Tag Archive | "keppler"

Three Words Create a FAB Idea


Here are three steps we can take to have a fabulous lifestyle.

These steps, that can create a fab future, can be summed in three words, “Change… Our… Perception”.

ecuador-car-rentals

This was my first car when I turned 16, a powder blue 58 Chevy.  That seemed like a great car… then.  I would not want to drive it (even if it were new) much now.  Human nature causes us to look at the past as “good old days”.   Production standards have risen a lot in recent decades but, by romancing the past, we can forget how much better so many products are now.

We tend to look at the past with rose colored glasses.  The past becomes “the good old days” even when they were not so good.  This rosy tint is created by a form of memory bias, called “Fading Affect Bias” or FAB.  FAB is caused by a neurobiological reaction in many mammals.  FAB makes positive events in our past more attractive than negative events.  As time passes, we remember the events that made us feel good more than those that made us feel bad.

FAB is great in some ways.  Dwelling on past negatives (except to learn and improve from them) does not get us anywhere.  Nor does “downer thinking” feel good.  The downside is that FAB allows us to fool ourselves into making errors, such as thinking that returning to the past will make the future better.  FAB can rob us of the excitement and adventure of living in such wonderful times of opportunity right now.

For example, a Wall Street Journal article “Economists Disagree With Voters Who See U.S. Worse Off Today Than in 1960s” (1) reviews a poll that asked if life in America is better today than 50 years ago.   A plurality of 46% said things were worse now.  Only 34% said life today is better than in the 1960s.

Yet 88% of economists who were asked in a poll said the U.S. is better today than in 1960 and 87% see today as better than 1980.

The facts are clear.  Industrialized society has seen a six times increase in wealth in the last century.  Almost everyone is richer even though most of the world has become cynical.  Modern communications allow us to better see growing discrepancies between the rich and poor.  This clearer picture of reality creates anger, turmoil, hatred and war.

There are many factors that make it seem like the quality of life has deteriorated in the past few decades.  Wages and available jobs have deteriorated for some groups, especially men without high-school diplomas and men working in manufacturing.  This is a large group so this change is often covered in the news.

Uncertainty is far higher.  Americans, overall, may be wealthier than in the past, but faster change and destructive technology have created more uncertain times in the labor market.  There are not many cradle to grave jobs left.  This might seem like bad news for those who have forgotten the messages contained in “The Man in the Gray Flannel Suit”.

Plus the technology of connectiveness makes the world a less connected place.  Our interface with so many businesses are with computers, recordings, algorithms, websites, instead of people.  No mater how good these contacts are, none of them are much of a match for a human voice that asks, “How are you?  How can I help?” and means it.

When we are turned into numbers instead of names and when we lose human contact, we feel caught in more of a hostile, frustrating, uncaring habitat.

The difference between the rich and the poor everywhere makes many people unhappy.  The US has one of the worst discrepancies between the top and bottom 10% of wealth.  This is good if you want to be really rich.  The US is a great place to become rich but we Americans need to reduce this income discrepancy.

Yet the fact remains that wealth is growing around the world and that US standards and growth are among the best.

One of the core principles of our investing and business philosophy for almost 50 years has been to live, bank and invest where it is best for you, not just where you were born.  This does NOT mean that where you were born and live is not the best place to be or to invest.  

Merri and I have lived all over the world, the US, London, Ecuador, Dominican Republic, Isle of Man, England, Germany and Hong Kong.  We choose to live in the USA.   This is the best place for us, for now, based on our  particular circumstances.  Yet we are not investing in US shares.  The US economy and stock market have incredible opportunity, but right now investors pay way too much for the US shares.  The USA is a great place to be but the US stock market as a whole is overvalued.

Europe is a great place to be right now as well and the MSCI USA Index Price to Book Value is 40% higher than the MSCI Europe Index.  The US Index’s average dividend yield is 71% lower than Europe’s.

keppler chart

The best value is the Keppler Developed Markets Top Value Portfolio.  The price to book value of this portfolio is 1.27 compared to the MSCI US index of 2.81.   We can can enjoy the benefits of living in the US, or wherever is best us, but we can also invest in stocks where they give us the best value.

Here are three ways to change our perceptions so we can enjoy and profit from the “Good Now Days”.

#1: Realize that it is human nature to look at the past through rose colored glasses as well as to resist change.  We can avoid making this error and look for ways that such incorrect thinking creates value in the here and now.

#2: Measure the here and now in factual mathematical terms instead of drama laden daily news.  Use financial information instead of advertising driven, subscription based economic news.

#3:  We can look for and at the current successes all around us instead of focusing on failures.  We can seek understanding of why these successes are working now and look for ways to incorporate such lessons into our lives.

These three steps can help us create a fab lifestyle of excitement, adventure and fulfillment right now.

Gary

(1) http://www.wsj.com/articles/economists-disagree-with-voters-who-see-u-s-worse-off-today-than-in-1960s-1463061602

 

How to Really Make America Great Again


What does  it take for us to make America great again?   The answer can be summed in three words, “Change… Our… Perception”.

One of the core principles of our investing and business philosophy for almost 50 years has been to live, bank and invest where  it is best for you, not just where you were born.  This does NOT mean that where you were born and lived is not the best place to be or to invest.

This is why Merri and I are living in he USA and investing in US real estate but not US shares.   The chart below shows that the USA is a great place to be.

ecd char

OECD chart in Economist magazine (1).

However, if one listens to the various politicians stumping for office, it would seem as if the country has become a basket case.  This incorrect dialogue can throw our perspective astray, so let’s readjust our view by looking at some facts:

#1: Industrialized society has seen a six times increase in wealth in the last century.

#2:  Almost everyone is richer but most of the world has become cynical. Modern communications allows us to better see growing discrepancies between the rich and poor. Few people have confidence in governments, big business, or even some churches.

#3: This growing gap between the rich and the poor is leading to greater and greater turmoil, hatred and war.

This anger ignores the fact that we have all become better off and the USA is one of the greatest places to live.

The OECD began publishing a “Better Life Initiative” in May 2011.   The attempt is to bring together internationally comparable measures of well-being.

Well Being includes: Housing, Income, Jobs, Community, Education, Governance, Health, Life Satisfaction, Safety and Work-life balance.

The US has highest net disposable income,  household net financial wealth and personal earnings, by far.  See the latest findings as of May 2016 at the OECD website (1).   The US ranks well in almost every category.

Warren Buffett has a message about this for presidential candidates who have been spreading doom and gloom about the United States.  He says:  “America is great, and her children will inherit a better country than the previous generation. The babies being born in America today are the luckiest crop in history.”

Economic fundamentals support Buffet’s claim.

The tidal flow of economic opportunity is pushed by supply and demand.  As the global population grows, new technology allows a larger population to be increasingly productive.  Population (demand) and production (supply) grow.   These are the underlying ground swells that push a rising tide of wealth in the global economy.  We have a growing population, improved technology and increased production.  This means there are more services and products (supply) and more people to buy them (demand).

Wealth is growing around the world.  The US growth is one of the best of the developed worlds. 

The Federal Reserve Statistical Release of March 10, 2016 for the fourth quarter of 2015 shows that the net worth of households and nonprofits rose to $86.8 trillion.  The value of directly and indirectly held corporate equities increased $758 billion.  The value of real estate rose over 450 billion.

Financial Accounts of the United States Flow of Funds, Balance Sheets, and Integrated Macroeconomic Accounts: (Source Federal Reserve) (2).

Federal Reserve

There is, however, a growing inequality of wealth.   The US has one of the worst discrepancies between the top and bottom 10% of wealth.  This is good if you want to be really rich.  The US is a great place to become rich.

The difference between the rich and the poor makes many people unhappy.  We Americans need  to work on that, so it is an opportunity.

We may not personally be able to totally change all inequality, but we can help.  We can do many things to assure that we are not among the poor and to make sure that what we do also helps reduce income inequality.

This is why I named our course on value investing the Purposeful investing Course (Pi).  We need profit from our investments, but also need our investments to have a purpose that is meaningful to us as individuals.

This is also why I am not investing in US shares.  Many factors such as natural resources, efficiency, distribution of wealth and confidence cause a steady rise and fall of value of shares.

There is so much confidence in the US right now that investors pay way too much for the US shares.

This is why we need to always seek value.  The US is a great place to be but the US stock market as a whole is overvalued.

The MSCI USA Index Price to Book Value is 40% higher than the MSCI Europe Index.  The US index’s average dividend yield is 71% lower than Europe’s.

keppler chart

The best value is the Keppler Developed Markets Top Value Portfolio.  The price to book value of this portfolio is 1.27 compared to the MSCI US index of 2.81.   You can enjoy the benefits of living in the US, or wherever is best for you, but invest in stocks where they give you the best value.

Gary

(1) http://www.economist.com/blogs/graphicdetail/2012/06/daily-chart-1

(2) http://stats.oecd.org/index.aspx?DataSetCode=BLI#

(3) https://www.federalreserve.gov/releases/z1/current/z1.pdf

 

Investing Alternatives With Value


Live where you love but invest where it is best for you.  The two places are not always the same so always take a more global view.  Look for investing alternatives with value everywhere.

One of the huge tensions that creates so much stress today is that political evolution has not kept pace with commercial gains.  Many people still think of themselves as a member of one tribe or another. “I am American or I am Chinese or I am Iranian,”   They separate themselves emotionally from other human beings in this guise… yet marry them in the market place.  This is one reason why the political drama has become so.  Prime Ministers, presidents, parliamentarians, politicians and candidates of all sorts spend all their time bashing opponents instead of outlining some semblance of a a policy or plan that will guide their nations.

This is because events of all national leaders is beyond their control.   This has always been the case… leaders cannot control all those within their jurisdiction. They have even less influence with those outside their borders.  Due to technology and the logic of global economics… those living outside another nation’s borders have far more impact than ever before.

Winston Churchill acknowledged this thought when he said, “If the Almighty were to rebuild the world and asked me for advice, I would have English Channels round every country. And the atmosphere would be such that anything which attempted to fly would be set on fire.”

Pandora has well and truly opened that box so there we have it… a global economy running a tribal political world.

We cannot change this fact, but we can adapt. We can use the technology to live where we love but invest and earn where it is best for us.

For example, a reader wrote:  Hello Gary…I am coming to Ecuador soon, hopefully with my husband.  I wonder if you can give me a recommendation for a bank or banks in Ecuador to use.  Have you been wiring funds back and forth and can you give any pointer on how best to do that? What to watch out for?

Our advice is to not put more than you need in an Ecuador bank.

I replied:  We used Banco Pichincha but mainly just live off ATM from a US account and or wire in larger amounts to buy real estate only as it is needed.

Funds over $2,000 coming out of Ecuador are now taxed at 5%. Put in $2,000 and you can only take back $1,900. That’s not a good deal.

If you deposit large amounts ($50,000 or more) be sure to clear in advance with the receiving Ecuador bank so they are satisfied that these funds come from a legitimate source.  I had a couple hundred thousand frozen and almost lost a real estate deal because a bank froze funds even though my Danish bankers emailed the fact that the funds were from our pension account.  The Ecuador bank did not accept that explanation.  Only a threatened law suit by our attorney released the funds.   Regards,

Why invest in Ecuador when global stock markets make great sense now?  There are several reasons why this may be a time to start a huge run of profits.

One reason is that statistically…. equity markets are now selling at a good value.  Michale Keppler wrote in his latest quarterly equity value analysis:

Keppler analysis

(Click on photo enlarge).

Our implicit three-to-five-year projection for the compound annual total return of the equally weighted World Index now stands at 15.1 %, down from 17.0 % last quarter. The upper-band estimate of 14,084 by September 30, 2016 implies a compound annual total return of 20.4 %, while the lower-band value of 9,390 corresponds to an estimated compound total return of 8.8 % p.a.

Last quarter, I laid out the reasons for our optimistic outlook in detail based on the development of earnings, cash flows, dividends and book values, which had grown by 8.3, 8.1, 8.8 and 9.1 percent, respectively, compounded annually from the turn of the century through June 30, 2012.

I also pointed out that the trend of shrinking multiples in connection with negative real interest rates for many bonds should have exhausted itself and will very likely run out of steam over the coming years. A turnaround in the valuation levels may come sooner rather than later. There is a good chance that it is happening already.

For the forecasts to be accurate we assume that each of the 18 markets included in our equally weighted World Index – these are those developed markets which have been a constituent of the MSCI World Index since its inception in December 1969 – will reach its respective expected value over the coming three to five years.

This assumption has proved to be accurate on average over long periods in the past. Like all value concepts, the warnings tend to come early as do the signs of optimism in times of severe undervaluation – like those we experience currently.

Interestingly, the former Fed Governor Alan Greenspan first warned of “Irrational Exuberance” on December 5, 1996, when the upper valuation band in our chart was first breached on the upside – even though the global bull market in equities continued another three years before the bubble burst. When Warren Buffett mentioned that stocks should “produce long-term returns far superior to bonds” in his famous article “You Pay a Very High Price in the Stock Market for a Cheery Consensus” in the Forbes issue of August 6, 1979, it took exactly three years to August 13, 1982 for one of the biggest global bull markets in stock market history to get started.

We prefer being early to being sorry.  Michael Keppler

Keppler’s analysis and thinking are in line with our study of long term equity market waves.

