Ever since 1982, I have been devoted to teaching people how to make money by investing mainly in stocks, mutual funds and even ETF’s – exchange traded funds. The goal is to make money from appreciation in price and in some cases from dividend income. The media we utilize in this endeavor are television, radio and the Internet. Since the early 1980’s my staff and I have produced more than 6,000 television programs, short and long-form, and more than 4,000 hours of talk radio-mainly in the financial and money-related genre.
These are my credentials in discussing such investments including the economy and overall stock market on TV and radio. I have been fortunate and blessed by associating myself with many of the brightest minds in the business-often with respected names you might know.
- Ten years as a practicing CPA, including at Price Waterhouse
- Delegate to the White House Conference on Small Business
- Author of MONEY For LIFE by Simon & Schuster
- CEO of a NASDAQ-Listed Public Company
- Board Member of the Small Business Association in Boston
- Unpaid Business Lobbyist on Capitol Hill
- Friendship with Sir John Templeton, as my mentor
- Years of Association with “Investors Business Daily”
Thirty years of Interviewing Top Stock Market Experts like…
- William J. O’Neil, IBD’s Founder
- Louis Navellier, Blue Chip Growth Letter, etc.
- Sam Stovall, Standard & Poor’s
- Nicholas Vardy, ‘The Global Guru’
- Adrian Day, the ‘Global Analyst’
- Bryan Perry, Author: 25% Cash Machine
- Gerald Celente, Trends Institute’s Founder
- John Person, Founder: National Futures.com
- …and many, many more!
These associations, I humbly believe, have taught me to the level of an advanced degree in stock market investing. These experts center around the larger Big-Cap to Mid-Cap stock-talk, and then also in something we have termed “Investor’s Showcase” for many years. These are Small-Cap and Micro-Cap stocks of which many have become sponsors-of our daily money-talk radio program-now 25 years young.
Here’s the crux of the investing issue. In this super-low interest rate world, stocks are the best, possibly only game in town. Real estate investing has never been my strongest point. Bonds are not a best-bet either. As rates go up, bond prices will fall, and interest rates have nowhere else to go now except trending higher.
So here’s my FIVE-STEP program to become a top-notch stock investor-maximizing profits while minimizing risks.
STEP #1 – Follow the Strategies and Stocks of Investor’s Business Daily. Read Bill O’Neil’s wonderful book-an absolute primer and must-read when you’re going to buy/sell/hold stocks. Follow his ‘CANSLIM’ Method because it makes sense, and it does work.
Then, in your stock selections, follow the key features of the newspaper including the IBD 50, Stocks in the Spotlight, the Big-Cap 20 and others.
Subscribing to this newspaper and the web site, www.investors.com is the best place to spend your advice-dollars. IBD has done the stock-picking for you, so now just narrow things down to the best stocks that you like…selecting just five to ten. Then also read the spin-off books with the same title but with different sub-titles like “Success Stories” by Amy Smith. When you’re ready, visit their regional workshops which they call “Meet-ups”. This is your learning classroom, plus you’ll enjoy these classes too.
STEP #2 – Subscribe to other key publications like Louis Navellier’s Blue Chip Growth, and follow his excellent winning portfolios from this and his other newsletters.
For high dividend stock-picking (5% to 20% range) Google: Bryan Perry, then subscribe to his low-cost, high-positive-impact newsletter. Diversify well here to spread the risk widely. Google the other names above and follow the advice of top people like Nick Vardy, Adrian Day and others. For ETF advice, Jim Farrish is the best and for Mutual Funds, Morningstar of course!
STEP #3 – Follow FOX Business TV for the very finest advice on the economy, stocks, and investing
They have the best roster of experts from my friends Charles Payne and Gerri Willis, to the boss-man Neil Cavuto to top wonderful people like Stuart Varney, Lou Dobbs, Charlie Gasparino, Maria Bartiromo and Liz Claman. These people and other hosts are simply the best in this business…and the smartest-all with straight talk.
STEP #4 – Visit the regional MONEY SHOWS.
We have broadcast from about 25 of these since 2005, and they are a terrific place to actually meet some of the best advice-givers in the stock and investing business. Venues are in Orlando, Las Vegas, San Francisco-visit MoneyShow.com and you’ll find much of the action is free. Choose the breakout sessions that you like best, and find they are usually worth the modest fees to meet and listen to the experts.
STEP #5 – Consider the quality Smaller to Micro-Cap Stocks too.
Any portfolio can devote or segment a portion of total dollars to a well-diversified array of high-quality Growth and Value Play Companies.
In this realm, I consider the minimum holding periods to be: Short-term means 18 to 24 months, and long-term, more like 24 to 48 months. One must give these smaller companies enough time to grow and flesh-out their best value potential. Are these generally riskier than the big high-cap stocks? Sure, which is why we really must do our due diligence in earnest and in-depth, diversify to at least 4-5 within this group, watch them carefully, set stop-losses although not too-tight, and watch them, closely for Press Releases as well as price and volume action. Many of these companies that we talk about are also sponsors so please be aware.
The SEC and FINRA do not want me to own or trade these stocks so I comply, and do not. In that regard, for all public companies with a U.S. stock picker, also visit www.sec.gov for their filings of 10K’s, 10Q’s, 8K’s and such. It’s important to follow these periodic financial statements and footnotes to truly understand each company more in depth. Visit each company’s web site as well.
I do expect almost similar performance from the stock market in 2015 as was the case in 2014. So far, there’s been way too much volatility with too many trading days way up or way down. Do not get elated nor depressed about any one single day’s action. It really does not matter that much. But when interest rates begin to rise measurably in one quarter, expect downward pressure in prices-because there will be new competition from interest-paying investments that does not exist now. Therefore, having your clear exit strategy is always wise just in case we have another 2008-2009 major decline-all over again.