The Financial and Personal Security Letter
There is an increasingly disturbing trend in the stock market that has profound implications for your portfolio. Traditional investors who are motivated by profit are being replaced by three groups of investors who couldn’t care less about getting fair value: High-frequency traders are only interested in scalping the next penny or two from buyers and sellers. ETF investors are buying without any consideration for company or stock market values. The corporate sector repurchases shares to reduce share count and ramps up buying when prices are high. And the market share of all three adds up to an overwhelming majority of stock market trading volume. It’s a whole new ball game, with new players.
To navigate this new market structure successfully, patience and focus on your own individual objectives (as opposed to the performance of broader stock market indices) are key. In this month’s issue, I will give you five great reasons why gold investments, starting with a package of top-quality gold miners, should become your insurance policy and part of your counterbalancing strategy. I’ll tell you the best way to invest in this sector with proper diversification. While your counterbalancing insurance policy waits for hard times to shine, you'll get paid for your patience. My top-down portfolio strategy for you is to be able to draw 4% annually from a retirement portfolio without cannibalizing capital. I'll tell you how to achieve this using my Retirement Compounders, starting with the names from this month's Top 10. More >>
Each month, I provide you with an Economic Analysis supplement to the issue. This supplement provides you with a bird's eye view of the indicators that I monitor on a regular basis. The incisive, story-telling charts included in this supplement are updated every month and range from "The Leaders" to "World Currency Reserves/World Gold Reserves." There will always be great new material as well as timely reference dates, and my comments spell out the meaning of each chart for you. Download in pdf format.
October 30, 2014 The Tax Foundation’s State Business Tax Climate Index was released this week. No surprises here: The 10 best states in this year’s Index are: Wyoming 2. South Dakota 3. Nevada 4. Alaska 5. Florida 6. Montana 7. New Hampshire 8. Indiana 9. Utah 10. Texas The absence of a major tax is a common factor […] More »
Dick Young grew up in Shaker Heights, Ohio, graduated from Babson College in Wellesley, Massachusetts, with a B.S. in investments, began his investment career in 1964 with Clayton Securities in Boston, and founded Young Research & Publishing, Inc. in 1978 to publish Young's World Money Forecast. More »
I became financially independent and retired at age 50 in 2011. My story has been featured in USAA Magazine and on Yahoo Finance. I credit Dick as my investing mentor both on my blog here: www.caniretireyet.com/how-i-retired-early/ and in my new book "Retiring Sooner," available on Amazon.
[What I like best are] the consistent reminders of conservative investing fundamentals. As I say in my book, "I owe an enormous debt to Richard C. Young and his Intelligence Report, which was my mentor in patient, diversified, low-cost passive index investing." Thank you again Dick!
— Darrow Kirkpatrick