The key to long term success in investing is understanding the difference between the "seasons" in the markets and the economy. [Let me explain the four "seasons" and why we might very well be in the "fall" season and, if that is indeed correct, why] it is time to pack away the summer allocations and break out the winter coats to hunker down for what may be a chilly 2012. Words: 1016
Read More »The 1%: Net Worth of $8,232,000; Average Annual Income of $1,530,733 – and More Interesting Facts (4K Views)
You’d be in the top 1 percent of U.S. households if your income in 2010 was at least $516,633; your net worth in 2007 was $8,232,000 or more, and your average income this year is $1,530,773. Where did the top 1 percent make its money? [Take a look at the following charts for the answers.] Words: 1048
Read More »Never Have SO Few Owned SO Much – Where Do You Place in the Wealth Hierarchy? (+2K Views)
[The fact that] the top 1% has prospered incredibly while the bottom 99% have been screwed royally is supported by countless data. New data show this is a global phenomenon and that even in the worst of economic times the wealthiest make out like the bandits they are, and there are a lot more of them than 1%. [Let's take a look at what the data actually says.] Words: 781
Read More »Might Silver's Current Chart Similarity with 2008 Be Implying What's About to Happen to Rest of Market?
A look at the chart for SLV from September 2007 to August 2008 (11 months) and from November 2010 to October 2011 (11 months) is remarkably similar - almost identical in fact. Therefore, if silver continues to trace out a similar path to what transpired in 2008, what are the possible implications for stocks, bonds, currencies, commodities, and precious metals? Take a look at the following 19 charts for some possible outcomes. Words: 731
Read More »Both Stocks and Bonds are Expensive! Here's Why
[We have determined that] the current cyclically adjusted real yield of 5.28% is telling us that the stock market is expensive, at least by historical standards. [In addition,] ...we have also determined that, relative to bonds, the real spread between stocks and bonds is 7.2% in terms of yields, i.e., stocks relative to bonds seem cheap. If stocks are expensive, and stocks relative to bonds seem cheap, this implies that bonds are also expensive. Everything is expensive! [Let me show you the math that confirms just that.] Words: 1590
Read More »Market -Timing Pays BIG Dividends for Income Investors – Here's Why
Many income investors have been taught to believe that “market-timing” is anathema to their investment objectives and/or that it can’t be done successfully... I will argue that this piece of conventional wisdom is false - dangerously false. In a three-part series of essays, I will argue that market-timing needs to be incorporated as a fundamental component of income investing. I will demonstrate why market-timing is important, when it should be applied and how it should be implemented. [Read on!] Words: 1956
Read More »Now’s the Time to Buy These 5 "sleep-well-at-night" Dividend Growth Stocks – Here’s Why (+2K Views)
The past month has been marked with volatility and steep sell-off in stocks on a global scale. The unprecedented downgrade of US government debt from S&P, the high unemployment and the slowdown in the U.S. economy all caused investors to be bearish on equities. As stocks keep on falling however, companies keep on generating positive earnings surprises. Despite all the bearish news, I believe that now is the perfect time to start accumulating stocks, [particularly the following 5 "sleep-well-at-night" dividend growth stocks. Here's why.] Words: 1362
Read More »S&P 500: Earnings are Strong + Values are Weak = Buying Opportunity
With all the negative talk that we are consistently fed, the truth is, that corporate America is strong. The fundamentals underpinning most of our great companies warrant higher valuations than they are currently receiving. With interest rates at all-time lows, and therefore, the price of bonds at all-time highs, they are less competitive to stocks than normal. Consequently, I believe that equity valuations should be higher than normal, not lower. Therefore, I feel that now is a great time for investors to be building equity portfolios whether the market is at the total bottom or not. [Let me be more specific as to why I think that is the case.] Words: 1493
Read More »This Equity is THE Best Investment For These Volatile Times
In response to a recent request to identify the best one investment that provides acceptable growth without incurring unreasonable risk we applied our proprietary algorithms based on our unique ZYX Change Method and came up with a relatively unknown equity that warrants serious consideration for inclusion in your portfolio. Words: 454
Read More »Are You One of Those "Super" Investors? Take a Look and See (+2K Views)
This article identifies the top 10 most owned stocks by the 49 value-oriented "super investors" as tracked by Dataroma.com and those stocks that are most popular with said 49 investors. Take a look! Words: 947
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