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As my Total Wealth readers know, when I started that newsletter I highlighted six "Unstoppable Trends" – each of which is backed by trillions of dollars – and promised that we'd check in on them from time to time in the pursuit of profits.
Today, I want to keep that promise.
Not only are all the "Unstoppable Trends" fully intact, many are getting even stronger. So are the companies we're tapped into, especially when they're in sectors being written off by the mainstream investment community.
Recent "Unstoppable" Winners
For instance, I brought Williams Companies Inc. (NYSE: WMB) to your attention on January 7, 2015, as a way of playing the beleaguered energy sector. As of March 3, it had returned 15.35%, or more than triple that of the S&P 500 over the same time frame.
Then there's Kratos Defense & Security Solutions Inc. (Nasdaq: KTOS), a small niche defense contractor positioned for huge gains by playing outside the mainstream defense contracting procurement ballpark. It's returned more than 16% since I called your attention to a re-entry point on Jan. 9.
Kyocera Corp. (NYSE: KYO), the Japanese tech giant I called out on New Year's Eve as a means of playing the uneven stimulus that's powering Japanese markets, was up 10.87%.
Thing is, I'm not telling you this to brag. What I want you to understand is that stocks backed by "Unstoppable Trends" have the potential to dramatically outperform the markets.
And that's why you need to keep every single one of our trends at the top of your mind… so that you can tap into the potential created by trillions of dollars on the move.
Here's what you need to know about each of our "Unstoppable Trends" today – starting with the biggest opportunity on the planet right now.
Energy
Energy is probably the most misunderstood of all our Trends today. Yet, it's also potentially one of the single biggest opportunities out there.
I love the fact that analysts almost universally hate the sector.
To their way of thinking, a whole host of international events, from an oil pricing war with Saudi Arabia to negotiations for a nuclear deal with Iran, are conspiring to further drag down a sector that's already down and out.
Here's the thing: Energy shows every sign of approaching an opportunity that should make your heart beat faster as an investor: the point of "maximum pessimism."
It's easy to forget, but the demand for oil isn't falling. Heck, it's not even merely increasing. Instead, it's accelerating. Not 1 in 100 investors understands this, which is why many energy companies are priced like they're going to be out of business a year from now.
In fact, the U.S. Energy Information Agency (EIA) released a report just last month predicting global prices will soar by 33% over the next year. This jump comes despite increasing supply worldwide, with the U.S. alone expected to produce 200,000 more barrels per day in 2016 than in 2015.
Private sector research backs up this view. In fact, Deloitte is even more bullish, predicting a "U-shaped recovery" for oil prices, seeing them average to $62/barrel in 2015 – a 24% increase from today's prices – while averaging $75 to $80 per barrel in 2016. I'm not sure I'll go that far, but that's not the point.
What matters is that multiple data points suggest oil is set to rebound even as supply steadily increases.
Some 70% of that is coming from – you guessed it – emerging markets where they have never known the price fluctuations in oil markets like we do. So conservation efforts here in the West are a moot point.
That's why we'll continue to seek out bargains in the oil and gas sector for years to come.
Demographics
The world's population is about to hit a never-before-seen milestone. According to a report by the National Institute of Health & Aging that was updated last January, the number of people aged 65 and older will outnumber children younger than five years old worldwide by 2020. It will be the first time in recorded history that that has been the case.
Of course, in some countries like Japan, the future is already here. Japan's aging population has already had huge economic consequences – as America's will eventually – ranging from diminished productivity to soaring healthcare costs to strained social security programs.
This will mean surging profits for medical companies like Becton, Dickinson & Co. (NYSE: BDX), and it will contribute to a complete global currency realignment, perhaps even breaking several major currencies including the yen.
We'll be following the situation closely, looking for even more companies and exchange-traded funds that stand to profit from the inevitable consequences of a Demographic revolution.
Medicine
U.S. national healthcare spending hit $3.8 trillion in 2014, thanks in large part to Obamacare's implementation and a related surge in Medicaid expenditures driven by millions of Americans who are now required by the law to purchase insurance. More than any other single factor, this was the cause of the 3.6% jump in healthcare spending in America in 2014, which far outpaced GDP growth for the same period.
But what most people don't know is that the rest of the world is experiencing surging healthcare spending, too. Various sources including Deloitte, McKinsey, the IMF and others foresee total global health spending rising by an average annual rate of 4% or even 6% by 2017.
Whether these forecasts are conservative or optimistic is immaterial. What matters from an investing standpoint is that the resulting movement in capital will place huge amounts of stress on governments, social security systems, and insurers and developing markets.
As part of that, I expect trillions of dollars to get transferred worldwide, with several trillion right here in the United States.
This will be accelerated as new politically driven "mandates" create guaranteed market shares for favored companies and organizations, and therefore enormous profits.
And while we at Total Wealth may shake our heads at the chronic case of government overreach, we're going to pursue every dime of profits with new recommendations along the way.
War, Terrorism & Ugliness
About the Author
Keith Fitz-Gerald has been the Chief Investment Strategist for the Money Morning team since 2007. He's a seasoned market analyst with decades of experience, and a highly accurate track record. Keith regularly travels the world in search of investment opportunities others don't yet see or understand. In addition to heading The Money Map Report, Keith runs High Velocity Profits, which aims to get in, target gains, and get out clean, and he's also the founding editor of Straight Line Profits, a service devoted to revealing the "dark side" of Wall Street... In his weekly Total Wealth, Keith has broken down his 30-plus years of success into three parts: Trends, Risk Assessment, and Tactics – meaning the exact techniques for making money. Sign up is free at totalwealthresearch.com.
There is a lot of things to read. I don't have that much time. Where are the important 90%?
thanks