If you’re like me, then you have probably entered your investments into a portfolio tracking service for easy monitoring. Instead of manually typing individual ticker symbols day after day for stock quotes, you can enter them once. After that, it just takes a click of the mouse to instantly see how all of your holdings are performing on one screen. It’s a real time saver. And many financial sites like Morningstar and Yahoo Finance offer this service for free. #-ad_banner-#Before long, you’ll notice that on up days when most stocks are in the green, some holdings always seem to ride… Read More

If you’re like me, then you have probably entered your investments into a portfolio tracking service for easy monitoring. Instead of manually typing individual ticker symbols day after day for stock quotes, you can enter them once. After that, it just takes a click of the mouse to instantly see how all of your holdings are performing on one screen. It’s a real time saver. And many financial sites like Morningstar and Yahoo Finance offer this service for free. #-ad_banner-#Before long, you’ll notice that on up days when most stocks are in the green, some holdings always seem to ride a little bit higher than others. If most stocks in the group are up 1% to 2%, these outliers might gain 3%. The opposite is true on down days. When most stocks are in the red by 1% to 2%, these typically get hit harder and might drop 3%. I’m not talking about an isolated good (or bad) day triggered by company-specific news, but simply the stock’s general sensitivity to market fluctuations over a period of months or years. There is a way to measure this sensitivity. It’s called beta, and it measures the degree to which a security rises… Read More

This past December was an interesting time in the United States, with everyone gearing up for the holidays but keeping an eye on the news to see what crazy thing would happen next… #-ad_banner-#But amid the year-end flurry many missed some great news: The consumer sentiment index hit its highest… Read More

You didn’t hear about it on any nightly broadcasts. It wasn’t covered in newspaper headlines. Even on dedicated financial websites, there was barely a passing mention. But last week, the Financial Times Stock Exchange (FTSE) 100 Index quietly ventured into record-high territory. The FTSE tracks the performance of the 100… Read More

Since last June, I’ve sold nine portfolio holdings in my premium income newsletter, High-Yield Investing. All nine were for positive gains, between 2.1% and 74.1%. But I didn’t sell any of these stocks because I expected them to decline. Rather, most had lived up to their short-term potential and the time had come to cash out gains and look elsewhere for candidates with stronger upside. But there are investors who do actively bet against certain stocks by selling them short. In the simplest terms, this involves borrowing the shares and immediately selling them. A few weeks or months later, the… Read More

Since last June, I’ve sold nine portfolio holdings in my premium income newsletter, High-Yield Investing. All nine were for positive gains, between 2.1% and 74.1%. But I didn’t sell any of these stocks because I expected them to decline. Rather, most had lived up to their short-term potential and the time had come to cash out gains and look elsewhere for candidates with stronger upside. But there are investors who do actively bet against certain stocks by selling them short. In the simplest terms, this involves borrowing the shares and immediately selling them. A few weeks or months later, the shares are repurchased (ideally at a lower price) and returned to the original owner, with the trader keeping the difference. It’s “buy low and sell high” in reverse order. It’s a risky strategy. If you buy a stock at $10, the most you can lose is $10. And that’s only if it winds up completely worthless. But if you sell short at $10, the stock can rise to $20, or $30, or more. The more it rises, the more you lose. So in theory, the potential risk is unlimited (although in practice traders take steps to cap their losses). That’s… Read More

When it comes to international exposure, investors have literally thousands of mutual funds, closed-end funds, and exchange-traded funds to choose from. European small-cap stocks, Latin American dividend stocks, Asian government bonds — you name it. Vanguard alone offers 19 different equity funds with either global or purely foreign portfolios. But investing in individual securities is a different matter entirely. While the introduction of online trading platforms has facilitated the buying and selling of foreign stocks, it’s still an onerous process. Many brokers can’t help you buy shares of a company trading on the Toronto Stock Exchange, for example — and… Read More

