"Why can't you guys just agree?"
It's one of the most common questions I've seen recently. Folks don't understand why all of the analysts here at Stansberry Research can't agree on a specific topic...
Whether it's the price of oil... the direction of the market... or what the latest Federal Reserve decision really means for your portfolio (nothing, by the way), I often find myself on opposite sides of some of the other editors and analysts here, including Porter Stansberry and Steve Sjuggerud.
Our investment philosophies are different... But this benefits you, even if it does make it harder to figure out what to do with a specific investment. Our different approaches to investing are what help us to provide a wide array of strategies to our subscribers.
I believe everyone should have a basic understanding of a trend before choosing to follow it or ignore it.
As I've said before, right now is a critical time to not be complacent. If you want to set your portfolio up for success, you need to be prepared for a continued bull market or the inevitable bear market...
Next Wednesday, February 13, you'll get a chance to see our favorite bulls and bears fight it out during the 2019 Bull vs. Bear Summit. You'll hear from Melt Up King Steve Sjuggerud, perma-bear himself Dan Ferris, and my favorite mathematician, Dr. Richard Smith.
These guys are going to sit down with former hedge-fund managers and Wall Street insiders to discuss the fate of this clearly long-in-the tooth bull market for 2019 and beyond – and I'm excited to hear what they're personally doing with their own money.
It's completely free to attend. There is no obligation, other than your time and a willingness to learn. But a reservation is required.
Are you a bull or a bear? Let us know... [email protected].
Q: You mentioned beta a couple of times in your [Urgent Market Briefing]. As I understand it is the relative volatility of the stock compared to market volatility.
Is a beta less than one desirable? How should beta affect my decision when I am considering stocks from your model portfolio? – S.S.
A: In stock market parlance, "beta" measures the correlation of an individual stock to the market as a whole.
A beta of 1.0 means the stock's price moves directly with the market. A beta of more than 1.0 means the stock's price is more volatile than the market. And a beta of less than 1.0 means the stock's price is less volatile than the market.
For example, let's consider high-flying tech stock Nvidia (NVDA). It has a beta around 2. So theoretically, if the market goes up, then Nvidia should outperform by 100%. On the other hand, if the market tanks, Nvidia should plummet by 100% more than the overall decline. That's why high-beta stocks are considered high risk.
A high beta stock can have exaggerated price moves. A low beta stock has much less volatility. So you want a few of both high and low beta stocks.
Although low beta stocks sometimes translate into muted gains during a bull rally, the early October sell-off showed us the importance of owning a few in a portfolio...
The Invesco S&P 500 High Beta Fund (SPHB) fell 6% over two days, while the Invesco S&P 500 Low Volatility Fund (SPLV) only fell 4.6%.
Low-volatility stocks are now outgaining the high-volatility ones for the year. Given all the risks in the market today, re-evaluate your portfolio. If you only own high beta stocks, it's possible it's time to add some low beta stocks to the mix.
Q: What does the research show when it comes to the health benefits of extra virgin cold pressed olive oil vs. cod liver oil, or are both of them of great benefit? – B.B.
A: The answer to your question is simple... skip the cod liver oil and stick with olive oil.
For years, cod liver oil was advertised as a "cure all." Research shows that cod liver oil is packed with toxins – like mercury and dioxin – and damages your bones. You can read more about the dangers of cod liver oil here.
Olive oil is packed with nutrients that reduce the risk of developing inflammatory diseases, including heart disease, arthritis, and high blood pressure... without the added harmful chemicals. Longtime readers know I'm an advocate of olive oil. I use it on salads, as a butter substitute, and even for general cooking.
Learn more about the health benefits of olive oil – and the results of a taste test in our office – right here.
Q: So, you have a method to (essentially) by-pass the check-in lines. That makes flying even more scary! And you have not contributed to my health!!! Why not provide a seminar to those terrorists who would follow your methods, and get on board any commercial aircraft. – P.N.
A: I've been accused of a lot of things since I started writing Health & Wealth Bulletin... being a propaganda machine for Big Pharma or a quack railing against the unassailable truths of medicine. The accusation of aiding terrorists is a new one.
P.N., you misunderstood how the CLEAR program works. Let's take a closer look...
CLEAR allows me to skip the first, long security line by verifying my identity using biometrics. You need to enroll and verify your history and identity months before getting access to CLEAR.
Then, at the airport, you can use the kiosk to scan your fingerprint or iris to confirm your identity and pass directly to the last screening. I've used this before, and there's no line – I simply get scanned, and boom, I'm right there getting my scan from a TSA agent.
CLEAR is also approved by the U.S. Department of Homeland Security and doesn't allow anyone to simply "skip" the screening itself. You can do what I do and combine it with the TSA Pre-Check. You can keep your shoes on and laptop bag closed, which speeds up the process more.
You're still going through security... just with much less hassle.
As for your other comment, I believe spending less time stressing in an airport line is better for your overall mental health. Our goal is to help you live a healthier, wealthier life... and that includes cutting out unnecessary stress whenever possible.
And no, I'm not a terrorist.
We've written hundreds of health-focused issues over the years, including issues on cholesterol, prostate health, and how to fight heart disease. Feel free to search for topics you're interested in on our website – healthandwealthbulletin.com. If you can't find what you're looking for, send us an e-mail at [email protected]. My team and I read every message.
What We're Reading...
- Did you miss it? Don't make this novice investing mistake.
- Something different: The first small spacecraft to leave Earth's orbit has gone silent.
Here's to our health, wealth, and a great retirement,
Dr. David Eifrig and the Health & Wealth Bulletin Research Team
February 8, 2019