The Top 10 Stocks For 2013

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Top 10 Stocks for 2013

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From the research firm serving more than 2 million investors in over 175 countries comes our newest special report...


 

We began publishing this annual report in 2003. Since then, our picks have beaten the market 7 out of the past 9 years... including average annual gains of up to 38.7% in a single year.

In this special presentation, I'll tell you about our just-released picks for 2013 -- including several names and ticker symbols -- so that you can start profiting today.

This year's top picks include...

Stock #1 has raised dividends 33 consecutive times since 2004. That's helped the stock return 18% annually over the past decade... but I think that's just the start. Right now the company has nearly $8 billion in expansion projects underway, which should drive its growth for years to come.

Stock #2 is a one-of-a-kind investment that owns infrastructure assets like ports, railroads and electrical grids all over the world.  In total, 78% of the partnership's revenues are under contracts or are regulated. Those revenues are practically guaranteed. And that money is flowing directly to shareholders. The company has increased its dividend 36% in just two years, giving the units a yield of nearly 5%.

Stock #3 dominates its market... pays $3.40 in dividends per share each year... has increased dividend payments 85% since 2008... and has returned 117% since it went public just over four years ago.

Plus 7 additional picks...

My staff and I firmly believe that these 10 stocks, which I'll tell you about in a moment, will beat the stock market in 2013 and beyond.

You've likely heard the names of some of these stocks before. But there are others that I'd be surprised if even 1 in 20 investors know about.

Of course, they all have one common thread: We think they have the potential to beat the Dow... the Nasdaq... and the S&P 500 in the coming year. And if history is any guide, learning everything you can about our Top 10 Stocks for 2013 is worth your time...

Without a doubt, this yearly report is our most popular piece of annual research. In fact, we've published this annual list since 2003. And over the years, literally hundreds of thousands of investors have read -- and profited -- from our advice.

And there's a good reason why this research is so popular year-in and year-out...

In our inaugural edition in 2003, our top picks beat the S&P by 12.0 percentage points over the course of the year. And then came 2004... 2005... 2006... 2007... 2009... and 2010 -- our Top 10 Stocks trounced the overall market in those years as well.

In fact, through 2011 (2012 results haven't been finalized yet) this annual list has beaten the market 7 out of 9 years.

For comparison, shares of Warren Buffett's Berkshire Hathaway (NYSE: BRK-B) have only beaten the market 5 out of the past 9 years.

There aren't any guarantees, but when you see statistics like this, it's easy to see why so many thousands of investors are excited to receive this annual report.

This year, we've selected what could be our most promising group of ideas to date. For example...
 

  I call Stock #5 my "no-brainer" investment for 2013. Not only did this company buy back $14 billion of its stock in 2011 alone, it also has $6 billion more allocated to additional share purchases. On top of that, its dividends have increased 42% in the past two years... and 463% since 2004. Meanwhile, this company is the most dominant in its industry, which has helped earnings soar 71% in the past five years.

That's one reason why every $100 invested in this company in 1972 would be worth $165,000 today. But don't think you've missed your opportunity. I'll reveal the name and ticker symbol of this stock in a moment. I'll also show you why it's a more attractive "buy" now than it has been for years...

Stock #6 has posted three consecutive years of record revenues, helping it to amass an enormous cash pile. At last count, this company held nearly $49 billion in cash on its books. That amounts to $9.21 per share... yet the stock trades for less than $20.

But that's not all. To attract investors the company initiated its first-ever dividend in 2011. And in 2012 the company boosted its dividend 133%. Given the amount of cash this company holds, I wouldn't be surprised to see those dividend payments continue to rise quickly.

Stock # 10 sells recession-proof products in dozens of countries around the world. Pension funds in the United States and Canada own millions of dollars in this stock. It's also owned by some of the largest money managers in the world. As we go to press, Fidelity owns about 6 million shares worth nearly $470 million, and Morgan Stanley owns about 2 million shares worth $140 million.

It's obvious why they like the stock. In just the past three years the shares have returned 137%... more than triple the S&P's 39% gain.

That's just a taste of what we like about these stocks... and other investors seem to agree that these investments are "must-haves." They've clearly been buying these stocks hand over fist.

I've dug into the past returns of this year's "Top 10 Stocks." These stocks have beaten the S&P for each of the past five years -- that includes the sharp bear market we saw in 2008 and the powerful bull market we enjoyed in 2009 and 2010.