When it comes to international exposure, investors have literally thousands of mutual funds, closed-end funds, and exchange-traded funds to choose from. European small-cap stocks, Latin American dividend stocks, Asian government bonds — you name it. Vanguard alone offers 19 different equity funds with either global or purely foreign portfolios. But investing in individual securities is a different matter entirely. While the introduction of online trading platforms has facilitated the buying and selling of foreign stocks, it’s still an onerous process. Many brokers can’t help you buy shares of a company trading on the Toronto Stock Exchange, for example — and Canada is a relatively accessible market. Want to buy or sell a stock on exchanges in Copenhagen, Stockholm, Brussels or Tokyo? You’ll have to submit specific paperwork and pay substantially higher brokerage commissions. There will also be foreign currency exchange fees if you choose to settle positions in U.S. dollars, as well as foreign tax withholding in some countries. Heck, even getting a ticker symbol and price quote can be tricky. —Recommended Link— The Government Can’t Hide This Forever There’s a secret way to increase your portfolio exponentially. A former secretary used it to turn $200 into $7 million. Read More

Advertising is timeless, which I find reassuring. Thousands of years ago, the ancient Egyptians painted sales notices on papyrus. In the middle ages, store proprietors employed town criers to help drum up business. And today’s store merchants are no different, doing whatever they can to showcase their wares and attract customers. #-ad_banner-#Why does that matter? Well, just ask anybody who invested in pocket pagers, answering machines or floppy disc drives. Technological advances can quickly render must-have products and services into obsolete relics. Even landline telephones, a revolutionary marvel in their day, are now facing slow extinction. But there will always… Read More

Advertising is timeless, which I find reassuring. Thousands of years ago, the ancient Egyptians painted sales notices on papyrus. In the middle ages, store proprietors employed town criers to help drum up business. And today’s store merchants are no different, doing whatever they can to showcase their wares and attract customers. #-ad_banner-#Why does that matter? Well, just ask anybody who invested in pocket pagers, answering machines or floppy disc drives. Technological advances can quickly render must-have products and services into obsolete relics. Even landline telephones, a revolutionary marvel in their day, are now facing slow extinction. But there will always be demand for advertising that helps connect buyers and sellers. Some of the biggest spenders include auto makers, wireless providers, drug companies and fast food chains. They are always communicating with consumers — and spending an extraordinary amount of money doing so.  This is a race — and taking your foot off the advertising pedal leaves many businesses at risk of being left in the dust by rivals.  That’s why so many spend a nickel or dime (or more) from every dollar of sales on marketing efforts. One of my favorites in the group collects steady income from big names… Read More

Inflation. It’s something that investors haven’t had to contend with for a long time. If anything, deflation has been the bigger concern. But that all changed on November 8. Since then, inflation fears have been roaring back in a big way. Just look at some of the headlines. “Dollar Strength will continue as Trump Policies Fuel Inflation” — CNBC “Fed May Have to Raise Rates Faster to Keep Up With Inflation” — Morningstar “US Inflation Expectations Gathering Steam” — Financial Times Higher Inflation Under President Trump — Business Insider GDP, Inflation and Interest Rates Forecast to… Read More

Inflation. It’s something that investors haven’t had to contend with for a long time. If anything, deflation has been the bigger concern. But that all changed on November 8. Since then, inflation fears have been roaring back in a big way. Just look at some of the headlines. “Dollar Strength will continue as Trump Policies Fuel Inflation” — CNBC “Fed May Have to Raise Rates Faster to Keep Up With Inflation” — Morningstar “US Inflation Expectations Gathering Steam” — Financial Times Higher Inflation Under President Trump — Business Insider GDP, Inflation and Interest Rates Forecast to Rise Under Trump — Wall Street Journal “Trump Victory Prompts Fund Managers to Focus on Inflation” — Reuters Merrill Lynch recently surveyed the nation’s mutual fund managers and found that 85% — nearly nine in ten — see rising inflation on the horizon. That’s the highest conviction for inflation in 12 years. —Recommended Link— Act Before The New Year Find out how to get our list of the Top 10 Stocks for TrumpNation 2017 — completely FREE of charge! Check out the report here… The core thrust of their argument goes something like this… Trump’s tax cuts… Read More

I hope this finds you and your family well as the holidays approach. As a kid, I used to spend this time frantically flipping through the Sears catalog in search of last-minute ideas for my Christmas list. I may be dating myself here, as the iconic catalog was discontinued in 1993 after more than a century in print.  This is one tradition that today’s youth won’t get to experience. But that doesn’t mean retailers can’t reach them (or their parents) through other channels. Print advertising might be in decay, but sellers have adopted other inventive ways of separating us from… Read More

