Editor’s Note: As Chief Investment Strategist of Total Wealth, Keith believes in making his track record of recommendations easily accessible to all readers within seconds – and that’s why he’s compiled an Archives page. Here you’ll find links to every Total Wealth article Keith has published since Total Wealth’s creation on October 2, 2014, posted in reverse chronological order.
Category: War, Terrorism & Ugliness
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[The First of Two Parts] – When I started Total Wealth, I told my publisher that I wanted plenty of “red meat” – meaning actionable information, insight and, of course, recommendations as opposed to the usual click-bait that runs rampant all over the Internet today and that you see in mainstream news rags. Anything less simply wouldn’t be acceptable.
Today I want to continue that vein of thought with a look ahead at 2017 and how I see profit plays related to each of the six Unstoppable Trends we follow developing.
As is often the case, these are opportunities other investors don’t see and simply cannot recognize ahead of time because they’re not part of the Total Wealth Family and they don’t have the advantages you do when it comes to analysis, trends, and tactics that can lead to huge profits.
So pull up a chair and grab a cup of your favorite libation…
…the profit potential is simply outrageous!
Here’s where to start.
With markets near all-time highs once more, millions of investors are wondering if it’s better to sit back and wait for an entry point. Keith appeared on CNBC World to put overvaluation fears in context.
Delta executives and the mainstream media are looking at Monday’s catastrophic systems failure as an equipment outage, which would be great if that’s all it truly turns out to be.
Only problem is… I don’t believe in coincidences.
Today’s airlines – like many critical systems we live with daily – depend on complicated, overlapping, and exceptionally large amounts of data so critical that even the smallest SNAFU has global implications.
That makes them susceptible to, well, everything.
There’s no doubt in my mind that two-bit cyber terrorists around the world are watching the situation very carefully – and learning from it. And that means, in turn, that preventing more Delta-like situations is a high priority.
One company I’m tracking stands to make billions by doing something unique.
I think the stock doubles as a result… again.
[Japan] – Most investors don’t give a second thought about protecting their personal financial data. But they should for one simple reason – it can be used against you.
Especially when you’re travelling like I am.
If you carry…
…a smart phone… you’re a target.
…a laptop… you’re a target.
…a tablet… you’re a target.
Here’s the thing.
Grabbing your purse, your wallet, or even your smart phone is secondary to getting the data on it when it comes to criminal activity.
Today I’m going to give you five simple things you can do to protect yourself, your family, and your money when you’re on the road. And, as usual, I’ve also got a recommendation that can help you profit even as you do so.
Jun 13, 2016
Keith appeared on FOX Business’ Varney & Co. to discuss the resiliency of the American people and stock markets in the wake of the tragic attack in an Orlando nightclub this past weekend. War, Terrorism & Ugliness is unfortunately a growth industry – here’s what it will mean for investors as markets adjust to this reality.
Like you, I woke up Tuesday morning to horrific news of twin terrorist attacks at the Brussels Airport and the Maelbreek Metro Station that have killed at least 34 and wounded hundreds more. My heart is heavier than I can convey as I think about the lives savagely cut short.
Still, the world will go on.
Whatever we wish would be the case, War, Terrorism, & Ugliness is not going to go away any time soon. Unfortunately, all three are “growth industries” at the moment, and that means every investor needs to understand how to navigate his or her money through a world that will be increasingly shaped by terrorism.
Admittedly, that sounds callous. But, I learned something during the 2011 Tohoku Earthquake and Tsunami that helps me keep things in perspective – the best way to honor those who have perished is to redouble your efforts to live fully and to the best of your abilities.
Quick… how many Comcast technicians does it take to fix a DVR?
Eight, evidently… and my DVR is still not working after five weeks of calling offshore customer service centers, visiting technicians who are guaranteed to arrive within a “two hour window,” and even the company’s executive resolution team.
Sadly, my predicament isn’t unusual and there’s no way I’d recommend investing in the company as a result. There are thousands of companies who claim to be all about their customers when, in fact, their customers might as well be an inconvenience based on how they’re treated.
I’m sharing my predicament with you for a reason – buying “what you know” used to be a fundamental underpinning of investment success. Now, it’s a recipe for disaster.
We’re going to talk about that today and, as always, I’m going to highlight a company where customers are truly the most important part of their business.
It’s a distinction that’s helped this company outperform the S&P 500 by 5 to 1 and led to returns 100 times greater than those achieved by Comcast – a popular investment choice – over roughly the same time frame.
I don’t normally “do politics,” but today I’m going to make an exception because recent history suggests one presidential candidate could rise to the top and, in the process…
…make savvy investors millions.
