How to Join the Trump Boom Billionaires Dear Reader, Thanks to quite a bit of help from the world’s richest person, Donald Trump is now set to reoccupy the White House in January. Oh, and Elon Musk got something out of it, too. On Wednesday, November 6, the day after the election, the markets soared. The S&P 500 was up 2.5%, the Dow Jones Industrial Average rose 3.6%, and the tech-heavy Nasdaq Composite gained nearly 3%. And thanks to his hefty stake in Tesla Inc. (TSLA), Musk added roughly $26.5 billion to his net worth that day, according to the Bloomberg Billionaires Index. That brought his total fortune to around $307 billion (it’s inched back a bit since then). Musk isn’t the only billionaire who benefited from this Trump boom. In fact, Bloomberg estimates that the world’s 10 richest people gained about $64 billion on the day after the election. No wonder folks like Jeff Bezos, Mark Zuckerberg, and Tim Cook all publicly congratulated Trump. And that makes us wonder… How much money does it take to be “wealthy” in America? Clearly, these billionaires are well beyond any meaningful definition of “wealthy.” With their riches and power, they can move markets – and much more. The “just wealthy” folks among us, however, don’t have anywhere near that sort of power. No matter if someone has a $1 million, $2 million, or $3 million in the stock market, they are a pipsqueak compared to large institutional money managers. These folks manage massive pools of money for mutual funds, hedge funds, sovereign wealth funds, pension funds, and insurance funds. I often say large money managers are the “elephants” in the market. Why do I call them elephants? When they start to move as a group, like a herd of elephants, they make everything shake. Just one large institutional investor can manage over $10 billion in assets. So even a wealthy individual with $5 million in assets is a mouse compared to an elephant (in this case, the elephant is 2,000 times larger). One rich individual investor, or even a group of individual investors, can’t move a stock price significantly. But institutional investors invest so much money that just a few can send a stock’s price soaring hundreds of percent higher. Some institutional investors manage much more than $10 billion. The sovereign wealth fund of Norway – which has been fattened by oil revenue for years – was over $1.7 trillion in 2024. That’s more than 100 times bigger than the large institution with $10 billion to invest. In other words, the large institutional investors of the world have a ridiculously large amount of money to invest in stocks and bonds and other assets. No meaningful, sustained move in a stock can happen without their participation – and they WANT to invest their money. They are always looking for opportunities. They are the massive rocket boosters that power every meaningful stock rally. What logically follows is that knowing what these managers like to buy – and being able to track exactly what stocks they’re buying – can give anyone a huge edge in the market. And we have that edge. Thanks to my Quantum Cash system, I know what these managers want to buy, and I know when. Let me explain how… How "Elephant Tracking" Allows Us to Anticipate Huge Stock Moves Just like an elephant leaves tracks on the ground, large money managers leave big tracks in the stock market. We can follow their tracks, know what they are loading up on, and ride their buying power to hundreds of percent stock gains. Here’s how you can track elephants in the stock market… You may have heard of a financial concept called “alpha.” Alpha measures the performance of an investment against a market benchmark like the S&P 500. The investment’s return relative to the benchmark’s return is the investment’s “alpha.” Alpha is quoted as a number. For example, if the S&P 500 rises 10% in a given year and a stock rises 12% during that same time, the stock has an alpha of 2. If the S&P rises 20% and the stock rises 25%, the stock has an alpha of 5. My Quantum Cash system scans the market every day for stocks with alpha. We find stocks that tend to rise more than the market. But we don’t stop there. Many stocks that exhibit alpha (or “beat the market”) are more volatile than the broader market. You’ve probably been told that in order to make market-beating gains, you have to take bigger risks and accept more volatility. But in my four-plus decades of experience and research, the absolute best growth stocks to own often beat the broader market while at the same time are LESS volatile than the broader market. These “magic” stocks are things of beauty: bigger returns, less volatility. We rank stocks according to a combination of alpha and volatility. Those stocks that are going up the most with the least volatility are ranked the highest. That’s the sweet spot. Those are the stocks that large money managers – elephants – are buying hand over fist. Obviously, only the stocks that are enjoying very strong institutional buying pressure can manage to both beat the market AND be less volatile than the overall market. Only the elephants can bring that kind of buying pressure. And when a herd of elephants starts to move, they can bring mega rivers of capital that can allow stocks to behave this way. Here are a few examples of my Quantum Cash system in action… First, our “elephant tracking” analysis led us to recommend the audio streaming service provider Spotify Technology S.A. (SPOT) in November of last year. On Wednesday, the stock jumped more than 10% after announcing earnings after the bell on Tuesday. Since adding this to our Buy List roughly a year ago, we’re up by more than 170%!  My Quantum Cash system also led us to M-tron Industries Inc. (MPTI) in October of last year. Small-cap stocks like MPTI are what I like to call “bunny” stocks. They tend to sit for a while during quiet times in the market, and then they suddenly “hop” on positive company news or earnings surprises. Well, after announcing earnings that smashed analyst estimates after the closing bell on Wednesday and raising its forecast for 2024, MPTI shot up nearly 10% on Wednesday. That brings our total return to over 140% (in just a little over a year)!  Finally, our elephant tracking analysis led me to recommend an online retail company called Revolve Group Inc. (RVLV) in September. The stock had exceptional results from its most recent quarter, beating analyst estimates by 50%. And that means we’re already up over 30% on our position in a little less than two months!  How My "Elephant Hunting" Software Can Work for You... In the institutional money management world, some investors focus on stocks that pay high dividends. Some focus on blue chip stocks like The Walt Disney Company (DIS), Apple Inc. (AAPL), and JPMorgan Chase & Co. (JPM). But a lot of big money managers focus on growth stocks. They want to buy stocks with the potential to appreciate 5, 10, 20 times in value. They are looking for the next Apple and the next Disney. They want to see evidence that a company’s potential is starting to be fulfilled in the form of strong revenue and earnings growth. The examples above – and many more – illustrate how powerful the wealth creation can be when you find companies like this. When you combine strong earnings growth, huge “blue sky” potential, AND heavy institutional buying support, the results can be extraordinary. Remember that large money managers – the “elephants of the stock market” – are thousands and thousands of times larger than your average wealthy individual. Many of them are larger than even the billionaires who benefited from last week’s Trump boom Even a wealthy individual with $5 million in assets is a mouse compared to these elephants. That’s why tracking their movements with our “alpha/volatility” metric is a crucial component of my Quantum Cash system’s market-beating stock-picking approach. No one can predict the future. But knowing the stocks institutional investors are buying, and knowing when they are buying, gives you a huge advantage. It’s part of the secret sauce that turns small investments into big profits. We’re able to use this secret sauce with my Quantum Cash system. At its core, Quantum Cash uses a series of algorithms to constantly scour massive amounts of data, looking for patterns. And one of these patterns is if a stock is about to go on a big run. Using this, we’ve been able to find more than our fair share of winners and put real cash in our pockets For example, an initial $7,500 investment in each past winning recommendation paid out $3,375 in one month… $4,650 in three months… and $16,875 in 11 months. So, if you want to add an extra edge to your portfolio, look no further than Quantum Cash. I recently gave a presentation about how it all works. You don’t want to miss it. Click here to watch my presentation on how the Quantum Cash system works. Sincerely, | .png)
.png)
ليست هناك تعليقات:
إرسال تعليق