Global Investing Portfolios Focus


Focus on global investments brings the best results.

See how this wise old owl can help us be better at focus in global investing and business.

Last week’s article Micro Business & Global Investing Success looked at the importance of concentration… of concentration in business…. investing and life.

The article argued that focused experience and information… focused beliefs,  focused values and focused determination are threads that weave happiness and success.

Then this article shared how modern media…. especially the internet… might be detracting from concentration and even retraining our thought process to a shallower level.

It asked, “What will be the global consequences be if today’s children globally are being trained to have shallower thought?”

A reader replied to this message and said:

“Wow, Gary, your latest posting about concentration really caught my attention and made me slow down long enough to read (not scan) your entire article. As a teacher, I often plan lessons on my computer.  I use the Internet to research information in order to supplement my lessons.  My problem has been that I often spend so much time scanning websites and jumping from link to link that I lose my focus and it can take hours to write a simple 30-minute lesson.

“I, too, have worried about becoming addicted to the Internet.  I was bragging to my friends that I don’t watch television, when I realized that my addiction to the world wide web could be just as brain numbing, or cause even more withdrawal symptoms than watching television.

“One way I have helped myself is by taking my laptop to a place where I don’t have Internet access.  First, I make a mind map of my ideas on paper, and then I start putting my ideas on MS Word, inserting bolded notes in areas that I want to research or confirm later.

“I have had the same intuitive feeling that something was changing in our brains from the effects of reading online ‘where portals lead us on from one text, image, or video to another while we’re being bombarded by messages, alerts, and feeds’.  As a reading teacher who works with children struggling to read, I have noticed a profound difference in those students who spend a lot of time surfing the Internet from those who don’t spend much time on the computer. The students who are addicted to surfing the Internet, text messaging, and video gaming, cannot seem to slow down enough to focus and read words on a printed page.  It is almost as if it is painful for them to read this way.  I have suggested to the school administration that these students seem to have a different way of reading that makes concentration difficult for them.  Now a book delves into this theory.

“I will read the book, and I continue to look forward to your intuitive and timely postings.”

Yet concentration needs to be woven with diversification because in this material world, there is always something we do not know… no matter how much we concentrate. The quantum aspects of our existence are so complex that our logic can only see them as  chaotic.

This is because of “sensitive dependence on initial conditions.”  Take the weather as an example.  The outcome of the weather… despite all our advances in understanding is unpredictable because it is so susceptible to the initial circumstances.   Investing and business… our lives are the same…. unpredictable.

Who knows exactly where an individual cloud will be in the sky ten years from now? Or where we will be or any particular economy or investment?

We had an example at our farm of the importance of matching concentration with diversification. We always have a lot of excitement at the farm when we are preparing for our courses on international business and investing as many of our speakers come and stay in our cabins.  We often have a lot of rushing to get everything in order.

Our helpers were rushing around when they a screech owl in the barn and wanted us to come down and see it.

We did.

I took my camera along and these shots perfectly depict in pictures what this message is trying to explain in words.

This is a bird’s eye view. Can you see the owl?

Perhaps and you see the whole picture, the rafters the steps, the walls.

But a bird’s eye view requires a complete picture, many dots we can connect.

See the owl better now?

Our fine feathered friend is easier to see. We know him better now.

Can we creep closer?

Yes. This was one brave owl and now we feel like we really know him.

However I decided to take my chances and walk up the steps. This and a zoom lens let us really see “Mr. Wise One”.

We see the color of his eyes and can literally count his feathers. This is what we try to do with our international investing and our micro business… get into all the details.

This often causes the downfall of a business… having too much concentration on the small stuff.

When we get too close… can we see the walls?  Remember those rafters and the steps?  Where are they now?

Global investing requires a complete view seeing both the broad horizons as well as the narrow perspective.

If we are too caught up seeing the trees, we miss the forest and having taken a glopbal view, we have expanded our forest… a lot!

So this week we will review several global investment and business thoughts blended with the idea of attaining the correct blend of concentration and diversification.

Today’s review is on Jyske Global Asset management’s Medium Risk Portfolio.

JGAM’s management team use a lot of concentrated research. They collect data from Jyske Bank, Morgan Stanley, Bank Credit Analysts and many other sources.  The members of their portfolio management then filter this concentrated data through their knowledge and experience.  Then they meet regularly to further concentrate all this data into a group consensus.

Hundreds of years of investing experience concentrated into a decision making process.

Yet that process creates a very diversified portfolio.

Here is JGAM’s  current  medium risk portfolio for investors with $200,000.

