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Two Safe Ways to Profit From the "Alibaba Shockwave Effect"

In the mid-1990s, I was fortunate to meet and start working with an Upstate New York money manager named Anthony M. Gallea.

The relationship began when I attended and wrote stories about some of the investment seminars he periodically held for prospective and existing clients. He then became a “source” for some of the investment stories I periodically wrote for Gannett Newspapers. And we ultimately collaborated on a pretty successful book about “Contrarian Investing” that was published by Prentice Hall.

Along the way, Tony shared some pretty important snippets of investing wisdom…

  • The Best Way to Profit from the AAPL-GOOG Mobile Payments War AAPL With so much money at stake, it's no wonder Google (Nasdaq: GOOG) and Apple (Nasdaq: AAPL) are engaging in a huge battle over which company's e-wallet platform consumers will choose to make purchases.

    We could wait on the sidelines to see which e-wallet consumers prefer. But that's not our style.

    So here's a “secret” play whose business will be supercharged no matter who wins the mobile-payments war…
  • Why Alibaba Stock (NYSE: BABA) Is a Better Bet than Apple NYSE: BABA

    Several years ago I made the comment that I thought Apple Inc. (Nasdaq: AAPL) may be the world's first $1 trillion company. Now, I think Alibaba Holding Group Ltd. (NYSE: BABA) is the better bet.

    Sacrilege? Not if you think about the big picture.

    Today I want to talk about why Apple investors should switch horses and what Alibaba stock means for your money.
  • How Scottish Independence Will Affect Energy Prices energy prices

    On Thursday, there will be a vote in Scotland to decide whether it will separate from the rest of the U.K., and the latest polls are too close to call.

    For the government, Scottish independence would be a direct rejection of Prime Minister David Cameron.

    But there are also numerous implications for energy prices if the vote succeeds…
  • The Truth Behind the Dangerous "Helicopter Money" Delusion helicopter money Seeking out major trends and power shifts in the global economy is a part of my work that I enjoy most.

    It's a lot of work, and needless to say, it involves constant research.

    That's why a piece I recently read in Foreign Affairs absolutely shocked me...

    The piece is a bit revolutionary, as its authors speak to a drastically different way of stimulating an ailing economy than the path we're on today.

    Full story...
  • The Big Opportunity in the "Orbital Junkyard" best investments in tech

    To say that I've been fascinated with space technology since I was a little kid is no exaggeration.

    See, when I was in the first grade, I met none other than U.S. astronaut John Glenn, the first person to orbit Earth, and a man many will know about as an almost mythic figure in the book and movie The Right Stuff.

    I got the honor of meeting America's hero because my dad, a Marine Corps officer, was escorting Glenn on a goodwill tour of our base.

    Glenn would go on to become a distinguished U.S. senator and my dad later became the senior military editor of Aviation Week & Space Technology, the bible of the industry.

    To this day, my dad and I still regularly discuss breakthroughs in military and space systems.

    Just like this one...
  • The Real Reason the Federal Reserve Is Afraid to Raise Interest Rates Federal Reserve

    When the Federal Open Market Committee (FOMC) of the U.S. Federal Reserve meets next week (Sept. 16-17) to consider when it should raise interest rates, it will have a huge disincentive to do so.

    And we're not talking about what you'll hear in the mainstream media about whether the unemployment rate is finally low enough, or whether U.S. economic growth is finally strong enough to warrant tightening monetary policy.

    No, what the Federal Reserve fears most is a problem of its own creation...
  • If You Own Only One Investment, Make Sure This Is It etf investing

    For a change of pace today I wanted to tell you a personal story.

    Twenty years ago, when I was working as a business reporter in upstate New York and covering Eastman Kodak Co. for Gannett Newspapers, I decided it was time to start saving for a house.

    So I concocted a plan.

    I wasn't exactly getting rich as a journalist, but I was doing okay. Even so, I knew I'd need an actual plan that I could commit to if I really was going to amass the needed down payment.

    My plan was simple. In the years that followed, every time my bosses gave me a raise, I started a new mutual fund.

    By the time I got a job at The Baltimore Sun in 1998 - and Robin and I moved to Maryland - I had more than $25,000 set aside from this plan and some other money I'd saved. And we could start looking for our first house.

    I also learned a valuable lesson: A little discipline can take you a long way.