I hope this finds you and your family well as the holidays approach. As a kid, I used to spend this time frantically flipping through the Sears catalog in search of last-minute ideas for my Christmas list. I may be dating myself here, as the iconic catalog was discontinued in 1993 after more than a century in print.  This is one tradition that today’s youth won’t get to experience. But that doesn’t mean retailers can’t reach them (or their parents) through other channels. Print advertising might be in decay, but sellers have adopted other inventive ways of separating us from our money, particularly in the digital realm. A good chunk of corporate ad budgets is spent in November and December as retailers gear up for the holiday rush. Few disclose exactly how much they spend trying to sway shoppers, but the Guardian (a British media group) estimates that U.K. companies plowed a record 5.6 billion pounds into fourth-quarter advertising last year.  You can bet their larger U.S. counterparts spend even more.  — Recommended Link — The Secure Way To Add $19,632 To Your Bankroll This Year This “Daily Paycheck Retirement Solution” is so powerful, it’s generating more than $1,600 in income… Read More

Repositioning. That’s the best word I’ve heard to describe what’s going on in the markets right now. The minute the 2016 election was called, investors on both sides immediately put their party affiliation aside and began trying to figure out what comes next. And the prevailing outlook can only be described as optimistic. The S&P 500 enjoyed a gain of 3.8% between November 7-11, while the blue-chip Dow Jones Industrial Average bounced 5.4% and the Russell 2000 Index surged 10%. That’s a decent year’s worth of gains in just five trading sessions. Overall, it was the strongest week for both… Read More

Repositioning. That’s the best word I’ve heard to describe what’s going on in the markets right now. The minute the 2016 election was called, investors on both sides immediately put their party affiliation aside and began trying to figure out what comes next. And the prevailing outlook can only be described as optimistic. The S&P 500 enjoyed a gain of 3.8% between November 7-11, while the blue-chip Dow Jones Industrial Average bounced 5.4% and the Russell 2000 Index surged 10%. That’s a decent year’s worth of gains in just five trading sessions. Overall, it was the strongest week for both small-cap stocks and giant blue-chip stocks since December 2011. And the rally continues. It’s almost forgotten now, but the market suffered a 9-day losing streak leading up to the election. Oh, how quickly investor sentiment changes. But to gain real insight into how the market views a Trump presidency, you have to examine performance on a more granular level. With that in mind, I want to spend some time today pinpointing the areas of the market that will most likely be affected. —Recommended Link— The Top ‘Crash Protection’ Stock To Buy Now? We’ve identified the top “Crash-Protection” stock to… Read More

I flew into Cabo San Lucas, Mexico a few months ago and made the mistake of exchanging my money at the airport rather than a local bank or financial institution. If drinking the local water is mistake #1, then this one isn’t far behind. I was paid an exchange rate of just 15/1, so my $1,000 turned into 15,000 pesos. Had I walked a few blocks away, the going rate was closer to 18/1 — meaning I could have traded my dollars for 18,000 pesos instead.   #-ad_banner-#3,000 pesos buys a lot of Pacifico beer. And this isn’t just my… Read More

I flew into Cabo San Lucas, Mexico a few months ago and made the mistake of exchanging my money at the airport rather than a local bank or financial institution. If drinking the local water is mistake #1, then this one isn’t far behind. I was paid an exchange rate of just 15/1, so my $1,000 turned into 15,000 pesos. Had I walked a few blocks away, the going rate was closer to 18/1 — meaning I could have traded my dollars for 18,000 pesos instead.   #-ad_banner-#3,000 pesos buys a lot of Pacifico beer. And this isn’t just my experience — the Mexican peso has been one of the weakest currencies in the world for the past three weeks. Since November 8, its value has fallen more than 15% against the U.S. dollar. That selloff is largely being driven by U.S. President-elect Donald Trump. Investors are worried Trump will restructure trade agreements between the United States and Mexico or levy tariffs on Mexican exporters. If that happens, it could be a huge drag on the Mexican economy. The weak peso has caused somewhat of a panic in Mexican stocks. In the past three weeks the iShares MSCI Mexico Capped… Read More