In fact, if you had invested $10,000 into this group of stocks just five years ago, your investment would be worth $18,694 today -- an 86.9% total return. The same investment in the S&P 500 would be worth just $10,471 -- a 4.7% return.

Keep reading and I'll tell you more about this select group of just 10 stocks -- including several names and ticker symbols.

Over the years, we've racked up some phenomenal gains for our readers. In 2008 -- a year marked by one of the worst market sell-offs in history, we made 45.8% with shares of Panera Bread (Nasdaq: PNRA).

And then in 2009 we earned 72.1% on shares of CPFL Energia (NYSE: CPL), a Brazilian utility that soared as the markets rebounded.

And in 2010 we selected not one, but two stocks that gained more than 100% on the year -- Skyworks Solutions (Nasdaq: SWKS), up 101.8% and Silver Wheaton (NYSE: SLW), up 159.9%.

Here's a sample of a few of the big winners we've seen over the years...
 

Symbol Year Return
CPG 2003 +72.7%
GS 2003 +46.3%
CARS 2003 +43.2%
EV 2004 +44.4%
TTWO 2004 +20.7%
WFM 2005 +63.7%
TEVA 2005 +45.2%
CEDC 2005 +35.9%
KMX 2006 +93.8%
FXI 2006 +83.2%
Symbol Year Return
IGT 2006 +52.1%
CME 2007 +35.4%
BRK-B 2007 +29.2%
PNRA 2008 +45.8%
CPL 2009 +72.1%
DEM 2009 +58.1%
SLW 2010 +159.9%
SWKS 2010 +101.8%
BIP 2012* +28.4%
MMP 2012* +30.7%
*As of October 15, 2012

Now, I can't (and won't) guarantee every stock we cover will be a winner. There's no doubt we've recommended stocks some years that have declined in value. And although we've trounced the S&P in 7 of the past 9 calendar years (again, 2012 results haven't been finalized yet), we haven't beaten it every single year.

But here's what I can tell you -- thanks to our research team's expertise and our track record, I'm confident enough in these picks to put my reputation (and my money) on the line...

My name is Paul Tracy. I'm the co-founder of StreetAuthority, one of the nation's fastest-growing financial research firms.  We employ dozens of financial experts throughout the country, and we have offices in Maryland and Texas. As I said, without a doubt our most anticipated piece of research each year is our annual "Top 10 Stocks" list...

But what I don't think many understand is the risk we take in publishing this report year after year.

Let me explain...

Our entire livelihood is centered around finding profitable stocks for individual investors like you. If we make bad calls, we know investors will remember it. That means when we go out on a limb with these picks and publish them for everyone to see, we're taking a BIG risk. After all, there are no take-backs with this report. Once it's published, we're locked in for the year.

Thankfully, so far that risk has paid off well. Here's what a few of our readers have had to say about some of the stocks we've recommended in the past...

"Across about 50 client portfolios, we have about $700,000 invested in the position [you recommended]. We've made about $150,000 so far.
-- Jim P., Forest Grove, Oregon

"I have invested in many of the stocks you profiled. I am up in all of them, and [I] am up 42% in one, 25.9% in another and I bought another... and am up 10% in that also.
-- Vanita M., Magnolia, Texas

"The information [you] provide almost eliminates any research I may have to do myself. That type of info is hard to find out for people like me that have a full time job and are busy with other stuff. [You] find crucial investment information all investors should know about!"
-- Tony P., Toronto, Canada

But it's not just our company's reputation on the line. We have skin in the game too.

You see, unlike many investment research organizations, our company has close to $1 million in actual cash behind our calls in the form of "real-money" portfolios across our numerous advisories.

Yes, we put actual cash behind our investment ideas.

In fact, of the investments we've tagged as our Top 10 Stocks for 2013, we already own all 10 in our various real-money portfolios. (That includes the two stocks I'll tell you about in a moment -- including names and ticker symbols -- that are paying dividends like crazy.)

That "skin in the game" has certainly helped get our research noticed by investors.
 

My business partner and I started StreetAuthority over a decade ago. We literally started the business from our kitchen tables. It's funny to think about now, but I can tell you back then we tried to keep our humble start a secret.

But then a funny thing happened...

People began to see StreetAuthority knew what we were talking about. We were making investors money.