A chart of the Dow Jones Industrial we reviewed at our last Super Thinking + Investing & Business seminar looked at how after the 16 year 1966 to 1982 bear market ended… despite a recession just ending in the US (and lasting in most of the world till 1985) the Dow started a steady climb for 17 years.

dow-stock-chart

Click to enlarge or go to stockcharts.com

This time from 1982 to 1990 was the darkest hour… when the herd was thinking negatively but the reality was that a boom was on!   I recall how the book “Bankruptcy 1995: The Coming Collapse of America and How to Stop It” by Harry E. Figgie, Jr., with Gerald J. Swanson became a New York Times best seller in the early 1990s.  Most investors had still not caught on to the fact that fortunes were being made (as the chart above shows).

Then in 1999 another bear market began and history suggests that the end of this bear is near.

We can be like the smart investors who began investing in 1982 while everyone else cried in their beer or not.

I have been increasing my equity portfolio for almost a year now and plan to continue doing so.

By all means live in and enjoy Ecuador…. just do not do all your banking and investing there!

We leave most of our funds with our investment manager Jyske Global Asset Manager (JGAM) in Denmark and when we need liquidity wire it from there.

You can learn more from JGAM Senior VP Thomas Fischer at fischer@jgam.com

Non US investors contact René Mathys at mathys@jbpb.dk

The sun always shines somewhere and provides many places we might love to live.  There is also always opportunity somewhere.  Modern technology allows us the ability to live where we love but protect our savings, investments and pensions in places where profits are most likely.

Gary

Update what’s happening with investments globally and see where to invest next at our February 1-2-3, 2013

 

Emerging Market Values Update – Bank Robbery in Reverse


See the Emerging Market Values update for the Spring of 2012.  First learn about the greatest bank robbery of all time… taking place… right now.

One of the biggest bank robberies in history is taking place… yet unlike with Ma Barker, John Dillinger and Bonnie and Clyde the Feds are not making a fuss.  That’s because these bank robberies are in reverse.

website shots tags:

Banks have really changed. An old bank.

website shots tags:

New Bank.  Car that promotes new bank near our home… the First Green Bank.

There is a well known saying “follow the money”.   In investing this is normally not true.  Wise investors invest where a lack of money creates value and a lack of money you receive from your bank tells all about this robbery.

Years ago I was asked to testify as an expert witness in a Federal fraud case on behalf of the defense team of one of my readers.  The reader had been a real estate developer who was unable to meet his commitments when his banks withdrew their lines of credit.   The point  I outlined was that after a great deal of expansion by the Fed… bank profits rose dramatically at the same time that bank lending slowed almost to a stop.  The case, by the way, was dismissed.

We have a similar scenario today.  Though banks were fed liquidity. Profits have risen significantly while lending by banks has stalled.

In 2011 bank profits soared but loans made by banks hardly rose at all.

In the first quarter of 2011 bank profits saw a 66.5 percent increase from the same period  2010… the best since mid 2007. By the third quarter, according to the FDIC’s quarterly report, banks earned $35.3 billion in profits in the quarter, up $11.5 billion from the same 2010 quarter.

Profits then rose $26 billion in the final three months of 2011— 23 percent gain over the final quarter of 2012.

At the same time, loans in 2011 did not rise.

The Bank for International Settlements issued a brief in November 2011 that explained why. The abstract said:   This paper examines whether the rescue measures adopted during the global financial crisis helped to sustain the supply of bank lending.  While stronger capitalisation sustains loan growth in normal times, banks during a crisis can turn additional capital into greater lending only once their capitalisation exceeds a critical threshold. This suggests that recapitalisations may not translate into greater credit supply until bank balance sheets are sufficiently strengthened.

We can see in this chart from the Federal Reserve how 2011 bank lending stalled and in the case of real estate loans, fell.

Fed-chart tags:

The fact is banks have to make money somewhere to buck up their reserves and they do so in a process called shadow banking. Shadow banking allows banks to earn money without having to increase their capital and reserves… so their funds go into shadow banking instead of loans.

Multi Currency subscribers can read more about shadow banking at their password protected site. Click here.

Learn how to get a password here.

Meanwhile depositors at banks are earning almost nothing.

This forces investors to take greater risks to make any return at all.

One place to seek higher returns is in multi currency stock markets. For the past several decades, the best place to gain these returns has been in emerging equity markets.

Good value is now harder to find in emerging markets as they mature and as more investors’ earnings (almost zero at banks) are willing to push their equity prices everywhere beyond realistic values.

This is why once a quarter we look at an emerging equity market value analysis by Michael Keppler.

If you are a new subscriber learn about Keppler Asset Management here.

Here is Keppler’s latest emerging market value analysis for the first quarter of 2012:

Recent Developments & Outlook

Emerging Markets equities advanced again in the first quarter 2012. The Morgan Stanley Capital International (MSCI) Emerging Markets Total Return Index (December 1988 = 100) gained 10.7 % in local currencies, 14.1 % in US dollars and 11.2 % in Euros. The Euro gained 2.6 % versus the US dollar in the first quarter 2012. It now stands at 1.3317 (USD/EUR) as compared to its year-end 2011 level of 1.2982.

All three regional indices advanced last quarter: Asia by 11.5 %, Europe, Middle East and Africa (EMEA) by 8.9 % and Latin America by 10.2 %.

Performance numbers are in local currencies unless mentioned otherwise.

All twenty-one Emerging Markets covered here,  advanced last quarter.

The three best performing markets were Egypt (+41.3 %), Turkey (+20 %) and the Philippines (+18.6 %).

Morocco (+1.7 %), the Czech Republic (+3.8 %) as well as Indonesia and Malaysia (both up 4.9 %) fared worst last quarter.

The Top Value Model Portfolio based on the Top Value Strategy (December 1988 = 100) gained 14.5 % in local currencies, 19.5 in US dollars and 16.5 % in Euros last quarter.

There was no change in our performance ratings last quarter.

The Top Value Model Portfolio contains the ten national MSCI markets Brazil, China, the Czech Republic, Egypt, Hungary, Poland, Russia, Taiwan, Thailand and Turkey at equal weights.  According to our performance ratings, a combination of these markets offers the highest expectation of long-term risk-adjusted performance.

The following table shows how the Emerging Markets Top Value Model Portfolio compares to the MSCI Emerging Markets Index at the beginning of 2012 based on selected asset and earnings valuation measures:

website shots tags:

website shots tags:

 

Here is why equity investments in Euro markets may now be more attractive than in emerging markets.

keppler tags:
Last week this site reviewed the values of major equity markets

The chart above was included and you can see that European shares are currently selling at a PBV (price to book value of 1.48.   Compare this to the good value major markets at 1.09 versus the world at 1.79 and major markets at 1.72.  Europe’s PE ration (price to earnings) is also low at 12.1 compared to 11.8 for emerging markets. this is significant because emerging market pe ratios have always been low due to their capital growth rather than earnings potential.

Multi Currency Subscribers can read an in depth 48 page report on all emerging market values at their password protected site. Click here.

Learn how to get a password here.

Gary

Emerging Market Value Update – January 2012


Emerging Market Value Update – January 2012

Fwd: time-photo

Photo from Time Magazine article about China and Japan trading their currencies directly rather than through the US dollar..

There is a well know saying “follow the money”.  In investing this is normally not true.  Wise investors invest where a lack of money creates value.

Looking for emerging market value, we can see two important stories that affect value in emerging markets this quarter.  

The first story relates to emerging versus major markets. For decades emerging markets offered better value than emerging.

Now investor sentiment has changed. Modern communications provide more data about emerging markets. Investors have more confidence. In addition investors…. with great reason have lost confidence in major markets.  This is not surprising with the recent sovereign debt downgrades. Some major nations debt is now in junk status.  This has created great value in major markets.  European shares especially are oversold because of the euro worries.

Demographics in the USA favor the U.S. over nearly every other rich country n the world.  Four million people reach 21 years old each year and this will eventually return home building to its previous million houses a year (right now under 700,000).  With corporate American so lean and inventories so low… growth is very likely to set in.  The creates great value in the US now.   See more on major market values here.

The second story relates to China.  China’s expansion will be an engine that will help run the global economy in to the next decade.

Recently Japan and China have agreed to promote direct trading of the yen and yuan without using dollars. This will encourage the development of a market for companies involved in the exchanges and help Chinese-Japanese trade because direct yen- yuan settlement should reduce currency risks and trading costs.

Japan will also apply to buy Chinese bonds next year, allowing the investment of renminbi to leave China during the transaction., the Japanese and Chinese governments said.

China is now Japan’s biggest trading partner with $340 billion in two-way transactions last year.  Yet China’s equity market has suffered which creates a special value as you’ll see below.

This is why once a quarter we look at an emerging equity market value analysis by Michael Keppler.

If you are a new subscriber learn about Keppler Asset Management here.

Here is Keppler’s latest emerging market value analysis for the third quarter of 2011 says:

Recent Developments & Outlook

Last quarter, Emerging Markets equities recovered some of the declines suffered during the first nine months of 2011. The Morgan Stanley Capital International (MSCI) Emerging Markets Total Return Index (December 1988 = 100) gained 4.8 % in local currencies, 4.4 % in US dollars and 7.9 % in Euros.

In 2011, the Index lost 12.7 % in local currencies, 18.4 % in US dollars and 15.7 % in Euros. The Euro lost 3.2 % versus the US dollar both in the last quarter and in 2011. It finished the year at 1.2982 (USD/EUR) — 3.2 % below its year-end 2010 level of 1.3416.

All three regional indices advanced last quarter: Asia by 3.6 %, Europe, Middle East and Africa (EMEA) by 3.8 % and Latin America by 9.2 %.

Year to date, Asia is down 14.5 %, EMEA 9.3 % and Latin America 10 %. Performance numbers are in local currencies unless mentioned otherwise.

Fifteen Emerging Markets advanced and six markets declined last quarter.

The three best performing markets were Thailand (+13.1 %), Peru (+12.5 %) and Malaysia (+10.9 %).

Turkey (-14.4 %), Egypt (-10.8 %) and Morocco (-7.5 %) fared worst last quarter.

In 2011, four markets were higher and seventeen markets declined.

The biggest winners last year were Indonesia (+6.7 %), South Africa (+4.5 %) and Malaysia (+2.9 %).

Egypt (-44.9 %), India (-25.4 %) and Peru (-21.4 %) performed worst in 2011.

There was one change in our performance ratings last quarter: China was upgraded to “Buy” from “Neutral” at the end of October.

The Top Value Model Portfolio now contains the ten national MSCI markets at equal weights:

Brazil,

China,

the Czech Republic,

Egypt,

Hungary,

Poland,

Russia,

Taiwan,

Thailand,

Turkey

According to our performance ratings, a combination of these markets offers the highest expectation of long-term risk-adjusted performance.

The following table shows how the Emerging Markets Top Value Model Portfolio compares to the MSCI Emerging Markets Index at the beginning of 2012 based on selected asset and earnings valuation measures:

keppler charts

Multi Currency portfolio Subscribers can see full data on Keppler’s buy hold and sell value analysis at the Multi Currency Password Protected Site.

See how to get a Multi Currency password here

Gary

 

 

Up 26.5% in 3 months as Markets Crash


Read about my latest report for your Kindle at Amazon.com.   Amazon Prime members can borrow for Kindle free!

The data below shows how and why a good value major market was up 26.5% in a year when most stock markets crashed.

See the Global Major Market Values Update as of January 1, 2012 below.

euro

First see the major market in the euro that has skyrocketed up because it had dropped so far below reason that it offered incredible value.

The euro. Can it survive?

Excerpts from a recent article in the Financial Times question the ability of the euro to survive.  The article entitled “S&P downgrades France and Austria” by Gerrit Wiesmann in Berlin, Peter Spiegel in Brussels and Robin Wigglesworth in London says:  The eurozone debt crisis returned with a vengeance on Friday as Standard & Poor’s, the credit rating agency, downgraded France and Austria – two of the currency zone’s six triple A rated countries – as well as seven nations not in that top tier, among them Italy and Spain.

This is bad news for the euro and global economy but this is not the worst of it.  The article went on to point out:  S&P, also gave 14 of 16 countries – including France, Italy and Spain – a negative outlook, which means there is a one-in-three chance for each country of a further downgrade this year or next.

The agency downgraded France and Austria by one notch to double A plus, while it cut Italy Spain and Portugal by two notches. Portugal has now been relegated to “junk” status by the three main rating agencies following similar actions by Moody’s in July and Fitch in November. Ireland held its rating.

The downgrades reignited fears about the fiscal sustainability of the eurozone and the knock-on effect on its rescue fund, which could now lose its own triple A rating, reducing its firepower or forcing eurozone nations to increase contributions yet again.

The really bad news is that a day later S&P downgraded the eurozone bail-out fund.   This means that the eurozone’s bail-out fund without a AAA credit rating, will have a harder time containing the euro debt crisis.   The cost of holding the euro together will rise.

Deeply profound problems like this will keep economic markets in turmoil for some time.   This turmoil however makes finding value more important than ever before.

The way value can surprise us with a 26.5% jump is shown below.

Here is an update on the values of major stock markets by Keppler Asset Management.

Fwd: keppler

Michael Keppler

The global economy is in tension.  US and Western European economies are both being forced to face up to debt, aging populations and huge unfunded future obligations in pensions, medical care and who knows what, amid a disintegrating, global social cohesion evidenced by terrorism… revolution and internal strife such as the bombing and killing in Norway.   

