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Ever wish making money took… less money?
U.S. President Donald Trump just "greenlighted" the 2019 National Defense Authorization Act and a top-line military budget of $717 billion… including $616.9 billion for the Pentagon's base budget, $69 billion for overseas contingency operations funding, and $21.9 billion for nuclear weapons.
That's the single largest investment in our military that I can recall. Not surprisingly, it's also a massive investment opportunity that ties in neatly with one of the single most powerful Unstoppable Trends of our time: War, Terrorism, and Ugliness.
We've talked about this extensively over the years, but this is so important that it merits repeating…
- Lining up your money with defense spending will be one of the single most profitable moves you can make in your investing lifetime.
- What's more, doing so plays a huge part in the difference between an investment account that makes money like crazy, and one that falls flat. Or even worse, one that goes negative.
Case in point, defense-related companies I've recommended like Harris Corp. (NYSE: HRS) or Raytheon Co. (NYSE: RTN) have led readers in our paid sister services to remarkable profits of 100.81% and 205.19%, respectively… and counting!
The logic is very simple and very compelling…
What Most People Don't Realize About Defense Spending
Defense spending is a foundational element in our world and, therefore, backed by trillions of dollars in spending that will happen no matter what trade wars there are, no matter what happens in Turkey, and no matter whether there's a recession or not.
Worldwide defense spending will hit $2 trillion just two short years from now, according to Deloitte.
Now, I know what you're thinking… there are so many companies out there that buying defense stocks is easy. Not so.
What most people don't realize is that all defense spending isn't the same. And I'm not talking about the dollars involved. I'm talking about where the money is going.
“Federal Rent Checks”: Thanks to an obscure law, over 100 government agencies are required to pay rent. By following a simple investment strategy, you could receive checks of up to $1,795 every month. Read more…
When you understand how to figure out what happens next, your investment results are going to be different than if you simply get on board with everybody else. And, odds are, far better.
Take this budget, for example.
All the usual stuff is there – $7.6 billion for 77 F-35 Joint Strike Fighters (made by Lockheed Martin Corp. (NYSE: LMT) and up 157.1% in the past five years), $85 million for UH-60M Black Hawks (helicopters made by Sikorsky, a Lockheed Martin business unit), full funding for the B-21 Raider (made by Northrup Grumman Corp. (NYSE: NOC), up 209.5% over the past five years), $1.56 billion for three littoral combat ships, a fourth Ford-Class aircraft carrier, $225.3 million for Stryker A1 modernization, 135 M1 Abrams tanks, and more.
But it's the $140 million added to the Missile Defense Agency that catches my attention because it's intended for the development of critical directed energy and space-sensing projects as well as hypersonic defense.
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.