Gradually more investors learned about us. Then our analysis started to appear on AOL, Forbes, Nasdaq, and Yahoo Finance. That brought more readers.

Today, our research is read by more than 2 million investors in 175 different countries. Our subscribers include employees from some of Wall Street's biggest investment houses, including Merrill Lynch, JPMorgan, Credit Suisse, and Morgan Stanley.

That's in addition to readers at Harvard, Yale, MIT, and the University of Michigan.

But StreetAuthority is very different from most investment research firms you're familiar with. That's because we focus on small investors.

Frankly, the market's biggest players have the bankroll and the contacts to research just about anything they want.

Unfortunately, retail investors don't have that luxury. That's where we can help.

Today, I pay salaries of several million dollars per year to employ some of the smartest investment minds in the country.

Our staff includes a former IBM engineer with a degree from Columbia. Another one of our analysts is a Ph.D who used to run her own corporate communications firm and is now one of the most-widely-followed income-investing experts in North America.

One of our analysts is an energy expert with a home base in the middle of the booming Haynesville Shale. Another is a business journalist who joined our staff after researching and reporting for some of the nation's largest newspapers. And another worked the commodity markets in Chicago for The Wall Street Journal.

My background includes a degree from the University of Virginia, working with Robert W. Baird & Co.'s full-service brokerage operations, and economic research work funded by the National Bureau of Economic Research. I've also been a featured speaker at investment conferences across the United States.

In total, StreetAuthority's research team publishes thousands of investment articles each year. But as I said, our most anticipated piece of research is our annual "Top 10 Stocks" list.

And for good reason. Time and time again, this annual group of investments has topped the broader market.

That begs the question... how do we do it?

The truth is, hunting out those picks best poised to beat the market is difficult... especially in a market that moves sharply in one direction one day... only to swing back harder the next day.

So why are we so confident in our select group of 10 stocks?

For starters, StreetAuthority spends a small fortune -- several million dollars each year -- on a team of dozens of researchers and some of the most expensive investment research tools on the market.

But you can't beat the market year-in and year-out with just research dollars alone. Just look at mutual funds -- one of the most popular asset classes for investors. In 2011, a staggering 84% of mutual funds failed to beat the market.

So what's our secret?

Well, for years we've noticed that investing has seemingly become more complicated. Options strategies, complex derivatives, high-frequency trading, and dozens of other investing methods that only a Ph.D could understand have been used to help people "trade" (a.k.a. -- gamble) in stocks.

But we don't use any of those... and I doubt you do either.

In fact, I don't recommend these strategies to the vast majority of investors. Unless you're an experienced professional, the majority of them are ineffective.

So what do I recommend?

Well... after years of research, I've found that more often than not, companies with a few basic characteristics are the ones that consistently beat the S&P...
 

Companies that enjoy huge (and lasting) advantages over the competition.

Companies that are buying back massive amounts of their own stock.

Companies that pay investors each and every year by dishing out growing dividends.

After years of research, I've found that more often than not, companies that match these three simple criteria are the ones that make you the most money long-term.

It makes sense -- strong companies that take care of their shareholders tend to do better over the long-run. It doesn't take a Ph.D to understand that.

Of course, with investing there's never a surefire thing. Even the seemingly strongest companies aren't guaranteed to deliver a positive return.

But that said, if you invest in companies with one or more of these three simple traits, then I think it gives you the best chance of making money.

With that in mind, these are the types of companies we've chosen as our top picks for the coming year.

You'll find all the details on every one of these companies in a brand-new report I'd like to share with you, titled StreetAuthority's Top 10 Stocks for 2013.

To claim your copy, with full details and profiles of all 10 stocks, I only ask that you try a risk-free trial to my monthly advisory -- Top 10 Stocks.

But before you decide, let me tell you a bit more about the select group of companies we've chosen for this year's report...

I doubt you've heard of Williston, North Dakota.

Williston is as close to the "middle of nowhere" as you can get. The nearest major city is more than 300 miles away. The closest interstate is 90 miles away.

But this tiny town is ground zero for what I call the "The New American Energy Boom."

Thanks to the spread of techniques like "fracking" and horizontal drilling, previously unrecoverable oil and gas is now being pulled from shale fields across the country. That's created an energy boom in dozens of places in the United States that sit on top of these shale beds.