Currency            Investment                        Percent of Portfolio

 

Fixed Income:

 

USD            5.800%  E.ON 30.04.18                            4.53%

USD             8.000%    Mobile Tele 28.01.2012            5.06%

USD             6.000%    EIB 14.08.13                            5.31%

EUR              7.250%  Bombardier 2016                      2.20%

EUR              5.030%  Gaz Capital 25.02.2014            3.25%

BRL               12.500% Brazil rep. of 05.01.16             4.99%

AUD               5,125%   EIB 30.05.17                           4.88%

CAD                CAD – No.1 Interest Account                5.15%

 

Fixed income Subtotal                                          35.36%

 

Equities:

CHF                          Kuehne & Nagel Intl AG            3.19%

CHF                          Nestle SA                                     2.99%

CHF                          Novartis                                       3.07%

DKK                          Carlsberg B                                  5.49%

DKK                           Neurosearch A/S                        0.56%

DKK                           Novo Nordisk B                          4.47%

EUR                          Adidas AG                                    1.83%

EUR                           Bayer AG                                     1.75%

EUR                           Siemens AG                                 1.95%

HKD                           China Mobile                               5.49%

JPY                            Toshiba Corp 6502                      3.14%

SEK                            ABB Ltd                                       3.10%

USD                           Apple Computer Inc. Com          4.07%

USD                           Cisco Systems Inc                        1.97%

USD                           Gazprom-ADR (E/C)                  3.02%

USD                           Teva Pharmaceutical ADR          3.92%

USD                           iShares Msci Ac Far East XJP     2.21%

 

Equities Subtotal                                                     52.22%

Alternatives:

USD              ETFS Metal Secs Physical Gold                6.71%

Subtotal Alternatives:                                               6.71%

Cash:  USD                                                                   5.71%

Total:                                                                         100.00%

This is concentration and diversification in global investing action.

Join Merri and me in Copenhagen to learn better ways to concentrate and diversify your global investing.

See details on how to join Merri and me at Jyske’s bi annual Copenhagen seminar here Global Wealth Management Seminar.

emerging-markets

We also really enjoy the restaurants and coffee shops along Nyhavn.

We need concentration and diversification for good global investing and business because we live in chaos.

Gary

When we combine our logic… intuition and experience we dramatically enhance the chances for success. One way to integrate these three assets  of logic… intuition and experience is with music.

This quote is about Chaos Theory 

“A Brief Introduction confirms a relation between music and the quantum aspects of our existence.

“Music can be created using fractals as well. Using the Lorenz attractor, Diana S. Dabby, a graduate student in electrical engineering at the Massachusetts Institute of Technology, has created variations of musical themes. (“Bach to Chaos: Chaotic Variations on a Classical Theme”, Science News, Dec. 24, 1994) By associating the musical notes of a piece of music like Bach’s Prelude in C with the x coordinates of the Lorenz attractor, and running a computer program, she has created variations of the theme of the song. Most musicians who hear the new sounds believe that the variations are very musical and creative.

See how music can help you learn to speak Spanish in just four days.

How We Can Serve You

2015 Schedule

Schedule 2015  Seminars and Courses

Mount Dora

Delegates enjoy taking breaks at our winter courses in Mount Dora.

jefferson landing

We conduct our summer camps at Jefferson Landing in West Jefferson North Carolina.

Join us in balmy Central Florida in the winter and the Cool Blue Ridge in summer.

Join Merri and me for all the courses and seminars that we’ll conduct to help you gain positive solutions to your economic, financial and lifestyle concerns.

Here are the courses we currently have scheduled in 2015.  Course in bold conducted by Gary & Merri Scott

Oct. 10-11, 2015, West Jefferson, North Carolina.  Multi Currency, Protect Against a Weak Dollar Investing Seminar.  (Normally $799 or $999 for a couple)

The Best Multi Currency International Investing Seminar in 32 Years

Cash in on the best opportunity in 32 years.  Currency diversification has always been important for safety, but right now a multi currency opportunity is brewing and has more profit potential then you have seen in over three decades.

Our “International Investing Seminars” started 32 years ago at about the best time for investors ever.  Over these decades our semi annual seminars have updated what’s going on in global investment markets and what to do.  In all those years, few times offered as much long term opportunity as in 1982.

Join us to learn the great opportunities that are just ahead.

Mount Dora Florida. Multi Currency, Protect Against a Weak Dollar Investing Seminar. (Normally $799 or $999 for a couple)

Sept 4-5-6, 2015, West Jefferson, North Carolina.  Multi Currency, Protect Against a Weak Dollar Investing Seminar. (Normally $799 or $999 for a couple)

jefferson Landing

Our summer and autumn courses are at the Jefferson Landing Country Club.

Finally, conditions have come full circle and the several conditions are coming together just as we saw at our first seminars in the 1980s.  The US dollar. the US stock market and the price of oil are acting almost exactly as they did in the early 1980s.  Knowing the conditions and why they have merged  and what to do about them can help you create a fortune.

One way to tap this potential (we’ll review this at the seminar) is to invest in a Good Value Country Strategy with ETFs (Country Index Exchange Traded Funds).  For example there are currently ten good value developed markets, Australia, Austria, France, Germany, Hong Kong, Italy, Japan, Norway, Singapore and the United Kingdom.  You can easily create a diversified portfolio in each or all of these ten countries with Country Index ETFs.