Huge losses will occur as the dollar and euro, or whatever currency format emerges in Europe,  lose purchasing power.

The best way to protect against these losses is by always seeking value.

Understanding value is the tricky part because in these difficult times investors ALWAYS overestimate the risk and create extra value.

This is why the bad boy of European markets last quarter made investors a cool 26.5% n just three months.

This is also why once a quarter we look at a major equity market valuation analysis by Michael Keppler.

If you are a new multi currency subscriber learn about Keppler Asset Management here.

Here are Keppler’s Comments on Major Market Value for the last quarter to January 1, 2012.

Recent Developments & Outlook

Global Equities had reached their 2011 high in April and after that declined for five consecutive months before recovering again in the last three months. The Morgan Stanley Capital International (MSCI) World Total Return Index (with net dividends reinvested, December 1969 = 100) finished the year up 7.8 % in the fourth quarter),  (+7.6 % in US dollars and up +11.2 % in euro).

In 2011, the MSCI World Index declined 5.5 % both in local currencies and in US dollars and 2.4 % in Euros.

The Euro lost 3.2 % versus the US dollar both in the last quarter and in 2011. It finished the year at 1.2982 (USD/EUR) — 3.2 % below its year-end 2010 level of 1.3416.

Eighteen markets advanced in the final quarter 2011, six markets declined.

Ireland had the highest return (+26.5 %), followed by Denmark (+11.8 %) and the US (+11.5 %).

Greece (-25.1 %), Portugal (-6.5 %) and New Zealand (-4.2 %) performed worst last quarter.

The best performing markets in 2011 were Ireland (+17.5 %), New Zealand (+5.7 %) and the US (+1.4 %).

Greece (-61.5 %), Austria (-34.3 %) and Finland (-29.6 %) were last year’s worst performing markets. Performance is shown in local currencies, unless mentioned otherwise.

Fundamentals have improved remarkably in 2011 moving in the opposite direction of stock prices: Compared with their end of 2010 levels, book values, 12-month trailing earnings and dividends of the Equally Weighted World Index grew by 9.1 %, 9.3 % and 19.1 %, respectively, last year. In addition, opportunity costs — i.e. the low interest rate environment — continue to make stocks look attractive.

There were no changes in our performance ratings last quarter.

The Top Value Model Portfolio holds the six “Buy”-rated markets Austria, France, Germany, Italy, Japan and Norway at equal weights.

According to our analyses, a combination of these markets offers the highest expectation of long-term risk-adjusted performance.

The table below shows how the Major Markets Top Value Model Portfolio compares to the MSCI World Index, the MSCI Europe Index and the MSCI US Index at the beginning of 2012 based on selected variables. To demonstrate the current attractiveness of global equities in general, we also show the key variables of the MSCI World Index as of December 31, 1999, when the MSCI World Index reached its all time-high both in price and in terms of valuation. Compared with those levels, the MSCI World Index is now 59.2 percent cheaper. This explains to a large extent why the developed markets had been a loser in the first decade of the new millennium.

keppler-charts

Based on their current valuation levels, I believe that the second decade should turn out just fine for global equities in general and better yet for the Major Markets

Which portfolio would you rather have? While nobody in a MSCI World Index at the valuation levels experienced at the end of the last millennium, global equity investors should ask themselves what makes more sense today:

* invest in US equities at a premium of 64 % compared to the MSCI Europe Index,

* invest in the MSCI World Index at a premium of 31 % compared to the MSCI Europe Index, or

* invest in the Top Value Markets at a discount of 10 % compared to the MSCI Europe Index.

Our implicit three-to-five-year projection for the compound annual total return of the Equally-Weighted World Index now stands at 17.6 %, down from 19.2 % last quarter — see chart below.

keppler-charts

A look at the Irish Stock Exchange ISEQ General Index shows how the shares recovered after investors paniced mid 2011 and fled this market.

irish-market-chart

Irish ETF

iShares ETF managers offers the MSCI Ireland Capped Investable Market Index Fund (Symbol EIRL NYSE) U.S.-listed ETF which provides exposure to the Irish economy.

EIRL is linked to the MSCI Ireland Investable Market 25/50 Index, a benchmark that is designed to measure the performance of stocks in the top 99% by market capitalization of equity securities listed on stock exchanges in Ireland.  The index consisted of appx. 20 securities, with large allocations to the materials (25%), consumer staples (23%), and industrials (18%) sectors.  Large holdings include  CRH PLC, an Irish building materials group, the food company Kerry Group (11%) and drug development firm Elan Corporation (9%).

Since Ireland is a neutrally ranked market (by Keppler) and has enjoyed this last quarter spurt… others markets make better value sense now.

See which markets and why the Danish market is now in sell territory at our upcoming Super Thinking + Investing and Business Seminar.

Multi Currency portfolio subscribers can see Keppler’s full analysis of major markets at the password protected site here.

Learn how to obtain a Multi Currency portfolio password here.

Gary

 

Global Emerging Markets Value Update – October 2011


Look for emerging market value.  Times and conditions are changing.  We cannot count on emerging markets rising as they have in the past. See three stories of change, emerging markets and value below.

Talk about change!   Story #1 is about the weather. This last week we were in Wyoming photographing wildlife and playing with grandkids. Sunday and Monday we were in short sleeves.

antelope

On Monday afternoon the antelope looked like this.

Temperatures were in the 70s… the sky a bowl of pure powder blue and I was getting sunburned.

By Wednesday the photos I took of the antelope had changed along with temperature… down to 12 degrees F!

antelope

Antelope Wednesday morn.

That ended my thoughts of taking our granddaughters Sequoia and Teeka hiking.

gary-scott

Here we are in the afternoon snow.

With the weather it’s pretty easy to bring along extra layers of clothes… look outside in the morning and dress perfectly for the entire day. This was the exception. Perfect morning clothes would have left us frozen by evening.

Story # 2 is about currency volatility.  This is also a time of rapid currency change and unfortunately we cannot look out each morning to know which currency to choose.

A reader recently sent this note.  Dear Gary,  Huge thanks on your insightful articles.  I read them all the time and many few times over as they provide a lot of interesting information ahead of time.

I wrote to you before asking for advice/opinion on China and the Australian market/dollar.

I need to make a life decision very soon as to my apartment to sell or keep for another year.  All of my friends tell me to keep it as it is in a very good location, I would say a prime location that I rent all the time without a problem.  My concern is about China and commodities which could very slip as it already happened in Europe and other places.

What are your general consensus about China in the next 2 years or a  year? Do you honestly think it could be a bubble about to burst?

It is my life decision because my apartment is the only asset I have.  So if I could sell it before the bubble burst I will be smiling or very sad.. all depends on China as Australia is very closely connected.  My sincere thanks,

My reply is:  First, understand that the big wave of economic growth in China is over.   Future growth can be expected but is more complicated and less dependable.

Any investor’s position should be based on when they can buy… when they might need to sell and what and where they might need the money.  There’s no way that I could answer this reader’s question without knowing all these details.

You can get a glimpse of the problem in an October 24, 2011 Financial Times article entitled “Cost of credit on the rise in Asia” by Henny Sender that says:   Asian companies are discovering that the cost of raising money in the region, especially in US dollars, has risen even for those with strong credit ratings while for junk-rated firms the credit markets have been almost totally closed since June.

While the severity of the problem varies across the region, the trend illustrates that just as Asia’s economies have not decoupled from the west, neither have its capital and banking markets.  Given the uncertainty stalking the European and US markets, banks have less liquidity and the big investment houses hit by fund redemptions are pulling back from Asian bonds. The risk is that the lack of financing will erode economic growth, in turn deterring capital flows to Asia.

This means that investing in emerging currencies versus major market currencies must be viewed as a high risk speculation with risk of short term volatility.

Next, it is not possible to predict what currencies will do in the short term. Look at the volatility of the Australian to US dollar in the past year.

australian dollar chart

This is great motion for traders who are on top of currency moves by the minute and hour. For most of us, this is a formula for disaster if we try and take a position based on market timing.  These ups and downs are based almost entirely on unpredictable human emotion… and events beyond imagination.

The way to deal with this risk is… invest for the medium and long term and look for value!

This is why seeking value is so important.  Story #3 is about value as the harmonious aspect of existence that wishes to fill every void.  Value is the ecstasy that harmonizes away the agony of imbalance.  Value means you are buying what is NOT in demand at a price lower than the object’s or share’s worth.

This is why once a quarter we look at an emerging equity market value analysis by Michael Keppler.

If you are a new subscriber learn about Keppler Asset Management here.

Here is Keppler’s latest emerging market value analysis for the third quarter of 2011 says:

Emerging Markets stocks have suffered their largest quarterly setback since December 2008.

Last quarter, the Morgan Stanley Capital International (MSCI) Emerging Markets Total Return Index (December 1988 = 100) declined 15 % in local currencies, 22.6 % in US dollars and 16.3 % in Euros.

The Emerging Markets Benchmark now stands at $ 1,110 and € 912, respectively.

Year-to-date, the Index is down 16.8 % in local currencies and 21.9 % in both US dollars and in Euros.

The Euro lost 7.5 % versus the US dollar in the last three months and finished the third quarter at 1.3417 USD/EUR — basically unchanged from its year-end 2010 level of 1.3416.

All three regional indices declined in the second quarter: Asia was down 17 %, Europe, Middle East and Africa (EMEA) declined 12.3 % and Latin America lost 11.6 %.

In the last nine months, Asia lost 17.5 %, EMEA gave up 12.6 % and Latin America 17.6 %.

Performance numbers are in local currencies unless mentioned otherwise.

There was no place to hide in the Emerging Markets included in the MSCI Emerging Markets Index: All markets declined both last quarter and year-to-date.

South Africa (-1.3 %), Turkey and Morocco (both down 3.3 %) lost least last quarter.

Hungary (-33.6 %), China (-25.2 %) and Poland (-19.7 %) fared worst.

Indonesia (-2.2 %), South Africa (-2.7 %) and the Czech Republic (-5.6 %) performed best since the end of 2010.

Egypt (-38.3 %), Peru (-30.1 %) and China (-24.4 %) lost most year-to-date.

The Top Value Model Portfolio based on the Top Value Strategy (December 1988 = 100) declined 17 % in local currencies, 25.2 % in US dollars and 19.2 % in Euros. The Top Value Model Portfolio (December 1988 = 100) now stands at $ 21,403 and € 17,585.

Year-to-date, the Top Value Model Portfolio declined 17.9 % in local currencies and 22.7 % in US dollars and in Euros.

There was no change in our performance ratings last quarter.

The Top Value Model Portfolio contains the nine national MSCI markets Brazil, the Czech Republic, Egypt, Hungary, Poland, Russia, Taiwan, Thailand and Turkey at equal weights.

According to our performance ratings, a combination of these markets offers the highest expectation of long-term risk-adjusted performance.

SELL CANDIDATES (Low Value)   Chile            India           Indonesia       Korea.

NEUTRALLY RATED MARKETS China        Colombia      Malaysia      Mexico         Morocco      Peru    Philippines     South Africa.

Last week markets were crashing.   This week they have been strongly rising… because it appears that the euro may survive.   I predict that we’ll see plenty more euro troubles and that we’ll see plenty more up and down currency and market motion caused mainly by unpredictable market sentiment.

The way to cut through this noise and profit from this volatility is to seek value.

Gary

Learn more about Multi Currency investing here.

Belong to the International Club

Who Gets the 36 Cents?

 

I wonder.   Who does the government owe 36 cents?

According to Treasurydirect.com, as of October 31, 2017 the cost of interest on  the total US public debt of $20,467,375,664,755.32 (20 trillion+) was $24,411,569,716.36 (24 billion+).

The 36 cents isn’t much of a problem.  The other 20 trillion is.

This is good news and bad… the rock and the hard spot.  The bad news is that the rock (US federal debt) is getting bigger….harder to miss.  The Congressional Budget Office (CBO) projected in 2010 (the debt then was a bit over 14 trillion) that, under law at that time, debt held by the public would exceed $16 trillion by 2020, reaching nearly 70 percent of GDP.

They sure goofed on that.  Here we are… not quite into 2018 and debt has shot past 20 trillion.

How could the CBO be so wrong? 

The CBO screwed up because they could never imagine that the Fed would push interest rates so low… and keep them there.  The interest rates are so low that the government can borrow and borrow and still afford the interest.

For example, US Federal government interest this year will amount to around $483 billion on the 20 trillion of debt.  Yet in 2008 on debt of only $9,229,172,659,218.31 (9 trillion +) the interest that year was $451,154,049,950.63 (451 billion +).

Interest payments in 2017 are 7% higher than they were in 2008.  Yet the debt is over 100% higher.  

Very low interest rates have helped the government borrow.  Low interest has also helped the US stocks reach all time high prices.

Here is the very hard spot.  The downside is that low interest has reduced earnings of investors.  Low interest has ruined the lifestyles of many who have retired.

Here is what happened and why the problem may exist for quite a bit longer.

If investors can increase the interest rate to 6% from the lousy 1% (or so) they earn now, they gain 1,263% more over 30 years.  Anyone living off interest, who is drawing down their portfolio over 20 years, makes 57% more annual income every year.

But if investors get 6% interest instead of 1%, the government has to also pay more on it debt.

The government will resist raising rates because it will ruin their budget, cause a collapse of the stock markets and destroy the US dollar.  