"The New American Energy Boom" is so big that the International Energy Agency (IEA) predicts the United States will pass Saudi Arabia as the world's top oil producer by 2017. And the boom is happening all over the country, not just in North Dakota.

That's why I've picked Enterprise Products Partners (NYSE: EPD) as my first Top 10 Stock for 2013.

Enterprise Products Partners' business is vital to day-to-day life. The partnership owns 50,000 miles of oil and gas pipelines -- enough to circle the planet twice -- that move these resources around the country. Our lives would be drastically different without the commodities EPD ships through its network.

That means EPD sees steady demand for its services, just like a utility. And the cash the partnership generates is just as steady.

About 75% of EPD's business is fee-based. The price of oil or gas doesn't impact most of its cash flow. EPD simply earns a fee for every barrel of oil or gas that goes through its network.

Enterprise returns much of that money to its investors through rising dividends. Today the stock yields 5%. Meanwhile, the partnership has increased its dividend more than 40 times since going public in 1998... and 33 consecutive times going back to 2004.

Enterprise distributed $2 billion in the past year. That tremendous amount of cash shows the company is dedicated to putting money in its investors' pockets.

But that's nothing compared to what could happen...

Thanks to the energy boom we're seeing around the country, the amount of oil and gas currently pulled from shale deposits is a tiny fraction of what we'll likely see a few years from now.

The U.S. Energy Information Administration says 14% of our natural gas supply came from shale deposits in 2009. That's estimated to grow to 45% by 2035.

Companies able to collect, ship, and store all the energy pulled from these shale fields will make a fortune. Enterprise Products Partners is positioned to do exactly that.

Enterprise has a staggering $7.7 billion in expansion projects -- about 15% of its current market cap -- on its books. That includes more than 750 miles of pipeline expansions to the valuable Eagle Ford shale field in south Texas. In total, EPD has slated 21 new expansion projects.

I think investors will be rewarded handsomely for years to come given the increasing distributions, steady cash flows, and the backlog of growth projects as Enterprise taps into the "New American Energy Boom." The stock has already returned more than 18% per year during the past decade. Nothing is guaranteed, but at this point I see no reason why EPD can't continue that sort of performance.

I have more details about Enterprise Products Partners in my report. But it's not the only opportunity my team and I have found...

He is the richest person in the history.

Warren Buffett? At his peak, Buffett's wealth is less than one-fifth this man's fortune.

Bill Gates doesn't even come close. Neither does Walmart (NYSE: WMT) founder Sam Walton or telecom magnate -- and current richest man in the world -- Carlos Slim.

None of these men can hold a candle to the $336 billion fortune (adjusted for inflation) amassed by a name synonymous with wealth... John D. Rockefeller.

But when I tell you I've found what I call my "Rockefeller" investment, I'm not saying it because I think it will make us billionaires -- even though I'd love to be able to say that.

No, I call it my "Rockefeller" investment because of what this company invests in.

This "Top 10 Stock" owns a rare breed of assets that are nearly impossible for small investors like you and me to purchase directly. Typically only major companies... or industrial titans like Rockefeller... can buy them.

Most people know Rockefeller became rich via his company, Standard Oil. And while I want to invest in the same sort of business that he did, my "Rockefeller" pick has nothing to do with oil.

But that's fine by me, because when you look closely at exactly WHY Rockefeller got rich, you realize Standard Oil didn't turn Rockefeller into a billionaire simply because it was in the oil business.

No. Standard Oil made Rockefeller the richest man in history because the company held a monopoly in its market... while also paying a fat dividend on the shares he held.

And now, I've found an investment -- Brookfield Infrastructure (NYSE: BIP) -- that lets you own stakes in dozens of infrastructure monopolies across the entire world, and in addition to capital gains, it pays investors a 4.5% dividend each year to own it.

In total, 78% of the partnership's revenues are under contracts or are regulated. Meanwhile, those practically guaranteed revenues are coming from one of the most compelling portfolios I've ever seen.

The partnership has a stake in electric grids in Chile. It holds railroads in Australia... toll roads in South America... and timberland in the United States and Canada.

I can only think of one, maybe two, other places where you can invest in a stable group of monopolistic holdings this broad from all over the planet.

But any "Rockefeller" idea would be incomplete if it ignored dividends. After all, it was Rockefeller who once quipped "Do you know the only thing that gives me pleasure? It's to see my dividends coming in."