I hope so. What I have to tell you is a story based as much on rhetoric as reality. It’s built on an opportunity that cuts deeply and, to be perfectly blunt, may be offensive depending on your personal views.
Yet, the story that follows and the two investment recommendations I’ve got for you today could be the most profitable investments you make all year.
Both have deep competitive moats and even deeper margins than other stocks and could benefit from a boost that you’re not going to find in any other industry coming into the Presidential election.
The last time a politician took aim at this industry, it doubled during the worst financial crisis in recent memory.
Today’s financial markets are more complex than they’ve ever been, leading many investors to believe their investment strategies have to be equally complicated to work.
That’s simply not true.
In fact, simple is always better… and potentially one whale of a lot more profitable, too.
Today we’re going to talk about how a specific event triggered an entry point in an industry that will cost the world’s economy $575 billion this year alone. And, as usual, I’ve got two suggestions for you that could lead to big profits based on a Total Wealth Tactic so simple you’ll be kicking yourself if you haven’t thought about it before.
But first I want to share a story that sets the stage and explains why something America’s first millionaire west of the Mississippi did in 1849 is the key to your profits 166 years later.
Here’s your entry to play the global economy’s $575 billion challenge.
Colt Defense LLC filed for Chapter 11 bankruptcy last Monday. Investors were stunned, and questions flew.
How could this happen to America’s legendary gun maker at a time when more than 10 million background checks were completed for gun sales in 2014, including 175,000 on Black Friday alone? Is this a sign that the defense industry is flagging? And, more importantly, what does this mean for my money?
Today I want to talk about that because we’ve got an ideal teaching moment on our hands when it comes to how to invest in what I call the MOST Unstoppable of the six Unstoppable Trends we follow:
War, Terrorism & Ugliness.
Today’s lesson is about how to find a “step-up” stock that positions you for maximum profitability in a sector no one in their right mind actually likes – but no one can afford to ignore, either.
And it applies not just to Colt – which was privately owned – but to public companies like Smith & Wesson Holding Corp. (NasdaqGS:SWHC) and Sturm Ruger & Co. (Stuttgart:ST2.SG), so if you own those or any other firearms maker for that matter, take careful notes.
Understand the critical difference I’m about to lay out for you and you’ll do very well. Miss it, and a Colt-like experience could clobber your portfolio.
Here’s the one factor that makes a “step-up” stock…
When I began Total Wealth Research, I highlighted six “Unstoppable Trends” – each of which is backed by trillions of dollars – and promised that we’d check in on them from time to time in the pursuit of profits.
Today, I want to keep that promise.
Not only are all the “Unstoppable Trends” fully intact, many are actually getting even stronger. So are the companies we’re tapped into, especially when they’re in sectors being written off by the mainstream investment community.
For instance, I brought Williams Companies Inc. (NYSE:WMB) to your attention on January 7, 2015, as a way of playing the beleaguered energy sector. It’s returned 15.35% since then, or more than triple that of the S&P 500 over the same time frame.
Then there’s Kratos Defense & Security Solutions Inc. (NasdaqGS:KTOS),a small niche defense contractor positioned for huge gains by playing outside the mainstream defense contracting procurement ballpark. It’s returned more than 16% since I called your attention to a re-entry point on January 9.
Kyocera Corp. (NYSE:KYO), the Japanese tech giant I called out on New Year’s Eve as a means of playing the uneven stimulus that’s powering Japanese markets, is up 10.87%.
Thing is, I’m not telling you this to brag. What I want you to understand is that stocks backed by “Unstoppable Trends” have the potential to dramatically outperform the markets.
And that’s why you need to keep every single one of our trends at the top of your mind… so that you can tap into the potential created by trillions of dollars on the move.
Here’s what you need to know about each of our “Unstoppable Trends” today – starting with the biggest opportunity on the planet right now.
As an analyst known for making bold and unusual predictions in pursuit of profits, I am usually inclined to celebrate when my “calls” are proven right.
But when it comes to the proliferation of one of the six primary trillion-dollar trends we’re following – War, Terrorism & Ugliness (WTU) – I’ve got to be completely honest. There are times when I am uncomfortable with the human cost of being right.
That’s certainly the case right now, following the horrific assassinations of 10 journalists and two police officers earlier this week at the Charlie Hebdo magazine offices in Paris. In case you somehow missed the news, the killings were allegedly carried out by two brothers who had become radicalized Muslims in the Parisian ghettos of Gennevilliers acting in response to cartoons portraying the prophet Muhammad.
