Scarcity Creates Huge Buying Opportunity
These are the ones to load up on...
Do you remember where you were Monday, March 9,
That day was the bottom of the financial crisis.
The Dow Jones
Industrial Average dropped to its lowest level since 1997. Many investors
I know have thought a lot about that day, and the days around it -- a
time when the implosion of the world financial system still seemed like
a real possibility. And stocks were selling cheap.
Fortunes were made by those who had the steely nerves to buy during this
panic. You could pick up good companies at razor-thin multiples
to cash flow.
I remember gritting my teeth and buying a basket of gold exploration
stocks -- good companies that I just knew were selling way too cheap.
Their share prices had simply been driven along with other stocks
when the stock market plunged. I
picked up stocks like ATAC Resources and Riverside for pennies... and
sold them for gains of 200% and more.
I've also heard a lot of retrospective gripes along the lines of, "If
I'd only backed up the truck and bought more, I'd be a billionaire."
Easier said than done. Remember just how bleak and uncertain things
seemed at this time? Lehman had failed. GM was bankrupt. Bear Stearns
and Merrill Lynch survived only because of government-mediated fire
sales to larger banks.
Everything we thought we knew about the economy and the financial sector
seemed in doubt. The rug had been pulled out, and there was a sense that
anything could happen next.
The same was true in commodities. Oil plunged from nearly $150 per
barrel to less than $35 in six months. Copper approached $1.20 per pound
from a high of $4 six months earlier. Even gold -- supposedly a
"safe-haven" that investors could turn to in tumultuous times -- fell,
to $750 per ounce from nearly $1,000 two months prior.
The collapse was stunning and frightening. Many smart investors, people
who'd long been bullish on hard assets, suddenly questioned whether
commodities were finished as an investment. Perhaps the world no longer
needed metals and energy -- at least not to a degree that would bring
prices back to the lofty levels of previous years.
What strikes me today is how few people remember those feelings of utter
panic and uncertainty. Good times are back -- relatively speaking -- and
we give shorter and shorter shrift to the bad times behind.
Oil is back above $100, copper is over $3 (having fallen from over $4)
and gold investors are fretting because bullion is "only" $1,400.
Back in 2009, these prices would have sounded preposterous during the
depths of that crisis period.
Yes, here we are and most investors are missing the obvious. The
cycle is trending up, yet many investors consider commodities "risky" simply
because of the cyclical nature of metal and energy demand.
If history shows us nothing else, it comfinrs that buying furing the
down times is actually less risky -- and that holds true in
Put another way, the industry has a reputation for risk precisely
because history tells us that what has gone up will go down. But this
also implies that what has gone down will eventually go up. Thus, buying
commodities that are down comes with much reduced risk of further losses
-- and increased likelihood of profit.
The question we have to ask then is: what commodities are currently in a
By focusing our investments in such sectors, we can reduce our risk of
losses in the event of major financial problems -- industries that are
already beat up don't have as far to fall during a crash.
We'll also, ultimately, increase our chances for profit -- either before
or after the the calamity we are trying to insure against.
But before I tell you where I am investing to protect against any fall
from today's highs, let me introduce myself...
A Leading Voice In The Energy And Metals Industry
My name is Dave Forest, I am the Chief Stock Market
Strategist for Scarcity & Real Wealth, one of the
leading commodity newsletters in the country.
I'm a trained geologist with experience working in the mining and oil
and gas sectors for more than a decade. I've traveled as far as Russia,
Myanmar and Madagascar to inspect natural resource projects.
I have also been involved in a number of mining and oil company
ventures, including a position as chief operating officer for Condoto
Platinum, an Australian company with operations in Colombia, and as
director of Notela Resource Advisors, a natural resources advisory firm.
I previously managed the energy research division at Casey Research. I
have a degree in geology came from the University of Alberta.
While at Casey Research I helped investors find some of the best
commodity stocks of the decade...
In June 2005, I recommended Valkyries Petroleum, which was bought out
less than a year later by Lundin Petroleum for a 186% gain.
In March 2006, I recommended JNR Resources, which booked a 352% gain in
about a year.
And in November 2006 I booked a 95% gain in six months on Pitchstone
Now, I'm not showing you this just to pat myself on the back, I want you
to see the power of buying cheap commodity stocks. And now may be one of
the best times to be a commodity investor...
A Surprising Place To Invest Today
So where am I looking for beaten down commodity stocks? The answer
The sector is in a down period right now. The fall in
metals prices so far this year triggered a slide in the related mining
stocks that I think went too far.
The metal price fell about 35%
between October 2012 and July. But equities -- as measured by the PHLX
Gold/Silver Sector index (Nasdaq: XAU) -- plummeted nearly 60% during
the same period.
In my September issue of Scarcity & Real Wealth I make the case for
a gold miner who can pull the yellow metal out of the ground for cheaper
than most. And best of all it's be beaten up too much compared to the
fall in gold prices.
