Contrarian Investing
As our regular readers know, there’s more to contrarian investing than just being contrary. To be sure, contrarian investing is about rejecting the herd mentality and thinking for yourself, but it’s also about finding techniques and ideas that have been overlooked by the crowd. This collection of articles will help you find hidden treasure in the form of overlooked companies, as well as new ways of investing to reduce risk and increase your profits.
Short the Spammers Portfolio Update - With the markets bouncing all over the place, unsure what to make of the Fed’s recent less-than-hoped-for rate cut, we thought we’d take a moment to see how our short picks are doing. A quick look at the charts showed that we’re up 68.5% in just 5 months. Not a bad start.
Changes at Zecco - Zecco Trading announced a new commission structure today. So are they still a good deal for traders? Get the details and our take on the changes.
The Rex Agreement - A New Option for Home Owners - A finance firm called Rex and Company has recently begun offering a new way to cash out the value of your home. It allows you to free up equity without moving, taking out loans, or making any payments, ever. So how does it work?
Why You’re Still Poor - Why are most of us still poor? The simple answer is that we lack discipline.
Jack Brynaur’s Latest Article Leads at Forbes.com
Why We’re Not Selling Short - As the overall stock market rally continues, and the Dow has reached new record highs, now seems like a good time to comment on why we haven’t yet made any short recommendations for 2007. After all, in a bull market, wouldn’t a proper contrarian be betting on the downside? Not necessarily. Find out why we don’t like selling short, even when the market is surging.
Update on Insituform - Despite Stanford’s recent downgrade, we remain confident in the rosy future for Insituform’s core business, and pleased by the divestiture of the tunneling division.
Insituform: A Blessing in Disguise - Warren Buffett famously says that the time to invest is when “blood is running in the streets.” Investing in great companies that have fallen on hard times has been shown to be a highly profitable strategy, but it takes courage. Every now and then, however, what the market views as bad news is in fact great news for a company. A contrarian lives for these situations, and it’s going on right now with Insituform. It’s time to buy.
Investing in Water Stock: Options for Profiting from ‘Blue Gold’ - Until recently, few were aware of the large and growing worldwide shortage of clean, fresh water. Even in the U.S. water infrastructure is crumbling, and will soon require a major overhaul. Awareness of the problem is growing, however, and investing in water stock is now a hot topic among investors of all stripes.
Sorry, But Your Baby is Ugly - We personally love the Netflix service, but we invest in companies, not products, and Netflix as a company has trouble on the horizon.
Single Stock Futures - What are single stock futures, and why should you care? Find out why this little-known investment tool belongs in your arsenal. Short-sellers in particular should take the time to learn about them.
A Yen for Yen: Profiting from the Japan Carry Trade Rollout - The Yen is bound to strengthen against the dollar in the coming months. Some experts estimate that the yen is up to 40% undervalued. The Japanese are incentivized to keep the price low, but they can’t keep it there forever. Find out how to profit as the valuations even up.
Let’s Get Real: Investing to Combat Inflation - The best way to combat inflation is to invest in real assets. Timberland is one of the best options available. Find out why.
The Definition of Contrarian - An introduction to the mindset of the contrarian investor.
Warren Buffett’s Warning - Warren Buffett issued an ominous warning about our fiscal future in this year’s shareholder letter. Find out how to prepare for fiscal uncertainty.