We review more than two dozen Country Index ETFs at the seminars.   One example is the iShares Germany MSCI Index ETF.

MSCI Germany

Click on image to enlarge.

Germany’s stock market is a good value market.  Germany has the world’s fourth largest economy.  The country is the third largest exporter in the world and in 2013 recorded the highest trade surplus in the world making it the biggest capital exporter globally.  Yet German shares have been overlooked. German share prices are cheap.

The problem most investors have is knowing which German shares to buy.  The country Index ETF solves this by investing in almost all the shares traded on Germany’s largest stock exchange in Frankfurt.  The iShares Germany MSCI Index ETF is a share traded on the New York Stock Exchange that invests in 85% of the shares in Germany.  This ETF is a passive fund that does not try to outperform the growth of the German Stock Market. The managers simply track the investment results of the MSCI Germany Index.

The MSCI Germany Index is designed to measure the performance of the large and mid cap segments of the German index is composed of the stocks of 54 different German companies and covers about 85% of all the German equities.  Germany’s ten largest companies compose about 60% of the index.  These ten companies are:  BAYER (Health Care) composes 9.91% of the index – SIEMENS (Industrials) 7.89% – DAIMLER (Consumer Discretionary) 7.04% – BASF (Materials)  6.81% – ALLIANZ (Financials) 6.65% – SAP STAMM (Info Tech) 5.69% – DEUTSCHE TELEKOM (Telecom Srvcs) 4.46% – DEUTSCHE BANK NAMEN  (Financials) 3.66%  – VOLKSWAGEN VORZUG (Consumer Discretionary) 3.18% – BMW STAM (Consumer Discretionary)  3.15%.

The iShares MSCI ETF invests in all the important sectors in the German market, so your one investment in the ETF gives you a spread of good value German shares.

MSCI Germany

The fund has over 4 billion of assets and those assets are invested mainly in the 54 German shares, so your investment gives you enormous diversification within the German stock market. What makes ETFs such easy and simple investments is that even a small investment of $1000 (at this time) will buy about 25 shares.  For just $1,000 the investment is spread into this vast powerful, good value equity market.

At our seminars we review Country Index ETFs for every good value stock market in the world. One benefit of these ETFs is that investors can invest very small amounts so it is possible to invest in all good value countries, even if your portfolio is not large.

You save on tax.  Managed funds exert a heftier tax bill on your portfolio than passive products.  You save on reduced portfolio turnover.  Every time a manager makes a trade, there’s a cost. ETFs invest in the shares that compose the index and do not trade.  During 2013 actively managed funds in the US turned over 85% of their holdings.  Remember that this activity resulted in poorer average results than the indices for 75% of these funds.

Join me at our 2015 seminars to explain how to use ETFs and much more.  The “International Investing Seminar” looks at how to protect purchasing power and pensions with multi currency investing.  The course teaches how to add safety and create to profit from multi currency and global equity cycles.

Value Investing Outside the Box.  Here is a partial syllabus of the seminar:

* See new breakout possibilities… in global investing.

* Benefits of early investments in an oil that’s up 22.8 times in the past ten years.

* Beyond Gold.  Three hard assets that protect against all currency erosion.

* The Small Country Effect. Why small markets rise more than large ones.

* Top Value small markets and how to easily invest small or large amounts.

* The best four currencies for the year ahead.

Few decisions are as important to your wealth as WHICH CURRENCIES to invest in. This has been our area of expertise since the 1970s.  Learn how to use ETFs to gain multi currency diversification.

Details in this session also include:

* How to easily buy global currencies, shares and bonds.

*  The benefits of investing in real estate in Small Town USA.  We will share why the value is special and why we have been recommending good value real estate in this area since 2009.

* What’s up with gold and silver.  One session looks at my current position on gold and silver and asset protection.  We review the state of the precious metal markets and potential problems ahead for US dollars – how interest rates at zero eliminate opportunity costs of diversification in precious metals and foreign currencies.

* New tax strategies.  How to create businesses that earn income and reduce tax.

gary scott

Gary Scott at a multi currency session

The course begins with a 1000 Year Economic Review that leads us up to where markets are in 2015.

Learn how to:

* Find good investing value.

* Use Multi Currency Portfolios.

* To use multi currency for diversification-speculation & hedge.

* Earn in water and agricultural investing.

* Gain with special situations now for aggressive growth

Join Merri and me for this multi currency economic update seminar.

gary-scott

Gary Scott speaking to 400 delegates in Quito, Ecuador

Sept 4-5-6, 2015, West Jefferson, North Carolina.  Multi Currency, Protect Against a Weak Dollar Investing Seminar. (Normally $799 or $999 for a couple)

Join my wife, Merri, and me at our International Investing Seminar. Enroll here $799. Couple $999

Gary

Chaos Theory: A Brief Introduction


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