to the report, the first quarter saw 66 municipal downgrades and 17 upgrades, a ratio of 3.9 to 1 – the second highest downgrade-to-upgrade ratio since the first quarter of 2002, trailing only the fourth quarter of 2010 when the ratio measured 4.6 to 1.

“We expect downgrades to continue to exceed upgrades throughout 2011 for states and local governments and school districts as states cope with the effects of weak revenue growth, significant spending obligations, and the loss of federal stimulus funding,” Moody’s concluded. “Local municipalities will struggle to maintain structural balance in an environment of declining state aid, lower assessed valuations, and fewer budgetary options.”

Meanwhile, sovereign credits are capturing most of the downgrade headlines – Greece’s Icarus-like plunge into “junk” status being the most conspicuous example. Based on top-down data, sovereign credits remain healthy, as upgrades continue to exceed downgrades. But theoretical credit-worthiness cannot conceal actual credit-unworthiness forever. Sovereign credits worldwide are struggling to maintain a semblance of creditworthiness, at least in appearance, if not in fact.

They are losing their struggle.

A Daily Reckoning prediction: The sovereign downgrade/upgrade ratio will deteriorate over the next several quarters.

But don’t get us wrong. We are not throwing stones at sovereign credits or municipal credits. We are throwing stones at credit, itself. No asset in the financial world illustrates the Second Law of Thermodynamics better than bonds. They degrade toward a chaotic condition faster – and more reliably – than any other asset class.

Bonds are a promise to pay. But the history of the bond market is a history of broken promises. That’s because borrowing is easy. Re-payment is difficult. The near-extinction of the American AAA credit illustrates the point.

In the early 1970s, about 60 US companies possessed a AAA rating. A decade later, that number had tumbled to 30. By the early 1990s, the ranks of AAA credits had dwindled to nearly 20, and when the new millennium dawned, only nine AAA companies remained. Seven companies managed to retain this prestigious ranking until 2009, when Berkshire Hathaway and GE slipped into the AA ranks.

Today, only five US companies can boast a AAA rating:

  • Automatic Data Processing (ADP)
  • Exxon Mobil (XOM)
  • Johnson & Johnson (JNJ)
  • Microsoft (MSFT)
  • Pfizer (PFE)

The downgrade cycle is still gathering momentum. Bond buyers beware.

Eric Fry
for The Daily Reckoning

The Return of the Downgrade Cycle originally appeared in the Daily Reckoning. The Daily Reckoning provides over half a million subscribers with literary economic perspective, global market analysis, and contrarian investment ideas.

Read more here:
The Return of the Downgrade Cycle




The Daily Reckoning is a contrarian e-letter, brought to you by New York Times best-selling authors Bill Bonner and Addison Wiggin since 1999. The DR looks at the economic world-at-large and offers its major players – investors, politicians, economists and the average consumer – some much-needed constructive criticism.

OPTIONS, Uncategorized

Investors are fearful and that means higher prices are around the corner

June 6th, 2011

Everyone knows people make mistakes when rushed to do something or if they are scared of something bad happening. We also know fear and greed is what moves the market each month, week, day and tick… So when the majority of investors are selling their shares at the same time you must recognize the psychology behind it and prepare for a low risk trading opportunity in the days that follow.

Stepping back and looking at the general vibe in the financial arena we hear about Quantitative Easing II coming to an end which should help the dollar gain strength again. A rising dollar means lower stock and commodity prices. Also keep in mind the United States is in so much trouble they will always have quantitative easing even if they are not calling it QE, that’s my opinion anyways…

Commodities, ETF, OPTIONS

Investors are fearful and that means higher prices are around the corner

June 6th, 2011

Everyone knows people make mistakes when rushed to do something or if they are scared of something bad happening. We also know fear and greed is what moves the market each month, week, day and tick… So when the majority of investors are selling their shares at the same time you must recognize the psychology behind it and prepare for a low risk trading opportunity in the days that follow.

Stepping back and looking at the general vibe in the financial arena we hear about Quantitative Easing II coming to an end which should help the dollar gain strength again. A rising dollar means lower stock and commodity prices. Also keep in mind the United States is in so much trouble they will always have quantitative easing even if they are not calling it QE, that’s my opinion anyways…

Commodities, ETF, OPTIONS

Volatility with Oil – is it the Next Global Crisis?

June 2nd, 2011

SmartStops wants to remind you that it is important to stay protected in the markets.   There’s alot going on within the underlying infrastructure that you may not realize.

from inside flap of The Vega Factor: Oil Volatility and the Next Global Crisis  by Kent Moors

“There is a sleeping dragon at the heart of the financial system. Soon the beast will awake and rear its terrible head, and we will look back on the days of the subprime disaster with nostalgia. In this riveting book by oil industry expert Kent Moors, you will meet the dragon he refers to as oil vega, and you’ll discover why it poses such a grave threat to world economic and political stability.”