Right now BIP pays $0.375 per unit each quarter. That's a 36% increase in just the past two years and gives the units a yield of 4.5%.

I bring you more details about Brookfield Infrastructure -- including my recommended "buy under" and "target" prices -- in my newest report, Top 10 Stocks for 2013.

This report spells out everything you need to know about BIP, as well as all 10 of my favorite picks for 2013...
 

Top 10 Stock #3 is one of the most dominant companies I've ever seen. This company sells its product in 180 countries and owns 7 of the world's top 15 brands in its market.

But it's also the most shareholder-friendly company I've ever seen. It's raised the dividend 84.8% since 2008... and has repurchased more than 465 million shares (about 22% of all shares outstanding). 

Buy it now and you'll lock in a solid yield of 4%, plus you'll probably see another dividend increase in the next few quarters. Meanwhile, the company plans billions more in share repurchases, which should support the share price in just about any market.

Top 10 Stock #4 is a special "toll" company with nearly a billion users around the world... and more than $3.5 trillion in transactions per year.

Although the company was founded in 1966, investors couldn't buy a stake until about five years ago.

Since it's gone public, the stock is u
p 810% thanks to its seemingly unstoppable growth. Maybe that's what attracted the world's greatest investor -- Warren Buffett -- and his investment team. His giant investment firm, Berkshire Hathaway (NYSE: BRK-B), bought a 216,000 share stake in this company last year. And then Berkshire "doubled down" -- buying 189,000 more shares a few months later.

Now this company is making a big splash in China... and buying back billions in stock.

Top 10 Stock #5 has bought back $19 billion worth of its own stock in the past two years and has increased its dividend 463% since 2004. It's little wonder why every $100 invested in this company in 1972 would be worth $165,000 today.

And one more thing... right now the shares trade at a dirt-cheap price, making it perhaps the best time to buy the stock in the past decade.

I call it my biggest "no-brainer" investment for 2013. When it comes to the three characteristics I look for in the "perfect" stock -- enormous competitive advantages, strong dividends, and massive share buybacks, this company is second to none.

Top 10 Stock #6 is one of the safest stocks on the planet, thanks to its enormous profitability and its giant cash horde.

With annual net income of $8 billion, this company is more profitable than such well-known success stories as Goldman Sachs (NYSE: GS), McDonald's (NYSE: MCD), and Disney (NYSE: DIS)... just to name a few. And at last count, this company held more than $48 billion in cash on its books. That amounts to over $9.00 per share... yet the stock trades for less than $20.

If you're wondering what might happen next, the company just gave a big hint when it raised its dividend 133% in 2012.

Top 10 Stock #7 is an electric utility based in Chile... a country where dividends are required by law. Chilean public companies are required by law to pay at least 30% of their net income to shareholders.

Meanwhile, electric demand is growing like wildfire in Chile -- up to six times faster in the past decade than in the United States.

And with this investment, not only do you capture a solid yield and stable growth from one of the world's best utilities, but you don't even have to leave the U.S. markets to do so.

That's because these shares trade right here on the New York Stock Exchange.

Top 10 Stock #8 owns energy pipelines in nearly 20 states. You simply don't find many investments with the mixture of high yield and growth seen by this company.

It pays a yield of 4.5% and has never cut its dividend -- going all the way back to 1994. It's also expanding rapidly to take advantage of the recent oil and gas boom in the United States. In total, it plans to spend $6 billion for expansion projects in the next three years (about 50% of its current market cap).

That's one reason why the company plans to grow its distributions up to 15% per year through 2015

Top 10 Stock #9 serves more than 60 million customers each week. It sells its products at premium prices. The company dominates its competition. And it doesn't worry about government regulation, even though it sells an addictive product.

The company also sells a product that's loved in countries around the world, including the United States, China, Japan, Germany, England, and more.

Because of that, there is tremendous opportunity for growth. Even with more than 17,000 locations, this restaurant still has plenty of room to DOUBLE its store count in the coming years.

That's likely to cause profits to surge. Right now the company is on track to grow earnings per share 75% by 2015... and it just raised the dividend 24%.

Top 10 Stock #10 sells its recession-proof products in dozens of countries around the world. Pension funds in the United States and Canada own millions of dollars in this stock. It's also owned by some of the largest money managers in the world. As we go to press, Fidelity owns nearly 6 million shares worth nearly $470 million, and Morgan Stanley owns about 2 million shares worth $140 million.

