He discusses why in the essay below.
We need to speak about real
monetary madness. It's something you do
not see really often. It can
cause the most
incredible gains of your investing
life. porter stansberry end of america review. Or it can damage all
of your wealth if you're swept up in it. I've
only seen two authentic investment manias.
I'm speaking about real "one
way" tradessituations that can just cause catastrophe - porter stansberry review. Yet for some factor,
everybody concerns see the trade as a
sure method to earn money, not
lose it. *** Let me introduce the idea with a
true story. It has to do with John Templeton. You
might have become aware of him previously.
He developed a substantial
mutual-fund company, Templeton Investments, which he
offered in 1992 and made $440 million - porter
stansberry research. His first "huge trade" came
right after Hitler attacked Poland in 1939. Stocks
sold, hard. There were 104 various
stocks on the New York Stock Exchange that were trading for $1 or less
(porter stansberry end of america review).
His rationale was that throughout the
Depression there was a surplus of everything, and
for that reason no earnings.
Throughout a war, which was
definitely coming, there would be a scarcity of whatever and big
revenues - porter stansberry american 2020. Within three years he 'd made a
revenue on all however four of
the stocks. Over a decade, the revenues on
this trade were more than 10,000%. porter stansberry
review.
Innovation stocks had actually been on a tear
higher given that the
mid-1990s, with business like Intel, Microsoft, Yahoo, and
Qualcomm earning substantial returns for
investors. Later, however, the number
and quality of the companies reaching the general
public markets started to decrease
considerably. wikipedia porter stansberry. And by January of 2000, the
scenario reached a peak.
Therefore, en masse, financiers began to
think a lie that couldn't
perhaps be true. porter stansberry wife. It was the greatest monetary mania the world had seen
given that John Law's South Sea Bubble
in the early 1700s. *** I more than happy to report that we did a great task
alerting people about what was
actually happening As Steve
Sjuggerud wrote in January 2000 (on the newsletter's front
page): We are at the peak of probably the biggest
monetary mania that will ever be seen in our lifetimes and rather possibly the
greatest ever experienced (porter
stansberry research).
If you remained in the markets back
then, you undoubtedly
remember a few of the most popular
disastersPets.com, Webvan, and WorldCom. These companies were
backed by reputable investor and had service
plans that were at least plausible.
However this wasn't just a bubble. It was a mania -
porter
stansberry and ron paul. Even the most
obviously useless
ventures reached multibillion-dollar
assessments.
It made generic software for web
service providers, but never earned a profit. In 2002,
Yahoo purchased the business for $235
million. It paid too much - porter stansberry debt
jubilee. In 2009, the Inktomi software was contributed to the general
public under an open-source license. Everybody can
use it today for complimentary. Boo.com invested $188 million
of financiers' cash and was
worth more than $1 billion (on paper) (porter stansberry new
america).
Pixelon was a digital-streaming business that
launched operations with a $16 million
celebration, featuring The Who and the Dixie Chicks.
It failed in less than a year. It never
produced any profits. And Lycos was a
fourth-rate search engine. Spanish telecom
operator Telefonica purchased it for $12.5 billion. In 2004, it
offered it for $95 million.
Its owners promise that "brand-new Lycos" is
coming quickly (porter
stansberry). It's traded in India, if you're
interested. There were numerous IPOs like these. An index
of dot-com companies tracked by TheStreet.com fell 75% in
2000. Numerous stocks fell by 99%including U.S. Interactive, Pacific Gateway Exchange,
Foundation Web Solutions, and Worldwide Exceed
Group.
Dave
Ramsey Porter Stansberry
Most of the disclosures said
clearly that these business had couple of,
if any, clients. Many of them
stated they had no written agreements or
agreements. The danger disclosures
discussed, in plain English, that these weren't
genuine companies and they
had close to zero
opportunity of remaining
in business. And it didn't matter.
It was a true mania (porter stansberry american 2020). *** Templeton viewed
the market action silently from his
retirement community in the Bahamas.
Finally, on January 1, he knew that the mania
couldn't go on much longer. The
scams were surpassing the legitimate
IPOs by 10-to-1. He called his broker in New York and
offered very simple
instructions: Brief as
lots of shares as you can get of every
technology IPO that notes.
Porter Stansberry Report
(The lock-up prevents insiders from
offering shares until some period
after the IPO, typically 90 days.) In the
first half of 2000, Templeton ended up shorting
84 stocks, putting approximately $2.2 million into each
of them. porter stansberry debt
jubilee. He made more than $100 million on the trade,
in about a year (who is porter stansberry
bio).
Of the trade, Templeton informed Forbes magazine:
This is the only time in my 88 years when I saw innovation
stocks go to 100 times earnings; or, when
there were no incomes, 20 times sales -
porter stansberry 2020
america. It was
outrageous, and I benefited from the
short-lived madness (porter stansberry american 2020). I never ever thought I 'd
see a mania like that take place once again in my
life.