My stomach is tied in knots and I cannot help but reel in disgust. But I also cannot help but think.
The events in Paris reinforce a very important financial relationship that escapes 99% of all observers – the counter-intuitive nature of terrorism and what it means for your money.
And that’s what we’re going to talk about today. This won’t be an easy conversation to have, but it’s vitally important because most people get the nature of what we’re about to discuss completely backwards, and that leaves their investments vulnerable.
You see, in one of the great ironies of the financial world, terrorism actually creates far more opportunity than it destroys.
Let’s get rolling.
Holiday markets tend to slow up a bit, and this week is proving to be no exception, so I thought we’d change things up a bit by diving into the mailbag and tackling a few of the fabulous questions you’ve asked recently.
Of course, as is our way around here, I’ll follow each answer with some actionable investment advice you can put to work right now as well as specific recommendations for your consideration.
Let’s get rolling with three questions related to our “Unstoppable Global Trends” that are very much in the news right now… Energy, Technology, and Warfare.
Q: Will oil ever come back and is now the time to buy the big oil refiners? ~ Hank T.
A: Yes, global demand will ensure that. The only question is when, and that depends entirely on how much longer the Saudis want to play games. Worldwide demand is growing tremendously, and energy itself is going to see some $48 trillion worth of spending by 2035, according to the IEA and other estimates. (I think that figure is low, by the way, for reasons I’ll cover in an upcoming column.)
But I don’t believe that the big oil refiners are the way to go.
The smarter play would be going for the integrated midstream producers, explorers, and pipelines like Apache Corp. (NYSE:APE) or Northern Oil & Gas Inc. (NYSEMKT:NOG). The former has a really clean balance sheet and will likely to be a big beneficiary of the consolidation that’s now under way because of cheap oil, while the latter has hedged contracts at $90/barrel even though oil has now dropped to $55/barrel.
If you are really up for an adventure and potentially some dynamite returns consider the Open Joint Stock Company Gazprom (OTC:OGZPY). It’s the world’s largest natural gas extractor, has a lock on Europe, and is trading at perhaps the world’s smallest multiple of 1.73. Any shift going from terrible to less bad with regard to Putin is going to send this stock soaring.
Now – an update on our War, Terrorism & Ugliness stock…
When we began our time together here at Total Wealth, I promised you a deep look at each of the primary trillion-dollar trends. I told you that every dime made in the markets for the next 10 years would be on this list of trends.
We jumped right in with Technology and our Human Augmentation target – the most inspirational tech company I’ve ever visited.
Today, I want to keep that promise and focus in on our second unstoppable global trend.
Sadly, given the state of the world these days, it could easily be the most unstoppable and profitable of all the trends we’re following.
I say “sadly” because I’m talking about War, Terrorism, & Ugliness.
Warfare… terrorism… disease… They’re all growth industries. It’s a natural effect of having more and more billions of people on this planet, greater interconnectedness, and greater access to travel, technology, weapons, and bad ideas.
Just look at the tragic shootings in Ottawa, Canada, earlier this week. The rapid spread of Ebola across continents. More abductions in Nigeria. ISIS terrorism in the Middle East. It’s a scary world out there. It’s my sincere hope that everybody who’s reading this is safe – and your families and friends are too.
Yet we’re not powerless.
Many of the best investment opportunities – including the one I’m sharing with you today – are geared towards STOPPING these things and mitigating the pain, suffering, and loss of life. In fact, this $7/share, off-the-radar company is working to keep soldiers and civilians out of harm’s way as part of the most promising technological advancement in warfare I’ve seen in my lifetime.
Here’s everything you need to know about the War, Terrorism, & Ugliness trend…
My sources tell me that Ebola is probably the most serious threat to humanity since the Bubonic Plague of the Middle Ages. Already it has spread to a dozen countries, including the U.S., and more than 4,000 people are dead. According to Dr. Bruce Aylward of the World Health Organization (WHO), mortality rates are rising and now sit at 70%.
This outbreak is more grim proof that Trend No. 6 – War, Terrorism, and Ugliness – is indeed a growth industry.
That’s the next trend we’ll be discussing, though it’s easily my least favorite both personally and professionally. But it’s very, very important. So please stay tuned for that in the weeks ahead.
In the meantime, Ebola has the potential to be a serious market event before it’s brought under control. So we need to talk about it logically – no hype, no conspiracies, and no nonsense. I mention those things because they’re all emotional inputs that can cloud your thinking and have a seriously negative impact on your money.
Here are the tactics you need on hand for the Ebola market event.