Rising interest rates, that we would like to see as investors, will create an almost unimaginable debt crisis.  If government interest goes to 6% it is like the $20+ trillion national debt  rising to 100 trillion!  Unless there are some huge tax increases, a 5% increase in interest rates would increase the national debt by five times.

A tax increase?  The current tax act being proposed reduces, not increases, revenue.

This is not a theoretical problem for the future. This is not something that our children and grandchildren will have to deal with.  This is a problem in the here and now.

Interest rates create a massive problem on two sides of the same coin.  Raise rates the massive national debts ruins the purchasing power of currencies.  Keep interest rates low and capitalism does not work for investors.  Politicians simply borrow more (on our behalf) but for their benefit.

Learn how to have more freedom and time, less stress, better health care, extra income, greater safety and profit in your savings despite America’s deficits, debt and currency risk.

Fortunately there are secrets that will allow a few to live much better, free of debt and worry despite the decline in the dollar’s purchasing power.   My wife, Merri and I, have traveled, lived, worked and invested around the world for nearly 50 years to gain this information.

Let me share the basics of this data and how we can be of help through 2018.

The first fact behind this secret is that things are really good in the western world.  Despite many problems, we are surrounded by more abundance and greater opportunity than almost anyone has ever enjoyed, anywhere, ever.   To enjoy a fair share of this wealth, all we have to do is understand human nature and learn how to invest in the new economy, as it changes and becomes new, again and again.

Merri and I have made seven huge transitions in the 50 years.  Each has allowed us to always stay ahead of losses that the majority of Americans suffer.  We are in another transition right now and want to share why and what to do so you can stay ahead and live a richer, independent life through 2018 and beyond.

A falling US dollar is one of the greatest risks we have to our independence, safety, health, and wealth, but also brings a window of huge profit as I explain below.   Though the greenback has been strong for a number of years, its strength is in serious jeopardy.  The growing federal deficits increase the national debt and this with rising interest rates propels a growing debt service.

When the Dow Jones Industrial Average recently passed 20,000, another milestone of “20” took place that has a much darker meaning to your and my spending power.  The U.S. national debt passed the $20 trillion mark.

The problem is that the Dow will come back down.  National debt will not fall.

The double shock of money fleeing Wall Street and US debt skyrocketing, will destroy the purchasing power of the greenback.

Go to the store even now.  Statistics say inflation is low, but buy some bread or, heaven forbid, some fresh vegetables like peppers or fruit.   Look at the cost of your prescription or hospital bills.  Do something simple like have your car serviced at an auto dealer.  Look at the dollars you spend and you’ll see what I mean.

The loss of the dollar’s purchasing power erodes our independence, our freedom and our savings and wealth as well. 

At the same time, low interest rates by big banks and higher health care costs soak up the ever diminishing income and savings we have left.  According to a Gallup poll, the most unpopular three institutions in America are big corporations & Wall Street banks, HMOs and Congress.

Yet there is little we can do because these institutions are in control.

Over the last 50 years the average income for 90 percent of the American population fell.  Our health system is restricted by a Kafka-esque maze of legislation and insurance regulations that delay, frustrate, and thwart attempts by patients and doctors from proper medical care.  Big banks and corporations restrict our freedom of choice.  The business customer relationships are no longer transactions between free equals.

Banks can trap us in indebtedness at every age from student loans to mortgages to health care costs.  They pay almost nothing on our savings.  They hide unexpected fees and payments in complex and unreadable documents.  Banks and big corporations routinely conceal vital information in small print and then cheat.  Weak regulations and lax enforcement leave consumers with few ways to fight back.  Many of these businesses ranging from cable TV to phone and internet service to health insurance have virtual monopolies that along with deceptive marketing destroys any form of free market.

These same companies control the credit-scoring agencies so if  we don’t pay unfair fees, our credit scores will plunge and we could lose the ability to borrow money, rent an apartment, even to get a job.  Many consumers are forced to accept “arbitration clauses” in lieu of  legal rights.  The alternative is to lose banking, power, and communication services.

Big business has also usurped our privacy.  Internet companies sell our personal data.  Personal information is pulled from WiFi and iPhones track and store our movements.  The government can access this information, sometimes without subpoenas.  There’s a lot that we don’t know, often withheld under the guise of “National Security.”

The glow on Western democratic capitalism has dimmed… or so it seems.  The US, leading the way, is still a superpower with economic, innovation and military might, but the institutions that should serve the people have become flawed or broken.

America’s infrastructure is in shambles.  The nation’s bridges are crumbling, many water systems are filled with toxins, yet instead of spending more to fix this, we build more prisons.  The 2.2 million people currently in  jail is a 500 percent increase over the past thirty years.  60% of the inmates belong to ethnic groups.  Not just non-white ethnic groups are suffering.  Annual death rates are falling for every group except for middle-aged white Americans.  Death rates are rising among this group driven by an epidemic of suicides and afflictions stemming from substance abuse, alcoholic liver disease and overdoses of heroin and prescription opioids.

America’s middle class is shrinking.  Nearly  half of America’s income goes to upper-income households now.  In 1970 only 29 percent went to this group.  How can we regain our freedom, our happiness and our well being in such a world?

What can we do?

Gain a better, freer life is to combine better health, higher income and greater savings for a happier, more resilient lifestyle. 

Merri and I will celebrate our 50th year of global living, working, investing and researching to find and share ideas on how to have simpler, low stress, healthier, more affluent lifestyles.  Our courses, reports and email messages look at ways to gain:

#1:  Global micro business income.

#2:  Low cost, natural health.

#3:  Safer, more profitable, investments that take little time or cost to buy and hold… so you can focus on earning more instead

Many readers use our services for just one of these three benefits.  They focus only on health or on earning more or on better, easier investing.

27 years ago Merri and I created the International Club as a way for readers to join us and be immersed in all three of these benefits.   The International Club is a year long learning program aimed at helping members earn worry free income, have better affordable good health and gain extra safety and profits with value investments.

Join us for all of 2018 NOW.

The three disciplines, earning, health and investing, work best when coordinated together.  Regretfully the attacks on our freedom are realities of life.  There is little we can do to change this big picture.  However we can change how we care for our health, how we earn and how we save so that we are among the few who live better despite the dollar’s fall.

We start with better lower cost health care.

Club membership begins by sharing ways to be free of the “Secret Hospital Charge Master”.   Just as governments hide truth behind “National Security”, big health care businesses hide medical truths behind “Charge masters”.  Most hospital charge masters are secret because big business does not want us to know how much hospital costs have risen.  Motivations beyond our good health, like corporate greed, want to keep us in the dark about health care cost.

Despite rising health care costs, a report from the Centers for Disease Control & Prevention shows that hospitals are the last place we want to be for good health.  One report shows that hospital-acquired infections alone kills 57% more Americans every year than all car accidents and falls put together.

Often, what patients catch in the hospital can be worse than what sent them there.  Governments and health care agencies agree  – antibiotic resistance is a “nightmare.”  An antibiotic-resistant bacteria may be spreading in more hospitals than patients know.  About one in every 25 hospitalized patients gets an infection and a 2013 report from the Journal of Patient Safety showed that medical errors are the third-leading cause of death in the country.

Along with the risk of hospital acquired illness and medical errors, the second huge threat to our well being… is health care costs, especially at hospitals.  This is why charge masters are so often secret.  There are few risks to our wealth that are greater than a hospital stay.

I have created three natural health reports are about:

#1: Nutrition

#2: Purification

#3: Exercise

Each report is available for $19.95.  However you’ll receive this free as club member and save $59.85.

Club members also receive seven workshops and courses on how earn everywhere with at home micro businesses.  We call this our “Live Well and Free Anywhere Program”.   The program contains a series of courses and reports that show ways to earn and be free. These courses and reports are:

  • “International Business Made EZ”
  • “Self Fulfilled – How to Write to Sell”
  • Video Workshop by our webmaster David Cross,
  • The entire weekend “Writer’s Camp” in MP3
  • The report “How to Raise Money Abroad”
  • Report and MP3 Workshop “How to Gain Added Success With Relaxed Concentration”
  • The course “Event-Full – How to Earn Conducting Seminars and Tours”

This program is offered at $299, but is available to you as a club member free.  You save $299 more.

Next, club members participate in an intensive program called the Purposeful investing Course (Pi).  The purpose of Pi is finding value investments that increase safety and profit.  Learn Slow, Worry Free, Good Value Investing.

Stress, worry and fear are three of an investor’s worst enemies.  These destroyers of wealth can create a Behavior Gap, that causes investors to underperform in any market good or bad.  The behavior gap is created by natural human responses to fear.  Pi helps create profitable strategies that avoid losses from this gap.

Lessons from Pi are based on the creation and management of a Primary Pi Model Portfolio, called the Pifolio.  There are no secrets about this portfolio except that it ignores the stories from economic news (often created by someone with vested interests) and is based mainly on good math that reveals the truth through financial news.

The Pifolio is a theoretical portfolio of MSCI Country Benchmark Index ETFs that cover all the good value markets using my 50 years of global experience and my study of the analysis of four mathematical investing geniuses (and friends).

There are seven layers of tactics in the Pi strategy.

Pi Tactic #1: Determine purpose and good value.

Pi Tactic #2: Diversify 70% to 80% of portfolio equally in good value developed markets.

Pi Tactic #3: Invest 20% to 30% equally in good value emerging markets.

Pi Tactic  #4:  Use trending algorithms to buy sell or hold these markets.

Pi Tactic  #5:  Add spice speculating with ideal conditions.

Pi Tactic  #6: Add spice speculating with leverage.

Pi Tactic  #7:  Add spice speculating with forex potential.

The Pifolio analysis begins with a continual research of international major stock markets that compares their value based on:

#1:  Current book to price

#2:  Cash flow to price

#3:  Earnings to price

#4:  Average dividend yield

#5:  Return on equity

#6:  Cash flow return

#7:  Market history

We combine the research of several brilliant mathematicians and money managers with my years of investing experience.

This is a complete and continual study of what to do about the movement of international major and emerging stock markets.  I want to share this study throughout the next year with you.

This analysis forms the basis of a Good Value Stock Market Strategy.  The analysis is rational, mathematical and does not worry about short term ups and downs.  This strategy is easy for anyone to follow and use.  Pi reveals the best value markets and provides contacts to managers and analysts and Country Index ETFs so almost anyone can create and follow their own strategy.

The costs are low and this type of ETF is one of the hardest for institutions to cheat.  Expense ratios for most ETFs are lower than those of the average mutual fund.  Little knowledge, time, management or guesswork are required.  The investment is simply a diversified portfolio of good value indices.  Investments in an index are like investments in all the shares of a good value market.

Pi opens insights to numerous long term cycles that most investors miss because they have not been investing long enough to see them.

The Pi subscription is normally $299 per annum but as a club member you receive Pi at no charge and save an additional $299.

Profit from the US dollar’s fall.

In the 1980s, a remarkable set of two economic circumstances helped anyone who spotted them become remarkably rich.  Some of my readers made enough to retire.  Others picked up 50% currency gains.  Then the cycle ended.  Warren Buffett explained the importance of this ending in a 1999 Fortune magazine interview.  He said:  Let me summarize what I’ve been saying about the stock market: I think it’s very hard to come up with a persuasive case that equities will over the next 17 years perform anything like—anything like—they’ve performed in the past 17!

Club members receive a report about opportunity in the  current strength of the US dollar is a second remarkable similarity to 30 years ago.   The dollar rose along with Wall Street.  Profits came quickly over three years.  Then the dollar dropped like a stone, by 51%  in just two years.  A repeat of this pattern is growing and could create up to 50% extra profit if we start using strong dollars to accumulate good value stock market ETFs in other currencies.

This is the most exciting opportunity I have seen since we started sending our reports on international investing ideas more than three decades ago.  The trends are so clear that I created a short, but powerful report “Three Currency Patterns for 50% Profits or More.”   This report shows how to earn an extra 50% from currency shifts with even small investments.  I kept the report short and simple, but included links to 153 pages of  Good Value Stock Market research and Asset Allocation Analysis.

The report shows 20 good value investments and a really powerful tactic that shows the most effective and least expensive way to accumulate these bargains in large or even very small amounts (less than $5,000).  There is extra profit potential of at least 50% so the report is worth a lot.

This report sells for $29.95 but when you become a club member you receive the report, “Three Currency Patterns For 50% Profits or More” FREE.

Plus get the $39.99 report, “The Silver Dip 2017” free.

With investors watching global stock markets bounce up and down, many missed two really important profit generating events.  The price of silver dipped below $14 an ounce as did shares of the iShares Silver ETF (SLV).   The second event is that the silver gold ratio hit 80 and has remained near this level, compared to a range of the 230s only two years ago.

These two events are a strong sign to invest in precious metals.

I prepared a special report “Silver Dip 2015” and updated this in 2017.   The report explains the exact conditions you need to make leveraged silver & gold speculations that can increase the returns in a safe portfolio by as much as eight times.  The purpose of the report is to share long term lessons about speculating in precious metals gained through 30 years of speculating and investing in gold and silver.

The low price of silver offers special value now so I want to send you this report because the “Silver Dip 2017” offers enormous profit potential in 2017.

The report “Silver Dip 2017” sells for $39.95 but club members receive it free as well.

The $39.95 new “Live Anywhere – Earn Everywhere Report” is also free.

There is an incredible new economy that’s opening for those who know what to do.  There are great new opportunities and many of them offer enormous income potential but also work well in disaster scenarios.