It's obvious why they like the stock. In just the past three years the shares have returned 137%... more than triple the S&P's 39% gain.

As I said earlier, I think the 10 stocks I've included in my Top 10 Stocks for 2013 report offer the best potential to beat the broader market in the coming year.

I've already provided you with a couple of names and profiles of stocks that made my Top 10 Stocks for 2013 list. For the remainder of the stocks in my list, I've put together a 15-page online report for readers of my monthly Top 10 Stocks advisory.

This newsletter offers one of the simplest guides to the market that you'll find anywhere. Each month I share my single favorite pick from across all of StreetAuthority's premium research advisories.

So far, the readers following my work seem to have enjoyed it...

"The investment suggestions are thoroughly researched. The background information shared and rational for inclusion in a portfolio is concise but informative."
-- Marilyn W., Green Valley, Arizona

"I like the concentrated portfolio and not being inundated with too many 'great' ideas, just the ONE best per month and the overall 10 best to be kept in a portfolio."
-- Haviva G., Atlanta, Georgia

"I invested $10,000 each in two of your recommendations. I'm up $2,200 on one and up $1,000 on another."
-- Jim M., Hobe Sound, Florida

"Don't change anything, you may break it. I think you are the best."
-- Bahij M., Newton, Pennsylvania

"The amount of dividend payouts and gains pays for [Top 10 Stocks] very quickly. Totally worth it."
- Christopher P., League City, Texas


Now, there's no guarantee Top 10 Stocks will be the right publication for you. So here's what I'd like to do.

Try Top 10 Stocks for the next 30 days risk-free, read my newest report -- Top 10 Stocks for 2013, which is included for free with your subscription, and then decide if my research is what you're looking for.

Start your 30 days now, and you'll receive the following with a one-year order:

Report #1: Top 10 Stocks for 2013 -- You'll have full access to the names and profiles of the 10 stocks I think have the best potential to beat the market in the coming year. You'll receive the names, ticker symbols, "Buy Under" and "Target" prices, and a full write-up on each company.

Monthly Issues of Top 10 Stocks -- On the first of the month you'll receive my latest issue of Top 10 Stocks, featuring an in-depth profile of my top pick of the month -- the single most-promising security from across all of StreetAuthority's premium investment advisories.

Instant Access to my Entire $100,000 Real-Money Portfolio -- To track my true results I actually buy and sell my picks in a real brokerage account. And I always give you 48 hours advance notice before I buy or sell any security -- giving you time to beat me to the punch.

Weekly Issues of The StreetAuthority Insider -- This weekly advisory brings you the opportunities and investments that our top researchers at StreetAuthority are analyzing right now... before the public ever hears about them. This service is included with your subscription at no extra cost.

So for the next 30 days, you can take the time you need to decide if my Top 10 Stocks research is what you're looking for. If not, simply contact our customer service team for a 100% refund.

Like I said, it's easy to see if my research is right for you.

I'll tell you how to get started and gain immediate access to my Top 10 Stocks for 2013 report in a moment... but first I want to tell you about one last bit of research I've been working on...

Around our research office in Austin, Texas, we just call them "Forever" stocks. Everyone here knows exactly what we're talking about.

Put simply, this is the set of stocks you can buy today and hold for the rest of your life. When you own them, you may no longer need to worry about things like inflation or deflation... bear markets or recessions... flash-crashes or rising interest rates.

For example...
 

One of these is a fund whose job is simple -- invest in the most stable utility stocks on the earth and pay investors a fat dividend yield.  It owns telecoms in Israel, electric companies in Brazil, and water utilities in the United States.

It's returned more than 11% per year since its inception in 2004... and it has boosted its dividend 29% along the way. In total, the fund has paid more than 95 consecutive dividends and currently yields 6.0%.

But don't expect to have heard of this one... it trades only 120,000 shares a day -- about what Apple trades in five minutes.

I like to call another "Forever" stock "Baby Berkshire." It invests just like Warren Buffett's Berkshire Hathaway, but there is one major difference...

This company is still small enough to make nearly any investment it wants, which can lead to big returns. Warren Buffett himself has said of his company, "Berkshire's capital base is now simply too large to allow us to earn truly outsized returns."

But this smaller "Berkshire" company doesn't have the same problem. No wonder it has returned 123% in the past decade.