    I was thinking about this the other day when Radical Technology Profits Editor Michael Robinson and I were talking about the "one investment you should never sell."

    It's a perfect investment for house down payments, college funds, retirement, a vacation house, a boat, or the cruise of a lifetime - in short, the kind of big-ticket purchases that come along a couple times during a lifetime.

    Let's take a look...
  • Why the Best High-Yield Dividend Stock to Buy Is Altria high yield dividend stock

    Most people invest in companies hoping to catch a stock on the upswing - and bring in mega-returns for themselves in the process. But what if you found a company that could rack up mega-returns even if its stock price stays flat?

    That's the situation with the high-yield dividend stock Altria Group Inc. (NYSE: MO).

    Here’s why this is one of the best dividend stocks you can buy…
  • Gold Price Forecast: How the Yellow Metal Will Reach $5,000 per Ounce gold price forecast

    A few years ago I issued a gold price forecast of $5,000 an ounce. I still believe that's a realistic price target - and now prominent gold mining experts are following suit.

    Rob McEwen, founder and former chair and CEO of GoldCorp, said in a recent interview, "I'm a long-term believer in gold and I see it ultimately getting to $5,000 an ounce."

    Here's why gold prices are headed much higher...
  • Tesla's (Nasdaq: TSLA) Success in China Reveals a Better Path to Profits Nasdaq: TSLA

    So far this year, Tesla shares are up more than 80%, and the innovative company's Chinese expansion should propel the stock even further.

    But that pales next to this Chinese auto e-commerce company that's up a whopping 220% just since February.

    And this high-octane stock will tack on another 50% over the next couple of years...
  • Let the "Big Boys" Do the Legwork and Take Bigger Gains for Yourself how to invest

    Regardless of what the loudmouthed know-it-all in the locker room thinks, retail investors (that's code for you and me) don't have much of an impact on stock prices.

    It might be fun to think that buying 100 shares of Apple Inc. is somehow part of some larger force of collective wisdom pushing stock prices higher - but with average liquidity of nearly $5 billion (in AAPL shares) the only players with enough might to make the stock move are the big boys - institutional buyers.

    When I say institutional buyers, I'm referring to mutual funds, hedge funds, pension funds, and insurance companies.

    It's nearly impossible for a stock to deliver a huge upside run without the deep-pocketed firepower of institutional buying - and that's why it's so important to look for clues indicating they're building positions and scooping shares.

    After all, wouldn't you rather go sailing with the wind doing the work rather than paddling back to shore?

    I know I sure would. And here's how we can...

    Full Story

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  • How the Federal Reserve Is Killing America Federal Reserve

    It's maddening. Our economy is stagnating. The divide between haves and have-nots is widening every day. There are fewer and fewer good jobs and careers to be had. What the heck happened?

    The U.S. Federal Reserve System is killing America. It has destroyed the economy. It has undermined savers and retirees. It is even responsible for the corruption in Congress.

    We have to kill the Fed before it kills America for good.
  • Stock Market Crash 2014: George Soros Tips His Hand stock market crash

    Hedge fund filings for the second quarter show a spike in defensive positions, which many have interpreted as a sign that professional investors like George Soros are preparing for a stock market crash.

    And yet these hedge fund managers don't seem to be bailing on stocks altogether. Some even increased their long positions.

    But if you dig a little deeper it becomes clear exactly what Soros and his fellow hedge fund managers are up to - and it makes perfect sense.

    Here's why you should follow their lead on this...
  • Cybersecurity Investment More Important Than Ever After Latest Data Breaches cybersecurity investment

    A number of recent high-profile data breaches have turned the spotlight on the growing threat of cyberattacks.

    In the first three months of 2014, 254 data breaches occurred, resulting in more than 200 million data records lost or stolen.

    That's a whopping 233% year-over-year increase. This growing threat is also an opportunity for cybersecurity companies.

    A few recent examples make this all too clear...
  • Is a Stock Market Correction Coming? stock market

    More than three years have passed without a stock market correction, and this has investors, traders, analysts, and economists wondering when one will occur.

    Even with interest rates sitting at rock-bottom levels and earning next to nothing for savers, right now, sitting on cash isn't a terrible thing.

    Here’s why so many big-name investors have kept cash hordes growing instead of invested – this will have a major impact on your money…