There are are specific places where you can reduce your living expenses and easily increase your income.  Scientific research has shown that being in such places actually make you smarter and healthier.  Top this off with the fact that they provide tax benefits as well and you have to ask, “Where are these places?”.

Learn about these specific places.  More important learn what makes them special.  Discover seven freedom producing steps that you can use to find other similar places of opportunity.

The report includes a tax and career plan broken into four age groups, before you finish school, from age 25 to 50 – age 50-to 65 and what to do when you reach the age where tradition wants you to re-tire.  (Another clue-you do not need to retire and probably should not!)

The report is very specific because it describes what Merri and I, our children and even my sister and thousands of our readers have done and are doing, right now.

Live Anywhere – Earn Everywhere focuses on a system that takes advantage of living in Smalltown USA, but earning locally and globally.

This report is available online for $39.99 but International Club members receive it free.

Save $418.78… “plus more” when you become a club member.

Join the International Club and receive:

#1: The $299 Personal investing Course (Pi).   Free.

#2: The $299 “Live Well and Free Anywhere Program”. Free.

#3: The $29.95 report “Three Currency Patterns For 50% Profits or More”. Free.

#4: The $39.99 report “Silver Dip 2017”. Free

#5: The three $19.99 reports “Shamanic Natural Health”.  All three free.

#6: The $39.99 “Live Anywhere – Earn Everywhere” report. Free.

#7: A subscription to the Purposeful investing course… Plus more.

These reports, courses and programs would cost $767.78 so the 2018 membership saves $418.78, “plus more”.

What’s the “plus more”?

Join the International Club for $349 and receive all the above online now, plus any online reports, online course updates or online programs we create throughout 2017 all at no additional fee. The club membership entitled you to everything.

The International Club membership is $499, but we want to encourage our first 100 members for 2018 to join quickly so we are currently accepting discounted membership at $349. 

Join the International Club for $349 and receive all the above online now, plus all reports, course updates and Pi lessons through the rest of 2017 and all of 2018 at no additional fee.

Click here to become a member at the discounted rate of $349

Gary 

Read  Cost of credit on the rise in Asia

Global Major Market Values Updates – October 2011


Here is a Global Major Market Values Update as of October 2011

euro

The euro. Can it survive?

Excerpts from a recent article in the Telegraph question the ability of the euro to survive.  The article says: The single currency is close to collapse.  With Europe on the brink of a disaster, the euro must be reconstituted as an entity based on economic reality, not ideological folly.   Crisis: the Franco-German partnership which lies at the heart of the European project is fracturing as never before.

Yet again, Europe stands on the brink of abject disaster, apparently unable to resolve its differences. A monetary union that was meant to bring former enemies together, binding them to each other via irreversible economic integration, is succeeding only in tearing them apart. It is a crisis that this newspaper has consistently warned of since the single currency’s creation; it gives no pleasure to see our predictions come true.
With a meltdown in the sovereign debt markets fast metastasising into an all-embracing economic and political calamity, the Continent’s position has rarely seemed quite so imperilled since the days of the Second World War. Most worrying is that the Franco-German partnership which lies at the heart of the European project is fracturing as never before, with deep divisions over almost every aspect of the grand rescue plan.

Deeply profound questions like this will keep economic markets in turmoil for some time.  No one knows the answer which makes finding value more important than ever before.

Here is an update on the values of major stock markets by Keppler Asset Management.

Fwd: keppler

Michael Keppler

The global economy is in tension.  US and Western European economies are both being forced to face up to debt, aging populations and huge unfunded future obligations in pensions, medical care and who knows what, amid a disintegrating, global social cohesion evidenced by terrorism… revolution and internal strife such as the bombing and killing in Norway.   

Huge losses will occur as the dollar and euro, or whatever currency format emerges in Europe,  lose purchasing power.

The best way to protect against these losses is by always seeking value.

Understanding value is the tricky part.

This is why once a quarter we look at a major equity market valuation analysis by Michael Keppler.

If you are a new multi currency subscriber learn about Keppler Asset Management here.

Here are Keppler’s Comments on Major Market Value for this quarter to October 2011.

Global equity markets just ended their worst quarter since December 2008.

The Morgan Stanley Capital International (MSCI) World Total Return Index (with net dividends reinvested, December 1969 = 100) finished the third quarter 2011 at LC 1,921 (-14.8 %), $ 2,744 (-16.6 %) and € 1,085 (-9.9 %), respectively. Year-to-date, the MSCI World Index is down 12.3 % in local currencies and 12.2 % in US dollars and in Euros. The Euro lost 7.5 % versus the US dollar in the last three months and finished the third quarter at 1.3417 USD/EUR — basically unchanged from its year-end 2010 level of 1.3416.

One market advanced and twenty-three markets declined in the third quarter 2011.

New Zealand — the only winning market — gained 0.6 %, followed by Japan (-10.7 %) and Switzerland (-11 %).

Greece (-42.3 %), Austria (-32.7 %) and Italy (-25.6 %) performed worst last quarter.

Year-to-date, the situation was very similar: the best performing markets were New Zealand (+10.3 %) — again the only winning market — Ireland (-7.1 %) and Spain (-10.3 %).

Greece (-48.7 %), Austria (-33 %) and Finland (-30.6 %) performed worst in the last nine months. Performance is in local currencies, unless mentioned otherwise.

 The Top Value Model Portfolio, based on the Top Value Strategy (December 1969 = 100) using national MSCI country indices as hypothetical investment vehicles, finished the third quarter at LC 25,063 (-22.6 %), $ 23,306 (-26.5 %) and € 9,216 (-20.6 %).

Year-to-date, the Top Value Model Portfolio lost 20.9 % in local currencies and 20.5 % in US dollars and Euros, underperforming the benchmark by 7.8, 9.9 and 10.7 percentage points in local currencies, US dollars and Euros, respectively.

Last quarter’s underperformance was the worst since September 1992. I identified four main reasons for this: One, the cap.-weighted MSCI World beat the equally-weighted World Index.

Two, the Top Value markets underperformed both. And three, the US-dollar gained 7.5 % versus the Euro last quarter. Over the last 41 years, the MSCI World Index returned 7.8 % p.a. compared to 10.8 % for the equally weighted World index and 15.1 % p.a. for the Top Value markets, while the US dollar lost 2.2 % p.a. versus the Euro (DEM before 1999) on average.

I strongly believe that the long-term return-relationship between cap-weighting, equal-weighting and Top Value will continue — unless one believes that US stocks will outperform the rest of the world indefinitely.

Our empirical research shows, however, that there is a high probability that the Top Value Model Portfolio will recover and outperform in the future.

Our implicit three-to-five-year projection for the compound annual total return of the equally-weighted World Index now stands at 19.2 %, up from 13.1 % three months ago. We have to be right only directionally and not necessarily in magnitude to provide superior returns to our investors.

Photos from Oct 19, 2011

Keppler’s good value buy candidates are Austria, France, Germany, Italy, Japan and Norway.

His analysis shows that the bad value markets are Belgium, Canada, Denmark, Hong Kong, Sweden, Switzerland and the U.S.A.

Neutrally ranked markets are Australia, Finland, Greece, Ireland, Israel, Netherlands, New Zealand, Portugal, Singapore, Spain and the United Kingdom.

Since five of the six value markets are in Europe a three fund portfolio could provide a spread that is likely to catch the value… 1/6th in a Norwegian Equity Fund, 1/6th in a Japanese Equity fund and 2/3rds a good value European fund.

Norway is easy. Since 2010 there has been a Norway single-country ETF the Global X FTSE Norway 30 ETF (symbol-NORW).

The fund’s underlying cap-weighted index follows Norway’s broad equity performance of the country skewed heavily in Energy (41.4%).  Financials 18.0%, Telecommunications 11.3%, Materials 10.4%, Consumer Goods 8.8%, Consumer Services 7.3%, Industrials 2.2%, and Technology 0.5% combine the rest.

The largest percentage in the 30 share index is held by Statoil (STO) 18.9%, Dnb Nor 14.5%, Telenor A/S 11.0%, Seadrill 5.6%, Yara International 5.4%, and Norsk Hydro 5.1%. The expense ratio comes is a low 0.50%.

There are numerous Japan ETfs.  Three examples are:

iShares MSCI Japan Index Fund (EWJ)

SPDR Russell/Nomura PRIME Japan ETF (JPP)

WisdomTree Japan High-Yielding Equity Fund (DNL)

The same is true for Austria, France, Germany and Italy.

For example the iShaes series covers each market.

iShares MSCI Italy Index ETF (EWI)

iShares MSCI Germany Index Fund  (EWG:US)

iShares MSCI Austria Index Fund (EWO)

iShares MSCI France Index Fund (EWQ)

Or check out a European Value Fund we reviewed in our recent message Believe in Value.

Gary

Learn more about Multi Currency investing here.

Belong to the International Club

Who Gets the 36 Cents?

 

I wonder.   Who does the government owe 36 cents?

According to Treasurydirect.com, as of October 31, 2017 the cost of interest on  the total US public debt of $20,467,375,664,755.32 (20 trillion+) was $24,411,569,716.36 (24 billion+).

The 36 cents isn’t much of a problem.  The other 20 trillion is.

This is good news and bad… the rock and the hard spot.  The bad news is that the rock (US federal debt) is getting bigger….harder to miss.  The Congressional Budget Office (CBO) projected in 2010 (the debt then was a bit over 14 trillion) that, under law at that time, debt held by the public would exceed $16 trillion by 2020, reaching nearly 70 percent of GDP.

They sure goofed on that.  Here we are… not quite into 2018 and debt has shot past 20 trillion.

How could the CBO be so wrong? 

The CBO screwed up because they could never imagine that the Fed would push interest rates so low… and keep them there.  The interest rates are so low that the government can borrow and borrow and still afford the interest.

For example, US Federal government interest this year will amount to around $483 billion on the 20 trillion of debt.  Yet in 2008 on debt of only $9,229,172,659,218.31 (9 trillion +) the interest that year was $451,154,049,950.63 (451 billion +).

Interest payments in 2017 are 7% higher than they were in 2008.  Yet the debt is over 100% higher.  

Very low interest rates have helped the government borrow.  Low interest has also helped the US stocks reach all time high prices.

Here is the very hard spot.  The downside is that low interest has reduced earnings of investors.  Low interest has ruined the lifestyles of many who have retired.

Here is what happened and why the problem may exist for quite a bit longer.

If investors can increase the interest rate to 6% from the lousy 1% (or so) they earn now, they gain 1,263% more over 30 years.  Anyone living off interest, who is drawing down their portfolio over 20 years, makes 57% more annual income every year.

But if investors get 6% interest instead of 1%, the government has to also pay more on it debt.

The government will resist raising rates because it will ruin their budget, cause a collapse of the stock markets and destroy the US dollar.  

Rising interest rates, that we would like to see as investors, will create an almost unimaginable debt crisis.  If government interest goes to 6% it is like the $20+ trillion national debt  rising to 100 trillion!  Unless there are some huge tax increases, a 5% increase in interest rates would increase the national debt by five times.

A tax increase?  The current tax act being proposed reduces, not increases, revenue.

This is not a theoretical problem for the future. This is not something that our children and grandchildren will have to deal with.  This is a problem in the here and now.

Interest rates create a massive problem on two sides of the same coin.  Raise rates the massive national debts ruins the purchasing power of currencies.  Keep interest rates low and capitalism does not work for investors.  Politicians simply borrow more (on our behalf) but for their benefit.

Learn how to have more freedom and time, less stress, better health care, extra income, greater safety and profit in your savings despite America’s deficits, debt and currency risk.

Fortunately there are secrets that will allow a few to live much better, free of debt and worry despite the decline in the dollar’s purchasing power.   My wife, Merri and I, have traveled, lived, worked and invested around the world for nearly 50 years to gain this information.

Let me share the basics of this data and how we can be of help through 2018.

The first fact behind this secret is that things are really good in the western world.  Despite many problems, we are surrounded by more abundance and greater opportunity than almost anyone has ever enjoyed, anywhere, ever.   To enjoy a fair share of this wealth, all we have to do is understand human nature and learn how to invest in the new economy, as it changes and becomes new, again and again.

Merri and I have made seven huge transitions in the 50 years.  Each has allowed us to always stay ahead of losses that the majority of Americans suffer.  We are in another transition right now and want to share why and what to do so you can stay ahead and live a richer, independent life through 2018 and beyond.

A falling US dollar is one of the greatest risks we have to our independence, safety, health, and wealth, but also brings a window of huge profit as I explain below.   Though the greenback has been strong for a number of years, its strength is in serious jeopardy.  The growing federal deficits increase the national debt and this with rising interest rates propels a growing debt service.

When the Dow Jones Industrial Average recently passed 20,000, another milestone of “20” took place that has a much darker meaning to your and my spending power.  The U.S. national debt passed the $20 trillion mark.

The problem is that the Dow will come back down.  National debt will not fall.

The double shock of money fleeing Wall Street and US debt skyrocketing, will destroy the purchasing power of the greenback.

Go to the store even now.  Statistics say inflation is low, but buy some bread or, heaven forbid, some fresh vegetables like peppers or fruit.   Look at the cost of your prescription or hospital bills.  Do something simple like have your car serviced at an auto dealer.  Look at the dollars you spend and you’ll see what I mean.

The loss of the dollar’s purchasing power erodes our independence, our freedom and our savings and wealth as well. 