This was a scenario where
financiers were entirely
overlooking the apparent
fact that the frustrating bulk
of these business would fail and then bidding them as much as
completely insane
costs. This wasn't overexuberance. It was
insanity. And over the next 24 months, investors
saw $5 trillion of market worth
vanish (porter stansberry podcast). porter
stansberry.
It's a mania that has been produced
(and is being sustained) by reserve banks and
printing presses. Today, around the world, something around $15 trillion in fixed
earnings is trading at a rate that
guarantees financiers will lose money if
they buy the bond and hold it until maturity.
I wish to make certain you
comprehend what's taking place
because the bond market and bonds are a
mystery to a great deal of
specific financiers.
How can that happen? It occurs
when financiers bid the current
cost of a bond up until now above par that the
remaining discount coupons to be paid
won't cover the loss when the bond develops.
So for example, you may see a bond trading at
$130, when it just has $29 worth of interest delegated
be paid before it matures at $100.
Is
Stansberry research a legitimate company?
Is Stansberry research a legitimate company?
They are not really a scam, like take your
money and run, but yes they do suck big time. Not worth your money.
Unfortunately, Hulbert Financial Digest doesn't
track any of Stansberry's newsletters. The newsletter is cheap
enough to purchase annually and should be a no-brainer in terms of
cost. If you do get only one investing nugget annually from the
newsletter, it's well worth the subscription.
Mystery on the Rooftop. How did 32 year-old
aspiring screen writer Rey Rivera come to take a fatal plunge
from the baroque Belvedere Hotel in Baltimore, Maryland's Mount Vernon
neighbourhood in May 2006? The police ruled his death as probable
suicide.1 day ago
Dr. Steve Sjuggerud is the Founding
Editor of DailyWealth and editor of True Wealth, an investment
advisory specializing in safe, alternative investments overlooked by
Wall Street. He believes that you don't have to take big risks to make
big returns.
You can cancel your subscription by
calling our Customer Service Department at 888-261-2693 Monday through
Friday between the hours of 9:00 a.m. and 5:00 p.m. ET or by any other
designated cancellation method. You may not cancel a
subscription by any other means.Feb 14,
2019
Exchange-traded funds (ETFs) — ETFs offer a
lower-fee alternative to stocks, and provide access to a basket of blockchain
companies to invest in. Here are a handful of blockchain
ETFs available in the market. For a more extensive overview, click
here.Jun 24, 2020
Stansberry
Research is a publishing company and investment advisory
service that was founded in 1999 by Frank Porter Stansberry.
... Since then, the company has expanded and now offers a range of investment
advisory services related to retirement, commodities, and stocks.Apr
5, 2020
For TV viewers who grew up in the 1980s and
1990s, Stack is probably most associated with his work on Unsolved
Mysteries. But he had a long career in Hollywood dating back to
the 1930s. He made his movie debut in the 1939 film First Love. ... In
2003, Stack died at his home of a heart attack at age 84.Jul
1, 2020
On May 24, 2006, the body of Rey Rivera
was found inside the historic Belvedere Hotel in the Mount Vernon
neighborhood of Baltimore, Maryland. Although the event was ruled a
probable suicide by the Baltimore Police Department, the circumstances
of Rivera's death are mysterious and disputed.
Theory: Patrice Endres was killed
by Jeremy Jones, a suspected serial killer. In 2004, Jeremy Jones was
arrested in Mobile, Alabama, and convicted of murdering 45-year-old
Lisa Marie Nichols in 2005. To this day, Jones remains on death
row.Jul 6, 2020
One of the historical realities of the stock
market is that it typically has performed poorest during the month
of September. The "Stock Trader's Almanac" reports that,
on average, September is the month when the stock
market's three leading indexes usually perform the poorest.May
17, 2020
What is a 'Melt Up'? A melt up is a
dramatic and unexpected improvement in the investment performance of
an asset class, driven partly by a stampede of investors who don't
want to miss out on its rise, rather than by fundamental improvements
in the economy.Jun 25, 2019
Because every day you invest your money,
you're more likely to earn money on your investments. ...
That's because of two factors: The stock market has
historically gone up which means that even if your portfolio has a bad
year and you lose money, you're likely to gain it back in a few years.
Blockchain was invented by a person (or group of
people) using the name Satoshi Nakamoto in 2008 to serve as the
public transaction ledger of the cryptocurrency bitcoin.
With a Blockchain Score of 92, IBM is far
and away the overall leader in blockchain technology development, and
our number one stock selection in the group.Jan
24, 2019
Of course, all financiers
believe that they will be active
enough to offer before that
occurs. And all financiers
believe that the governments will continue
to buy these bonds or perhaps
even stocks and do whatever it requires to keep the bubble
growing. This scenario is the
definition of an investment mania.