One of our favorite "Forever" stocks is owned by a staggering 21 members of Congress. James Sensenbrenner Jr. (R-WI) reports that via his wife, he has a stake of at least $500,000 of the stock. And in 2011 (the last year data was available), that stake earned at least $15,000 in dividends.

You can see for yourself in his latest financial disclosure I had our research team dig up on the Representative:

Here's the funny thing. When you find a stock that a herd of Congressmen love... you usually find that some of the richest people in the world also invest in it. It's almost like there is a direct link between the two...

In fact, Representative Sensenbrenner and his wife could shake hands with the world's richest man -- Mexican telecom magnate Carlos Slim -- at this company's annual meeting. That's because along with a couple dozen members of Congress, Mr. Slim also has a stake in this world-dominating company... owning more than 14,800 shares worth $1.3 million.

It's the same story with another "Forever" stock I found. It's owned by dozens of the market's biggest players. Legendary investment firm Fidelity owns more than 14,000,000 shares worth over $10.5 billion. Goldman Sachs owns another 2,500,000 shares.

But let me be clear -- these "Forever" stocks ARE NOT solely reserved for Congressmen, billionaires, or the elite.

In fact, all of these companies trade on one of the major U.S. exchanges, so you can buy them easily with your existing brokerage account. Individual investors just like you have been making money from these types of stocks for decades.

And when you find the right stocks and hold the shares "Forever," great things can happen.

Put simply, the market's greatest stocks -- not the extremely risky plays that skyrocket and crash seemingly overnight -- take years to reach their full potential.

In the meantime, investors who hold these stocks are able to steadily compound their gains year in and year out.

Take a well-known case -- shares of Apple (Nasdaq: AAPL). Apple has been one of the market's best performers for years (but even so, it didn't make the cut for my list of "Forever" stocks). But even in the stock's best one-year period, investors made 289%.

I wouldn't sneeze at a 289% gain, but anyone who bought for a year... or an even shorter time... sold themselves short.

You can see from my chart that Apple wasn't done after six months or a year...

Since 2003, Apple has gained 9,248%. That's an average annual gain of 59% and enough to turn every $100 invested into more than $9,300.

Investing for a short period in a stock like Apple is like ordering a 7-course meal and only sticking around for the appetizer. Sure you get a taste... but wouldn't you rather have the whole meal?

But I'd bet you already knew holding for the long-term is smart. Many of the market's brightest minds -- including Warren Buffett -- have heralded the powers of long-term investing.

The simple fact is it can be tough to hold for long periods. After all, there are bear markets, recessions, flash crashes... it can be enough to make your head spin.

Even if you want to hold for the long term, don't you have to have nerves of steel?

The answer is no. Absolutely not. IF you're invested in the right stocks, you can beat the market with less volatility than you ever thought.

Hear me out...

I've run the numbers on our 10 "Forever" stocks during the nasty bear market that lasted from October 9, 2007 until March 9, 2009.

Only 1 stock of the 10 fell more than the S&P 500 during the bear market. And in the 18 months after the bull market returned, this stock came back with a vengeance... more than doubling the S&P.

As for the other 9 picks? Well one of them wasn't listed until after the bear market, so I left it out of our calculations to be fair. Of the rest, they fell an average of 30% less than the broader market.

And the vast majority of these picks beat the S&P 500 on the way back up. So not only did this select group of stocks hold up better in a down market... they also whipped the S&P 500 in the bull market.

See for yourself...

It's like having your cake and eating it too.

Now, I'll be honest. There's a major caveat. You can't just buy any stock, hold it forever, and expect to come out ahead. The market is littered with Enrons, Worldcoms, even General Motors. Holding forever didn't matter a lick with them.

That's why my staff and I have put so much time, effort, and money into completing our list of 10 "Forever" stocks.

The performance of these stocks since the start of the bear market isn't some fluke. It's one of the main reasons why we selected these 10 stocks in the first place.

But the best news is this handful of stocks show signs they could make investors wealthy for years to come.

I've put all 10 stocks -- including names, ticker symbols, and full profiles -- into a special research report: Top 10 Stocks to Hold Forever

I've decided to include this report at no extra charge with your subscription to my monthly Top 10 Stocks advisory.

Keep reading to see how to sign up and lock in a major discount...

The masthead price for Top 10 Stocks is $99 per year. That's because we put an enormous of time, money, and effort into our company's research. We have to recoup our costs.