At the same time, low interest rates by big banks and higher health care costs soak up the ever diminishing income and savings we have left.  According to a Gallup poll, the most unpopular three institutions in America are big corporations & Wall Street banks, HMOs and Congress.

Yet there is little we can do because these institutions are in control.

Over the last 50 years the average income for 90 percent of the American population fell.  Our health system is restricted by a Kafka-esque maze of legislation and insurance regulations that delay, frustrate, and thwart attempts by patients and doctors from proper medical care.  Big banks and corporations restrict our freedom of choice.  The business customer relationships are no longer transactions between free equals.

Banks can trap us in indebtedness at every age from student loans to mortgages to health care costs.  They pay almost nothing on our savings.  They hide unexpected fees and payments in complex and unreadable documents.  Banks and big corporations routinely conceal vital information in small print and then cheat.  Weak regulations and lax enforcement leave consumers with few ways to fight back.  Many of these businesses ranging from cable TV to phone and internet service to health insurance have virtual monopolies that along with deceptive marketing destroys any form of free market.

These same companies control the credit-scoring agencies so if  we don’t pay unfair fees, our credit scores will plunge and we could lose the ability to borrow money, rent an apartment, even to get a job.  Many consumers are forced to accept “arbitration clauses” in lieu of  legal rights.  The alternative is to lose banking, power, and communication services.

Big business has also usurped our privacy.  Internet companies sell our personal data.  Personal information is pulled from WiFi and iPhones track and store our movements.  The government can access this information, sometimes without subpoenas.  There’s a lot that we don’t know, often withheld under the guise of “National Security.”

The glow on Western democratic capitalism has dimmed… or so it seems.  The US, leading the way, is still a superpower with economic, innovation and military might, but the institutions that should serve the people have become flawed or broken.

America’s infrastructure is in shambles.  The nation’s bridges are crumbling, many water systems are filled with toxins, yet instead of spending more to fix this, we build more prisons.  The 2.2 million people currently in  jail is a 500 percent increase over the past thirty years.  60% of the inmates belong to ethnic groups.  Not just non-white ethnic groups are suffering.  Annual death rates are falling for every group except for middle-aged white Americans.  Death rates are rising among this group driven by an epidemic of suicides and afflictions stemming from substance abuse, alcoholic liver disease and overdoses of heroin and prescription opioids.

America’s middle class is shrinking.  Nearly  half of America’s income goes to upper-income households now.  In 1970 only 29 percent went to this group.  How can we regain our freedom, our happiness and our well being in such a world?

What can we do?

Gain a better, freer life is to combine better health, higher income and greater savings for a happier, more resilient lifestyle. 

Merri and I will celebrate our 50th year of global living, working, investing and researching to find and share ideas on how to have simpler, low stress, healthier, more affluent lifestyles.  Our courses, reports and email messages look at ways to gain:

#1:  Global micro business income.

#2:  Low cost, natural health.

#3:  Safer, more profitable, investments that take little time or cost to buy and hold… so you can focus on earning more instead

Many readers use our services for just one of these three benefits.  They focus only on health or on earning more or on better, easier investing.

27 years ago Merri and I created the International Club as a way for readers to join us and be immersed in all three of these benefits.   The International Club is a year long learning program aimed at helping members earn worry free income, have better affordable good health and gain extra safety and profits with value investments.

Join us for all of 2018 NOW.

The three disciplines, earning, health and investing, work best when coordinated together.  Regretfully the attacks on our freedom are realities of life.  There is little we can do to change this big picture.  However we can change how we care for our health, how we earn and how we save so that we are among the few who live better despite the dollar’s fall.

We start with better lower cost health care.

Club membership begins by sharing ways to be free of the “Secret Hospital Charge Master”.   Just as governments hide truth behind “National Security”, big health care businesses hide medical truths behind “Charge masters”.  Most hospital charge masters are secret because big business does not want us to know how much hospital costs have risen.  Motivations beyond our good health, like corporate greed, want to keep us in the dark about health care cost.

Despite rising health care costs, a report from the Centers for Disease Control & Prevention shows that hospitals are the last place we want to be for good health.  One report shows that hospital-acquired infections alone kills 57% more Americans every year than all car accidents and falls put together.

Often, what patients catch in the hospital can be worse than what sent them there.  Governments and health care agencies agree  – antibiotic resistance is a “nightmare.”  An antibiotic-resistant bacteria may be spreading in more hospitals than patients know.  About one in every 25 hospitalized patients gets an infection and a 2013 report from the Journal of Patient Safety showed that medical errors are the third-leading cause of death in the country.

Along with the risk of hospital acquired illness and medical errors, the second huge threat to our well being… is health care costs, especially at hospitals.  This is why charge masters are so often secret.  There are few risks to our wealth that are greater than a hospital stay.

I have created three natural health reports are about:

#1: Nutrition

#2: Purification

#3: Exercise

Each report is available for $19.95.  However you’ll receive this free as club member and save $59.85.

Club members also receive seven workshops and courses on how earn everywhere with at home micro businesses.  We call this our “Live Well and Free Anywhere Program”.   The program contains a series of courses and reports that show ways to earn and be free. These courses and reports are:

  • “International Business Made EZ”
  • “Self Fulfilled – How to Write to Sell”
  • Video Workshop by our webmaster David Cross,
  • The entire weekend “Writer’s Camp” in MP3
  • The report “How to Raise Money Abroad”
  • Report and MP3 Workshop “How to Gain Added Success With Relaxed Concentration”
  • The course “Event-Full – How to Earn Conducting Seminars and Tours”

This program is offered at $299, but is available to you as a club member free.  You save $299 more.

Next, club members participate in an intensive program called the Purposeful investing Course (Pi).  The purpose of Pi is finding value investments that increase safety and profit.  Learn Slow, Worry Free, Good Value Investing.

Stress, worry and fear are three of an investor’s worst enemies.  These destroyers of wealth can create a Behavior Gap, that causes investors to underperform in any market good or bad.  The behavior gap is created by natural human responses to fear.  Pi helps create profitable strategies that avoid losses from this gap.

Lessons from Pi are based on the creation and management of a Primary Pi Model Portfolio, called the Pifolio.  There are no secrets about this portfolio except that it ignores the stories from economic news (often created by someone with vested interests) and is based mainly on good math that reveals the truth through financial news.

The Pifolio is a theoretical portfolio of MSCI Country Benchmark Index ETFs that cover all the good value markets using my 50 years of global experience and my study of the analysis of four mathematical investing geniuses (and friends).

There are seven layers of tactics in the Pi strategy.

Pi Tactic #1: Determine purpose and good value.

Pi Tactic #2: Diversify 70% to 80% of portfolio equally in good value developed markets.

Pi Tactic #3: Invest 20% to 30% equally in good value emerging markets.

Pi Tactic  #4:  Use trending algorithms to buy sell or hold these markets.

Pi Tactic  #5:  Add spice speculating with ideal conditions.

Pi Tactic  #6: Add spice speculating with leverage.

Pi Tactic  #7:  Add spice speculating with forex potential.

The Pifolio analysis begins with a continual research of international major stock markets that compares their value based on:

#1:  Current book to price

#2:  Cash flow to price

#3:  Earnings to price

#4:  Average dividend yield

#5:  Return on equity

#6:  Cash flow return

#7:  Market history

We combine the research of several brilliant mathematicians and money managers with my years of investing experience.

This is a complete and continual study of what to do about the movement of international major and emerging stock markets.  I want to share this study throughout the next year with you.

This analysis forms the basis of a Good Value Stock Market Strategy.  The analysis is rational, mathematical and does not worry about short term ups and downs.  This strategy is easy for anyone to follow and use.  Pi reveals the best value markets and provides contacts to managers and analysts and Country Index ETFs so almost anyone can create and follow their own strategy.

The costs are low and this type of ETF is one of the hardest for institutions to cheat.  Expense ratios for most ETFs are lower than those of the average mutual fund.  Little knowledge, time, management or guesswork are required.  The investment is simply a diversified portfolio of good value indices.  Investments in an index are like investments in all the shares of a good value market.

Pi opens insights to numerous long term cycles that most investors miss because they have not been investing long enough to see them.

The Pi subscription is normally $299 per annum but as a club member you receive Pi at no charge and save an additional $299.

Profit from the US dollar’s fall.

In the 1980s, a remarkable set of two economic circumstances helped anyone who spotted them become remarkably rich.  Some of my readers made enough to retire.  Others picked up 50% currency gains.  Then the cycle ended.  Warren Buffett explained the importance of this ending in a 1999 Fortune magazine interview.  He said:  Let me summarize what I’ve been saying about the stock market: I think it’s very hard to come up with a persuasive case that equities will over the next 17 years perform anything like—anything like—they’ve performed in the past 17!

Club members receive a report about opportunity in the  current strength of the US dollar is a second remarkable similarity to 30 years ago.   The dollar rose along with Wall Street.  Profits came quickly over three years.  Then the dollar dropped like a stone, by 51%  in just two years.  A repeat of this pattern is growing and could create up to 50% extra profit if we start using strong dollars to accumulate good value stock market ETFs in other currencies.

This is the most exciting opportunity I have seen since we started sending our reports on international investing ideas more than three decades ago.  The trends are so clear that I created a short, but powerful report “Three Currency Patterns for 50% Profits or More.”   This report shows how to earn an extra 50% from currency shifts with even small investments.  I kept the report short and simple, but included links to 153 pages of  Good Value Stock Market research and Asset Allocation Analysis.

The report shows 20 good value investments and a really powerful tactic that shows the most effective and least expensive way to accumulate these bargains in large or even very small amounts (less than $5,000).  There is extra profit potential of at least 50% so the report is worth a lot.

This report sells for $29.95 but when you become a club member you receive the report, “Three Currency Patterns For 50% Profits or More” FREE.

Plus get the $39.99 report, “The Silver Dip 2017” free.

With investors watching global stock markets bounce up and down, many missed two really important profit generating events.  The price of silver dipped below $14 an ounce as did shares of the iShares Silver ETF (SLV).   The second event is that the silver gold ratio hit 80 and has remained near this level, compared to a range of the 230s only two years ago.

These two events are a strong sign to invest in precious metals.

I prepared a special report “Silver Dip 2015” and updated this in 2017.   The report explains the exact conditions you need to make leveraged silver & gold speculations that can increase the returns in a safe portfolio by as much as eight times.  The purpose of the report is to share long term lessons about speculating in precious metals gained through 30 years of speculating and investing in gold and silver.

The low price of silver offers special value now so I want to send you this report because the “Silver Dip 2017” offers enormous profit potential in 2017.

The report “Silver Dip 2017” sells for $39.95 but club members receive it free as well.

The $39.95 new “Live Anywhere – Earn Everywhere Report” is also free.

There is an incredible new economy that’s opening for those who know what to do.  There are great new opportunities and many of them offer enormous income potential but also work well in disaster scenarios.

There are are specific places where you can reduce your living expenses and easily increase your income.  Scientific research has shown that being in such places actually make you smarter and healthier.  Top this off with the fact that they provide tax benefits as well and you have to ask, “Where are these places?”.

Learn about these specific places.  More important learn what makes them special.  Discover seven freedom producing steps that you can use to find other similar places of opportunity.

The report includes a tax and career plan broken into four age groups, before you finish school, from age 25 to 50 – age 50-to 65 and what to do when you reach the age where tradition wants you to re-tire.  (Another clue-you do not need to retire and probably should not!)

The report is very specific because it describes what Merri and I, our children and even my sister and thousands of our readers have done and are doing, right now.

Live Anywhere – Earn Everywhere focuses on a system that takes advantage of living in Smalltown USA, but earning locally and globally.

This report is available online for $39.99 but International Club members receive it free.

Save $418.78… “plus more” when you become a club member.

Join the International Club and receive:

#1: The $299 Personal investing Course (Pi).   Free.

#2: The $299 “Live Well and Free Anywhere Program”. Free.

#3: The $29.95 report “Three Currency Patterns For 50% Profits or More”. Free.

#4: The $39.99 report “Silver Dip 2017”. Free

#5: The three $19.99 reports “Shamanic Natural Health”.  All three free.

#6: The $39.99 “Live Anywhere – Earn Everywhere” report. Free.

#7: A subscription to the Purposeful investing course… Plus more.

These reports, courses and programs would cost $767.78 so the 2018 membership saves $418.78, “plus more”.

What’s the “plus more”?

Join the International Club for $349 and receive all the above online now, plus any online reports, online course updates or online programs we create throughout 2017 all at no additional fee. The club membership entitled you to everything.

The International Club membership is $499, but we want to encourage our first 100 members for 2018 to join quickly so we are currently accepting discounted membership at $349. 

Join the International Club for $349 and receive all the above online now, plus all reports, course updates and Pi lessons through the rest of 2017 and all of 2018 at no additional fee.

Click here to become a member at the discounted rate of $349

Gary 

The single currency is close to collapse

Pivotal Week – Emerging Markets Value Update – Day 4


Emerging markets grow in importance as we draw closer to a dramatic global social economic shift.

The change is taking place in part because the democratic process is working.

Yesterday’s New York Times article “Vote on Boehner Plan Delayed Amid Opposition” says: House Republican leaders were forced on Tuesday night to delay a vote scheduled on their plan to raise the nation’s debt ceiling, as conservative lawmakers expressed skepticism and Congressional budget officials said the plan did not deliver the promised savings.