To get access to my research, simply
sign-up for a risk free offer at 60% discount today.
A Leading Commodity Newsletter
You see, we're in a new era. I call it the era of scarcity.
Around the world, literally billions of people are all fighting for the
same limited resources.
Once you burn a barrel of oil or a ton of coal, it's gone forever.
Demand keeps going up, and supplies keep shrinking, leading to steady
price increases for these expiring resources.
But that's not a reason to fear. It's an opportunity to profit.
In fact, many of the best-performing stocks in history have benefited
from scarcity...Royalty trust BP Prudhoe Bay (NYSE: BPT) has returned
more than 4,936% since it went public in 1989. That's all thanks to its
stake in prolific oil and gas fields.
And shares of Terra Nitrogen (NYSE: TNH), a fertilizer company that
profits when prices of commodities like corn rise, have returned more
than 4,000% in the past decade (and they pay a yield of more than 7%
These returns make sense if you think about it. It's so much easier to
profit when you're selling something the world needs... and there's not
enough to go around.
If you agree with anything I've said so far, then let me give you access
to the research I've done in
this field for
Scarcity & Real Wealth -- including my newest
research report, "6 Buffett Rules for Investing in Exploration and
This report reveals the best ways I've found to profit from the world's
increasing scarcity for resources.
All I ask is that you accept a no-risk subscription to my monthly
newsletter -- Scarcity & Real Wealth.
Scarcity & Real Wealth is dedicated to the most lucrative investments in
the entire natural resources industry. In each issue I uncover and
analyze the stocks that I think can make you the most money... all
thanks to growing scarcity.
With your one-year subscription, you'll receive...
12 Issues of Scarcity & Real Wealth plus 12 Mid-Month Updates -- Each
email issue includes full analysis of my favorite natural resource
investment ideas and my take on the latest news in the industry. And to
make sure you don't miss a thing, I'll also send you regular "Mid-Month
Updates" in between each regular issue.
Instant Access to Scarcity & Real Wealth's $100,000 Portfolio -- To
track my results, I add my favorite securities to my real-money Scarcity
& Real Wealth portfolio. I actually buy and sell my picks in a real
brokerage account. This way you'll see exactly how my picks are doing
with zero B.S. I also give you 48 hours advance notice before I buy or
sell any security -- giving you time to beat me to the punch.
The StreetAuthority Insider -- a twice-weekly advisory
available exclusively to paid subscribers.
6 Buffett Rules for Investing in Exploration and Development Companies
-- Discover six lessons on
identifying successful firms in the exploration business -- as
illustrated by some choice quotes from the Oracle of Omaha himself.
Scarcity & Real Wealth normally costs $198 for one full year. But through
this special offer I can give you an even better deal.
Sign up today, and you'll receive 50% off. You'll pay just $99 for an
entire year of my top natural resource investment ideas.
But there's no guarantee this advisory will be for you. So for the next
30 days, you can take the time you need to decide if this research is
what you're looking for. If not, simply contact our customer service
team for a 100% refund (the phone number is located at the bottom of
every issue). You'll keep the reports free of charge.
So if you're interested in profiting from the growing scarcity we're
seeing in nearly every resource on the planet, there's never been a
better time to try Scarcity & Real Wealth.
Note: Sign up for a 2-year subscription
you'll save even more on your second year
while still enjoying our 30-day
If you'd like to take advantage of this special offer (and its
no-questions-asked 30-day refund policy), simply fill out the order form
below to join right now and receive your first issue of
Scarcity & Real Wealth -- and your special reports -- instantly.
Subscribe To A Risk Free Trial Today
If you liked this investment analysis, try a risk-free 30-day trial of
Scarcity & Real Wealth at the special discount rate below:
Pay By Phone
To pay by credit card over
the telephone, please call (512) 501-4002.
I can cancel any time in
the first 30 days by calling StreetAuthority Customer
Service at (512) 501-4002 for a full refund. If I cancel
any time after the first 30 days of my initial term, all
future charges will stop. I will not receive a refund
for any remaining issues.|
I will receive a 100%
refund if I cancel within the first 30 days of my
initial term. Given this special discounted rate,
cancellations are accepted only during the first 30
||To avoid a lapse in service, my subscription
will be automatically renewed at the end of
my term at the then-current renewal price.
To view our auto-renewal policy, follow this link:
with my issues, I will also receive The StreetAuthority Insider -- a weekly advisory
available exclusively to paid subscribers. I will
not receive it if I have opted out of this
||I can rest assured that StreetAuthority will
not share my name or email address with any
clicking the "Submit" button and placing my order, I
agree to the terms stated above.
(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
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 presentation represent
returns for individual stocks only. All investments can be volatile, and
all returns will be reduced by fees and expenses.