But today we're trying something different. Sign up through this offer and you can start your 30-day test of Top 10 Stocks for 60% off.

For just $39.95, you'll receive one year of my monthly advisory. This includes...

12 Issues of Top 10 Stocks -- Each issue includes an in-depth profile of my top pick of the month -- the single most-promising stock from across all of StreetAuthority's premium investment advisories.

Instant Access to my Entire $100,000 Real-Money Portfolio -- To track my true results I actually buy and sell my picks in a real brokerage account. And I also give you 48 hours advance notice before I buy or sell any security -- giving you time to beat me to the punch.

Report #1: Top 10 Stocks for 2013 -- You'll have full access to the names and profiles of the 10 stocks my research team and I believe have the best potential to beat the market in the coming year. You'll receive the names, ticker symbols, "Buy Under" and "Target" prices, and a full write-up on each company.

Report #2: The 10 Best Stocks to Hold Forever -- You'll have full access to the names and profiles of the 10 stocks we've designated with the exclusive "Forever" tag. Buy these stocks, forget about them, and hold them forever.

Weekly Issues of The StreetAuthority Insider -- This weekly advisory brings you the opportunities and investments that our top researchers at StreetAuthority are analyzing right now... before the public ever hears about them. This service is included in your subscription at no extra cost.

If you decide to join Top 10 Stocks for two years (with the same 30-day money-back guarantee), then you'll also receive these additional reports...

Report #3: Two Stocks with 10%-Plus Dividend Yields -- If your idea of investing heaven is a double-digit yield, then you'll love this report. The yields here start at 10% and go up from there.

Report #4: The Most Undervalued Stocks in America -- These two stocks are major market players... but they are some of the most undervalued investments I've seen. Meanwhile, these companies are buying back billions of their own stock and increasing dividends like crazy  -- doing everything they can to make their investors rich.

Report #5: Two Stocks with 500% Growth Potential -- These stocks are for those investors looking to "move the needle" on their portfolio. We've identified the two picks that we think have the greatest potential to soar several hundred percent in the months and years ahead. 

Keep in mind that you'll have the next 30 days to decide if you like my research or not.

If you don't like it, I won't get my feelings hurt. Simply call our dedicated customer service team before 30 days is up and we'll issue you a full refund. You'll be able to keep the reports, free of charge.

To get instant access, subscribe now.


All the best,


Paul Tracy
Chief Strategist, StreetAuthority's Top 10 Stocks
Co-Founder,  StreetAuthority

P.S. --  The only way to get the names of my Top 10 Stocks for 2013, my favorite stocks from across all of StreetAuthority's advisories each month, and The 10 Best Stocks to Hold Forever is to subscribe today at zero risk to you.


Disclosure:  At the time of this writing, editor Paul Tracy owned shares of EPD, BIP, GOOG, and CPL. StreetAuthority owned shares of EPD, BIP, CPL, MMP, and SLW as part of the company's various "real money" portfolios. In accordance with company policies, StreetAuthority always provides readers with at least 48 hours advance notice before buying or selling any securities in any "real money" model portfolio.

(C) Copyright 2012 StreetAuthority, LLC. LEGAL DISCLAIMER: Please note that we are not a registered investment firm or broker/dealer. Readers are advised that the material contained herein should be used solely for informational purposes.

We urge you to always conduct your own research and due diligence and obtain professional advice before making any investment decision. StreetAuthority will not be liable for any loss or damage caused by a reader's reliance on information obtained on our web site. Our readers are solely responsible for their own investment decisions.

Figures shown in the preceding webcast represent returns for individual stocks only. All investments can be volatile, and all returns will be reduced by fees and expenses. Below are the returns for StreetAuthority's premium newsletters.
 

Newsletters
(Real-Money Portfolios)
2011 Returns Current Holdings Showing Gains* Current Holdings Showing Losses*
Top 10 Stocks +8.0% 10 5
* as of November 2, 2012.
Annual Top 10 Reports Return
(S&P 500 Return)
   
2003: 38.4% (28.7%) 2004: 16.8% (10.9%) 2005: 11.5% (4.9%)
2006: 30.8% (15.8%) 2007: 6.9% (5.5%) 2008: -46.4% (-37.0%)
2009: 37.0% (26.5%) 2010: 38.7% (15.1%) 2011: -37.7% (2.1%)
Performance for calendar year.