The pushback on the bill was the latest chaotic twist in the fiscal fracas on Capitol Hill, as the clock ticked closer to Aug. 2, when the Obama administration has warned that the nation risks defaulting on its bills. The scramble to come up with a plan that could be put to a vote, now moved from Wednesday to Thursday, represents a test of Speaker John A. Boehner’s ability to lead his restive caucus. The expected showdown over the legislation is the culmination of months of efforts by Tea Party-allied freshmen and fellow conservatives to demand a fundamentally smaller government in exchange for raising the federal borrowing limit.

Many people in America want a smaller government and enough of their representatives are now demanding this… so this process could in the long run be good.  The question is how fast will there be a shift.

Whether this current change comes at a fast or slow pace it will come and there will be some pain… but not for those who adapt to the restructuring.

Keep in mind this is a process that has been going on now since 1971 when the US dollar was unpegged from gold.

One the subject of gold due to the purchasing power risks associated with the current socio-economic changes, we have interviewed Thomas Fischer JGAM Sr. Vice president about multi currency diversification and…

fischer-checkan
Thomas Fischer (right) and  Rich Checkan (left).

we also interviewed Rich Checkan of the precious metals dealers Asset Strategies International.

You can also hear both recent interviews on where to invest globally now.  Order here $9.99.

The Big Problem

The main problem however goes way beyond politics to the energy source of industrialization over the past 300 years. That energy has not just been gas but has been fossil fuels accelerating a shift of farmers from rural to urban and suburban environments.   As these farmers moved from the farm to the factory they dramatically improved their productivity at a very low educational cost.  Their enhanced wages increased their consumption.

The burst of increased affluence over the past several centuries has been fueled by cheap labor and fossil fuels.

In this era big business followed the path of least resistance wherever labor was cheapest in the world.  Manufacturing jumped from the US to Germany and Japan.  Then as labor costs rose in these countries the move was to Hong Kong… then to the Tigers (Singapore, Taiwan, South Korea and Malaysia).  Then there was a shift to China, Latin America, India.  Now places like Cambodia and Vietnam supply a lot of the really low cost labor.

As the world runs out of farmers and as the farmers left become connected, this cost of labor everywhere is rising.   More government… higher social costs and the rising cost of fossil fuel all have an impact to increase labor expense everywhere.

This is causing inflation in emerging nations as this chart from the Bloomberg Businessweek article “Slamming on Brakes Shows”

bloomberg-businessweek-chart

The rising emerging market interest rates  creates a current five point economic dilemma.

Point #1: The rise in emerging markets puts upwards pressure on interest rates everywhere.

Point #2: The rising rates pushes up prices in the emerging markets also creates inflationary pressures in the Western countries who buy so many of the emerging imports.

Point #3: Emerging market inflation reduces purchasing power of emerging currencies exactly when major currencies are losing purchasing power due to overburdening debt.

Point #4: Emerging market inflation is likely to slow exports which increases the need for emerging countries (such as China) to call in debt from the US and  Western Europe at a time when these countries are least able to pay.

Point #5:  Rising emerging market interest rates puts downwards pressure on emerging stock markets.

In the past, emerging markets were better valued than major markets.  This meant that one easy diversification was to reduce positions in major stock markets and increase positions in emerging markets.

The five points above and increased emerging market costs mean that we can wantonly just jump into any emerging market. The Chinese market for example is overheated.

However, we must choose the correct markets with care… because there is always something we do not know… especially in emerging markets.

This is why seeking value is so important. Value is the harmonious aspect of existence that wishes to fill every void.  Value is the ecstasy that harmonizes away the agony of imbalance.  Value means you are buying what is NOT in demand at a price lower than the object’s or share’s worth.

This is why once a quarter we look at an emerging equity market value analysis by Michael Keppler.

If you are a new subscriber learn about Keppler Asset Management here.

Keppler’s latest emerging market value analysis for the second quarter of 2011 says:

After recovering in April, Emerging Markets stocks gave up territory again in both May and June. Last quarter, the Morgan Stanley Capital International (MSCI) Emerging Markets Total Return Index (December 1988 = 100) declined 2.7 % in local currencies, 1.1 % in US dollars and 3.2 % in Euros. 

Year-to-date, the Index was down 2 % in local currencies, up 0.9 % in US dollars and down 6.7 % in Euros.

The Euro gained 2.2 % versus the US dollar in the second quarter and finished the first half of the year at 1.4499 USD/EUR — 8.1 % above its year-end 2010 level of 1.3416.

All three regional indices declined in the second quarter: Asia was down 1.2 %, Europe, Middle East and Africa (EMEA) declined 3.3 % and Latin America lost 5.8 %.

In the first half of the year Asia lost 0.5 %, EMEA gave up 0.3 % and Latin America 6.8 %. Performance numbers are in local currencies unless mentioned otherwise.

Eight Emerging Markets advanced and thirteen markets declined last quarter.

The three best performing markets were Chile (+6.1 %), Indonesia (+6.0 %) and Malaysia (+3.2 %).

Peru (-15.2 %), Brazil (-7.9 %) and Russia (-7 %) fared worst last quarter.

Year-to-date, nine markets were higher, eleven markets declined and one market was unchanged.

The biggest winners so far this year were the Czech Republic (+10.2 %), Hungary (+7.9 %) and Indonesia (+7.3 %).

Peru (-26.7 %), Egypt (-22.1 %) and India (-8.5 %) performed worst since the end of 2010.

There was no change in our performance ratings last quarter.

The Top Value Model Portfolio contains the nine national MSCI markets Brazil, the Czech Republic, Egypt, Hungary, Poland, Russia, Taiwan, Thailand and Turkey at equal weights. According to our performance ratings, a combination of these markets offers the highest expectation of long-term risk-adjusted performance.

SELL CANDIDATES (Low Value)   Chile            India           Indonesia       Korea.

NEUTRALLY RATED MARKETS China        Colombia      Malaysia      Mexico         Morocco      Peru    Philippines     South Africa.

The economic emergence of poor countries is good. More people will have more wealth in the long run.  The political struggle to reduce debt in rich nations will also help.  An improved balance between the rich and the poor created through opportunity for all will enhance peace efforts and reduce the likelihood of terrorism, revolution and war.

Yet these positive evolutions are slow, often hard to see and keep in perspective.  Such macro shifts also brings pain for those who do not adapt to the change.

Seeing and embracing change are as hard as seeing into the future… but value is an easy way to stay in touch with evolution and is easier to see!   We thank Michael Keppler for these valuable statistics.

Gary

Join Merri and me at our next seminar as we look at ways to gain from the international economic shifts in the year ahead.

Enrollment details for our October 7-9 North Carolina Course click here.

We have started a program to help our readers create their own micro business working with these businesses as referrers, dealers and distributors.

What a match… tens of thousands of readers, many wanting to earn globally… meeting some great… really unique global businesses tied together with our communication system that can bring all this: training…. communicating and networking.

We are starting with these five businesses first.

#1: Jyske Global Asset Management  (JGAM)
#2: Bio Wash
#3: Candace Newman Essential Oils
#4: Roses
#5: Ecuador Imbabura Export Products

After attending our International business and investing seminar on October 7-8-9, you will be qualified to enroll for referrer, distributor and dealer programs above and any others we develop. 

Enrolling in any of our online business development courses and attending one seminar provides full qualification to apply for all programs we provide for a year.

I’ll explain the first specific way you can tap into greater power for everlasting health and wealth in a moment.

We provide three e-courses that can help you develop your own micro business that we designed to help you earn anywhere you live in the world.

International Business Made EZ ($299)

Self Fulfilled – How to be a Self Publisher ($499)

Event – Full How to Earn With  Your Own Seminars ($349)

We have started the beta program, and the good news is that we are not charging a penny more more.  Our International Business Made EZ online course and our International Business Made EZ seminars remain the same price though we’ll now offer subscribers an entrance to doing business with many turnkey businesses.

The overall service can bring you the following benefits:

#1: Connect you via our our online course “International Business Made EZ” to here and now specific business opportunities.

#2: Keep you in touch with other readers in the program, share business tips, ideas contacts and even website support in some instances.

Our first turnkey business program is Jyske global Asset Management because our activities as publishers has a synchronicity with Jyske and JGAM.   We have been able to combine our training, communications and lead generation abilities with their financial organization.

Business is always a little more complicated when it entails financial products so we have created a beta program to develop this system.

A referrer does not have to be a registered as an investment adviser but JGAM does have a due diligence requirement. JGAM will also expect a certain amount of referrals per year though this amount has not been determined… hence this beta offer.

JGAM pays a percentage of their fee to the referrer up to a maximum 25% of their fee. This not only offers an excellent income generating opportunity but creates a potential long term income stream because JGAM keeps paying the fee as long as the client remains a client. Fees are paid on a quarterly basis.

There is also potential for growing long term income because JGAM pays the referrer based on the total assets under management.  If a referred client makes additional payments, the referrer will be paid on the total amount.

For example if an referrer refers a client who invests a minimum $100,000 and the annual fee is 2%, the referrer earns $500 per annum basic fee (as long as the customer remains with JGAM)… plus if the assets grow either through portfolio growth or added deposits… so too does the referrer’s fee.

We have set our first training JGAM training session for October 10, 2012.

This program will allow subscribers to any of our  online courses who have attended an International Business Made EZ seminar to become referrers for JGAM.

We have been working with Jyske Bank for over 20 years and Jyske Global Asset Management, a Jyske Bank wholly owned subsidiary. We started talking to Thomas Fischer Senior VP about an referral program for some time.  Finally,we introduced this opportunity for the first time at our June 2011 seminar.  The response was overwhelming.

Jyske Bank employs a staff of about 4,000 and operates 116 Danish branches, which makes it the second largest independent Danish bank. They offer a full range of financial solutions to retail as well as small and medium-sized corporate clients.

We have always liked Jyske because they are one of Europe’s largest currency traders and offer very simple but sophisticated multi currency investing services.  They are one of Europe’s largest currency traders and dealers.

We have especially enjoyed our business relation with Jyske because being open and honest is one of the core values of the bank group. Traditionally, Jyske formulates and communicates its values – and the way they understand and live by them – to the surrounding world. They work hard offering shareholders, customers and employees balanced opportunity.

We especially like the fact that Jyske employees are not paid bonuses.  No multi million pay outs are in the system that might temp staff to distort earnings or take undue risks.

Here is how you can apply for this program.

To start as a referrer,  there is first the compliance process with Jyske Bank.

Once that process is complete, our IBEZ system helps educate and assist referrer.

First… once a referrer has been approved by JGAM, and the referrer has completed our online course International Business Made EZ course and attended one of our  international investing and business seminars they can attend an exclusive training seminar at our farm.

We have a…

little-horse-creek

creekside…

little-horse-creek

seminar hall where…

little-horse-creek

unless the group grows too large, we’ll meet.   We’ll have lunch  on the deck looking over Little Horse Creek.

JGAM and our company conduct this one day intensive training for agents the day after each International Investing and Business seminar.

The first such seminar will be conducted Monday, October 10, 2011 immediately after our October 7-8-9 International Investing and Business Seminar in West Jefferson, North Carolina.

Part of the JGAM program is designed so we can assist referrers by referring readers in their locale to them.  So for example if a referrer is in Miami, we will send special emails to our readers in that area, help organize mini seminars… etc.

We can zero in as close as 20 miles to a location so for example we can send a separate email to every reader within 20 miles of the address of a referrer.  And although we won’t release the names in that area, we can send them a note of the opportunity.

We will also provide a referrer communication forum and update training as well as portfolio and investing ideas.  We have general plans at this stage but find the best way to develop systems is to refine through action. We expect our beta program this year to clarify how we can best help our readers become referrers and how we can help them succeed.

Step one is to start the compliance process with JGAM.  Thomas Fischer  can send you the Introducer Questionnaire and Terms of Business.

Thomas Fischer’s email is fischer@jgam.com

This will begin the process of establishing a relationship with JGAM.  Once this relation is approved and verified, then you will be able to enroll in the referrer training.

Satisfaction Guaranteed.  Three Guarantees.

There is no guarantee that JGAM will approve your application as a referrer just because you enroll in the seminar or take the online course so we make two special guarantees.

First Guarantee. Regarding the online course International Business Made EZ.  Enroll in this course. Take it and if you are not satisfied for any reason within 30 days… let us know and we’ll give you a full refund.

Second Guarantee. Enroll in our October 7-8-9 International Business & Investing Seminar.  I’ll send you a recording of the June seminar now so you better understand what these seminars are and how they help you.  If you are not happy with what you hear, let us know within 30 days and we’ll give you a full refund. You keep the recorded seminar as our thanks.

Third Guarantee.  Your earnings potential has this guarantee.  First, any time between now and October… before you attend the International Business and Investing seminar if you fail to qualify as a JGAM referrer agent or change your mind before attending the International Business and Investing seminar you can ask for a full refund.

Enrollment details for our October 7-9 North Carolina Course click here.

See Slamming on the Brakes at Bloomberg Business Week

Pivotal Week – International Investments: Day 1


This is a pivotal week for international investments…here is an update on the values of major stock markets by Keppler Asset Management.

Fwd: keppler

Michael Keppler

The global economy is in tension.  US and Western European economies are both being forced to face up to debt, aging populations and huge unfunded future obligations in pensions, medical care and who knows what, amid a disintegrating, global social cohesion evidenced by terrorism… revolution and internal strife such as the bombing and killing in Norway.   