“Those familiar with the options and currency markets will recognize vega as the term traders use to denote the rate of price volatility. Expanding upon that traditional usage, Moors coined the expression oil vega to describe the dramatic increase of price volatility seen in the oil markets over the past several years.  In The Vega Factor, he describes how, contrary to popular belief, the current environment of runaway volatility in the markets is not the work of diminishing reserves, manipulation by oil producing nations, or increased competition among nations. Rather, it is a result of a structural flaw in the trading system itself.

Read more here:
Volatility with Oil – is it the Next Global Crisis?




HERE IS YOUR FOOTER

OPTIONS, Uncategorized

Volatility with Oil – is it the Next Global Crisis?

June 2nd, 2011

SmartStops wants to remind you that it is important to stay protected in the markets.   There’s alot going on within the underlying infrastructure that you may not realize.

from inside flap of The Vega Factor: Oil Volatility and the Next Global Crisis  by Kent Moors

“There is a sleeping dragon at the heart of the financial system. Soon the beast will awake and rear its terrible head, and we will look back on the days of the subprime disaster with nostalgia. In this riveting book by oil industry expert Kent Moors, you will meet the dragon he refers to as oil vega, and you’ll discover why it poses such a grave threat to world economic and political stability.”

“Those familiar with the options and currency markets will recognize vega as the term traders use to denote the rate of price volatility. Expanding upon that traditional usage, Moors coined the expression oil vega to describe the dramatic increase of price volatility seen in the oil markets over the past several years.  In The Vega Factor, he describes how, contrary to popular belief, the current environment of runaway volatility in the markets is not the work of diminishing reserves, manipulation by oil producing nations, or increased competition among nations. Rather, it is a result of a structural flaw in the trading system itself.

Read more here:
Volatility with Oil – is it the Next Global Crisis?




HERE IS YOUR FOOTER

OPTIONS, Uncategorized

Bank Stocks Plunging! What’s next …

June 2nd, 2011

Bank stocks have just crashed through key support zones … broken down to new lows for the year … and started on a beeline for their worst levels of 2010.

That’s what my KBW Bank Index chart is showing you — in aces and spades. It’s telling you that the 24 major banks it tracks — including Bank of America, Citigroup, Wells Fargo, and JPMorgan Chase — are getting slammed.

But this is more than just about banks. It’s also a stark warning for other financial stocks, housing stocks, and ultimately, most of the U.S. stock market.

Why do bank stocks matter? Because banks are the heart and soul of our economy. They make the loans that consumers use to buy houses, cars, and computers. They provide the liquidity to businesses who want to finance inventories, build factories, and construct office towers.

Problem: They’re loaded up with millions of foreclosed homes, lousy real estate loans, and other bad assets.

Yes, the Fed managed to paper over the banks’ problems for a while. But now, the jig is up. House prices have just set new lows, and the bust is back with a vengeance.

Many investors are going to lose fortunes … just like they did the LAST few times bank stocks crashed. But YOU don’t have to take this lying down! You can go on the offense.

Heads Up:
Major New Investment Recommendations
Coming THIS COMING MONDAY, June 6!

When blockbuster news like this explodes into the headlines, you really have only two choices: You can either run for cover or come out fighting and by doing so, grab huge profit potential.

The last time this happened, savvy investors who went on the offensive could have made fortunes with investments that are designed precisely for this situation. For example,

  • Between October 11, 2007 and November 21, 2008, an investment that surges when real estate stocks plunge jumped 166% in value …
  • Between October 11, 2007 and March 6, 2009, an investment that soars when banking stocks sink jumped 241.9% …

Needless to say, not all investments can go up that far in such a short period of time. Nor can we go back in time to grab them now. But just look at how a couple of my latest recommendations are doing right now:

Yesterday, even as the Dow cratered, an inverse investment I had recommended shot up almost 4% in value.

Another ETF I recommended first thing in the morning closed the day up more than 6%.

IN A SINGLE DAY!

Can they always do this well? Of course not! Just bear in mind that this is what’s possible without shorting, futures, options or any complex strategies — all strictly with ETFs that you can simply buy low and sell high like any ordinary stock!

Now, with bank stocks plunging and the housing bust striking anew …

I’m getting ready to go for similar kinds of opportunities, using the same exact investment vehicles that surged the last time around.

This coming Monday, June 6, I am going to issue a set of new trading recommendations to seize the moment. If you’d like to get them, you need to jump on board with me before then.

Your deadline: Sunday, June 5!

Plus, by joining me now, you can still take advantage of our $400 Charter discount.

But you will have to hurry: This new phase of the crisis isn’t waiting for you, me or anybody else. We must move quickly.

Once I issue these new recommendations, you will have missed your opportunity to save $400 total per year on your membership — and more importantly, you will have missed one of the greatest profit opportunities I’ve seen in a long time!

Click here for my video where I give you my strategy and show you how to join.

Best wishes,

Mike

Read more here:
Bank Stocks Plunging! What’s next …

Commodities, ETF, Mutual Fund, OPTIONS, Real Estate, Uncategorized

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