Huge losses will occur as the dollar and euro lose purchasing power.

The best way to protect against these losses is by always seeking value.

Understanding value is the tricky part.

This is why once a quarter we look at a major equity market valuation analysis by Michael Keppler.

If you are a new multi currency subscriber learn about Keppler Asset Management here.

Here are Keppler’s Comments on Major Market Value for this quarter to July 2011.

Recent Developments & Outlook

After a strong first quarter, global equity markets were little changed on balance in the last three months. The Morgan Stanley Capital International (MSCI) World Total Return Index (with net dividends reinvested, December 1969 = 100) finished the second quarter 2011 at LC 2,255 (-0.6 %), $ 3,290 (+0.5 %) and € 1,204 (-1.7 %), respectively.

Year-to-date, the MSCI World Index was up 2.9 % in local currencies and 5.3 % in US dollars. However, due to the strong recovery of the Euro versus the US dollar, it declined 2.6 % year-to-date in Euros. The Euro gained 2.2 % versus the US dollar in the second quarter and finished the first half of the year at 1.4499 USD/EUR — 8.1 % above its year-end 2010 level of 1.3416.

Seven markets advanced in the second quarter 2011, sixteen markets declined and one market was unchanged. Ireland had the highest return (+5.3 %), followed by Germany (+4 %) and New Zealand (+2.8 %). Greece (-18.3 %), Finland    (-9.8 %) and Denmark (-8.5 %) performed worst last quarter.

The best performing markets during the last six months were New Zealand (+9.6 %), Ireland (+8.4 %), France and Spain (both up 6.9 %). Finland (-13.1 %), Israel (-11.3 %) and Greece (-11 %) were the worst performing markets in the first half of 2011. Performance is in local currencies, unless mentioned otherwise.

The Top Value Model Portfolio, based on the Top Value Strategy (December 1969 = 100) using national MSCI country indices as hypothetical investment vehicles, finished the second quarter at LC 32,361 (unchanged), $ 31,711 (+2 %) and € 11,605 (-0.2 %). Year-to-date, the Top Value Model Portfolio gained 2.1 % in local currencies, 8.2 % in US dollars and 0.1 % in Euros, underperforming the benchmark by 0.8 percentage points in local currencies but outperforming in US dollars and Euros by 2.9 and 2.7 percentage points, respectively.

There were no changes in our performance ratings last quarter. The Top Value Model Portfolio holds the six “Buy”-rated markets Austria, France, Germany, Italy, Japan and the United Kingdom at equal weights. According to our analyses, a combination of these markets offers the highest expectation of long-term risk-adjusted performance.

Our implicit three-to-five-year projection for the compound annual total return of the Equally-Weighted World Index now stands at 13.1 %, up from 11.9 % three months ago.

Fwd: Keppler

JGAM warns about the turmoil in its weekly update and says:

Week 18 July – 22 July

European Monetary Fund

After days of speculations, the financial markets could finally take a sigh of relief when the European leaders last night announced the much anticipated bail-out agreement.

Earlier this week, risky assets carefully started to rebound anxiously awaiting the result, however optimism really took off Thursday as a draft proposal circulated the media.

The positive sentiment continued into Friday as the summit announcement didn’t disappoint expectations.

The European leaders last night agreed on a new EUR 109bn bail-out of Greece, with an additional commitment of EUR 37bn expected from private bondholders.

On top of that the leaders have also agreed to lower the loan costs of Greece, Ireland and Portugal by 100-200 basis points, and to prolong maturing debt and to give the temporary bail-out fund, the European financial facility stability (EFSF) additional powers as well. The bail-out fund will in the future be able to act preemptively by quickly helping countries such as Spain and Italy if needed, an International Monetary Fund (IMF) style ability. The agreement is intended to stop the European debt turmoil and to protect Spain and Italy from any contagion effects.

Since Monday, the European common currency has appreciated with as much as 3% versus the US dollar, and is currently trading in the 1.4325 to 1.4425 range. During the same period, the interest (cost of borrowing) on the Italian 10 year government bond has fallen with 85 basis points from 6% to 5.15%, and by 400 basis points from 17.8% to 13.8% on the similar Greek issuance.

The risk now is whether the new agreement is big enough and/or whether it will follow the same pattern as the previous and eventually disappoint the market.

Fitch, the rating agency, is today warning the market that they will reduce Greece to “restricted default” should the intended prolonging of the maturing Greek debt go ahead as planned.

We expect a bumpy road ahead.

The managers at JGAM responded.  On 14 July JGAM’s Investment Committee held its ordinary, monthly meeting and reported .

In the weeks leading up to the meeting we had reduced the overall risk in our portfolios by moving gold and Swiss francs (CHF).  This week, the euro crisis has escalated with the downgrading of Portugal and Ireland to junk by Moody`s.

Mr. Silvio Berlusconi, the Prime Minister of Italy, rubbed salt in the open debt wounds, when he called his Finance Minister Mr. Giulio Tremonti an idiot. The open disagreement in the Italian government immediately caused markets to doubt whether Italian austerity measures can be agreed upon.

The growth picture in the US is becoming bleak with rising unemployment and a dreaded double dip, as rare as it is, cannot be ruled out.

China is expected to continue its monetary tightening, which could also dampen growth prospects.

With so much uncertainty, it is no wonder that volatility is increasing, but we believe that our current asset allocation and overall risk reduction through our gold and CHF positions are adequate in a volatile environment.

Due to these risks, we have interviewed Thomas Fischer JGAM Sr. Vice president about multi currency diversification.

 

fischer-checkan

Thomas Fischer (right) and  Rich Checkan (left).

We also interviewed Rich Checkan of the precious metals dealers Asset Strategies International.

You can also hear both recent interviews on where to invest globally now.

We have added phone interview updates to our Global Personal Portfolio service.

Here is how the updates work.

You email me your questions.  We will review them with experts and then answer them in telephone call updates.

We’ll send you the recorded calls.

Who is eligible to ask and to listen in to the call?

This service is free for all subscribers to our annual Multi Currency Service.

Not a Multi Currency subscriber?  Learn how to enroll here.

Non Multi Currency subscribers can enroll to have their questions answered for a one time charge of $9.99.

Order here $9.99.

Gary

See this Manabi farm with organic cashew potential.

See new idea on how to earn with Ecuador agriculture and exports .


manabi-ecuador-farm

Join Merri and me as we look at ways to fight international investment turmoil in the year ahead.

Last Day of our July Special. The offer to save up to $499 expires tonight at midnight.

We have started a program to help our readers create their own micro business working with these businesses as referrers, dealers and distributors.

What a match… tens of thousands of readers, many wanting to earn globally… meeting some great… really unique global businesses tied together with our communication system that can bring all this: training…. communicating and networking.

We are starting with these five businesses first.

#1: Jyske Global Asset Management  (JGAM)
#2: Bio Wash
#3: Candace Newman Essential Oils
#4: Roses
#5: Ecuador Imbabura Export Products

After attending our International Business and investing seminar on October 7-8-9, you will be qualified to enroll for referrer, distributor and dealer programs above and any others we develop. 

Enrolling in any of our online business development courses and attending one seminar provides full qualification to apply for all programs we provide for a year.

I’ll explain the first specific way you can tap into greater power for everlasting health and wealth in a moment.

First, may I remind you of  our July special that ends in just over two days?

We provide three e-courses that can help you develop your own micro business that we designed to help you earn anywhere you live in the world.

International Business Made EZ ($299)

Self Fulfilled – How to be a Self Publisher ($499)

Event – Full How to Earn With  Your Own Seminars ($349)

July Special.

Enroll before midnight July 24, 2011 for our October International Business & Investing Seminar (plus Frequency Modulation Workshop),   October 7, 8, 9, 2010 in the Blue Ridge Mountains of NC and choose any one of the three courses above for FREE.  You Save between $299 and $499.

Early enrollment for our October 7-9 North Carolina Course click here for details.

We have started the beta program, and the good news is that we are not charging a penny more more.  Our International Business Made EZ online course and our International Business Made EZ seminars remain the same price though we’ll now offer subscribers an entrance to doing business with many turnkey businesses.

The overall service can bring you the following benefits:

#1: Connect you via our our online course “International Business Made EZ” to here and now specific business opportunities.

#2: Keep you in touch with other readers in the program, share business tips, ideas contacts and even website support in some instances.

Our first turnkey business program is Jyske global Asset Management because our activities as publishers has a synchronicity with Jyske and JGAM.   We have been able to combine our training, communications and lead generation abilities with their financial organization.

Business is always a little more complicated when it entails financial products so we have created a beta program to develop this system.

A referrer does not have to be a registered as an investment adviser but JGAM does have a due diligence requirement. JGAM will also expect a certain amount of referrals per year though this amount has not been determined… hence this beta offer.

JGAM pays a percentage of their fee to the referrer up to a maximum 25% of their fee. This not only offers an excellent income generating opportunity but creates a potential long term income stream because JGAM keeps paying the fee as long as the client remains a client. Fees are paid on a quarterly basis.

There is also potential for growing long term income because JGAM pays the referrer based on the total assets under management.  If a referred client makes additional payments, the referrer will be paid on the total amount.

For example if an referrer refers a client who invests a minimum $100,000 and the annual fee is 2%, the referrer earns $500 per annum basic fee (as long as the customer remains with JGAM)… plus if the assets grow either through portfolio growth or added deposits… so too does the referrer’s fee.

We have set our first training JGAM training session for October 10, 2012.

This program will allow subscribers to any of our  online courses who have attended an International Business Made EZ seminar to become referrers for JGAM.

We have been working with Jyske Bank for over 20 years and Jyske Global Asset Management, a Jyske Bank wholly owned subsidiary. We started talking to Thomas Fischer Senior VP about an referral program for some time.  Finally,we introduced this opportunity for the first time at our June 2011 seminar.  The response was overwhelming.

Jyske Bank employs a staff of about 4,000 and operates 116 Danish branches, which makes it the second largest independent Danish bank. They offer a full range of financial solutions to retail as well as small and medium-sized corporate clients.

We have always liked Jyske because they are one of Europe’s largest currency traders and offer very simple but sophisticated multi currency investing services.  They are one of Europe’s largest currency traders and dealers.

We have especially enjoyed our business relation with Jyske because being open and honest is one of the core values of the bank group. Traditionally, Jyske formulates and communicates its values – and the way they understand and live by them – to the surrounding world. They work hard offering shareholders, customers and employees balanced opportunity.

We especially like the fact that Jyske employees are not paid bonuses.  No multi million pay outs are in the system that might temp staff to distort earnings or take undue risks.

Here is how you can apply for this program.

To start as a referrer,  there is first the compliance process with Jyske Bank.

Once that process is complete, our IBEZ system helps educate and assist referrer.

First… once a referrer has been approved by JGAM, and the referrer has completed our online course International Business Made EZ course and attended one of our  international investing and business seminars they can attend an exclusive training seminar at our farm.

We have a…

little-horse-creek

creekside…

little-horse-creek

seminar hall where…

little-horse-creek

unless the group grows too large, we’ll meet.   We’ll have lunch  on the deck looking over Little Horse Creek.

JGAM and our company conduct this one day intensive training for agents the day after each International Investing and Business seminar.

The first such seminar will be conducted Monday, October 10, 2011 immediately after our October 7-8-9 International Investing and Business Seminar in West Jefferson, North Carolina.

Part of the JGAM program is designed so we can assist referrers by referring readers in their locale to them.  So for example if a referrer is in Miami, we will send special emails to our readers in that area, help organize mini seminars… etc.

We can zero in as close as 20 miles to a location so for example we can send a separate email to every reader within 20 miles of the address of a referrer.  And although we won’t release the names in that area, we can send them a note of the opportunity.

We will also provide a referrer communication forum and update training as well as portfolio and investing ideas.  We have general plans at this stage but find the best way to develop systems is to refine through action. We expect our beta program this year to clarify how we can best help our readers become referrers and how we can help them succeed.

Step one is to start the compliance process with JGAM.  Thomas Fischer  can send you the Introducer Questionnaire and Terms of Business.

Thomas Fischer’s email is fischer@jgam.com

This will begin the process of establishing a relationship with JGAM.  Once this relation is approved and verified, then you will be able to enroll in the referrer training.

You must complete one of the online business development courses above and attend an International Business and Investing Seminar to be eligible for the October training.

All of our readers are invited to enroll in our International Business Made EZ Online Course and our International Business and Investing Seminar at any time.

Satisfaction Guaranteed.  Three Guarantees.

There is no guarantee that JGAM will approve your application as a referrer just because you enroll in the seminar or take the online course so we make two special guarantees.

First Guarantee. Regarding the online course International Business Made EZ.  Enroll in this course. Take it and if you are not satisfied for any reason within 30 days… let us know and we’ll give you a full refund.

Second Guarantee. Enroll in our October 7-8-9 International Business & Investing Seminar.  I’ll send you a recording of the June seminar now so you better understand what these seminars are and how they help you.  If you are not happy with what you hear, let us know within 30 days and we’ll give you a full refund. You keep the recorded seminar as our thanks.

Third Guarantee.  Your earnings potential has this guarantee.  First, any time between now and October… before you attend the International Business and Investing seminar if you fail to qualify as a JGAM referrer agent or change your mind before attending the International Business and Investing seminar you can ask for a full refund.

Early enrollment for our October 7-9 North Carolina Course click here for details.