Dear Cautious Investor,
Right about now you’re probably saying, "Invest overseas? Didn't international stocks sink like the Titanic last year?"
True. But unlike the Titanic, emerging markets and international investments are coming back — and they're looking more promising than ever before.
In fact, some of today's smartest investors (think Warren Buffett, PIMCO's Mohammed El-Erian, and more) are wisely putting their money into overseas investments, because they know...
This is your chance to cash in on what could be the greatest investment opportunity of your lifetime.
They've bought and wisely invested in a company that's the Latin American equivalent of eBay... They're buying shares of the emerging markets' version of AT&T... And they're happily investing in China's largest multinational pharmaceutical company with the potential to become a major player like Johnson & Johnson. And dozens more.
They didn't find out about these international superstars from their broker.
Rather, they accepted a completely FREE TRIAL to one of the best international investment services available today and found out about all these investments plus loads more. You'll have the same chance to check out these windfall opportunities — absolutely FREE for 30 days (and even get two FREE reports), but I'll tell you more about that later. Right now I want to explain why...
Sadly, in this economy most investors will choose to follow their brokers' advice and buy seemingly safe stocks to minimize risk. But the reality is this: "Safe" stocks bring you limited upside, and in tough times, you get the same unpredictable downside you'd find in small, foreign, or even small and foreign stocks.
So where can you find big gains today?
In small foreign companies that have the opportunity to surprise the world and the market. They've got the needed resources and their multiyear growth potential is huge. And with investors going after "safe" U.S. large caps (using that flawed risk assumption), you can buy the tremendous upside potential of emerging markets — for cheap!
In 2007 our economy grew at a rate of just 2.2% while China's grew at a whopping 11.4%... India's at an astounding 9.2%... Argentina's at 8.7%...Vietnam's at 8.5%, and the list goes on. And if you looked at these economies in dollars you'd see they grew even faster!
Even before the bear market gyrations of this recession kicked in, foreign countries were outpacing our growth. Look at the chart below that compares our 2007 returns and 5-year annualized returns to those of other countries.
*Data from Morningstar. Through May 2008
I could list every market in the world and the numbers would look pretty much the same.
The fact is, from March 1999 to March 2008, the "best-performing stocks were those in emerging markets," which raked in average annual returns of over 18%.
The US will never again see GDP numbers this big. We're too big — too developed — to experience this kind of phenomenal growth. Now, that doesn't mean you can't make money investing in American companies. Of course you can.
But think about this. Even when the S&P 500 is up more than 45% from March lows, emerging markets rocketed almost 75%, helping prove that the real wealth that gets generated over the next decade will happen offshore.
Warren Buffett, the Oracle of Omaha, said "the 19th century belonged to England, the 20th century belonged to the U.S., and the 21st century belongs to China. Invest accordingly."
Mohammed El-Erian, PIMCO's co-CEO and global guru, says, "... times have changed, and it's time for investors to add more global reach to their portfolios. He boldly states, "You should consider holding a third of your equities... in emerging markets."
And Jeffrey Applegate, CIO of Citigroup's Global Wealth Management unit, says "the primary engines of growth have shifted away from the United States,... Investors need to position themselves to take advantage of global opportunities."
In fact, there are huge risks to international investing: Exchange rates can work against you; a government that's stable today may not be tomorrow, international markets can be more volatile, shareholder rights vary by country, and you may have very little recourse if something goes wrong.
And that's why no matter how good the prospects look you shouldn't set sail alone. Foreign stocks and emerging markets come with their own set of rules, and in order to buy the best you need a team of advisors who understand world markets.
Meet Tim Hanson and Nathan Parmelee co-advisors of Motley Fool Global Gains the international investing newsletter and service that's helping people safely and securely capitalize on overseas opportunities.
Two of the smartest minds in international investing, Tim and Nathan have an uncanny ability to uncover fantastic companies in economies that are ready to take off.
That's not to say their international ideas have been impervious to the market's wild swings. The truth is, even some of their most promising picks have taken a beating recently, but that just means more opportunity for you — because these stocks are sure to come soaring back.
Let Tim and Nathan show you exactly how to position yourself to profit from what very well could be the greatest bull market our generation has ever seen.
Best of all you can try Global Gains completely FREE for 30 days. During your 30-day FREE Trial you'll have unlimited access to every recommendation, special report, investing tool, update and more, including...
Since we alerted Global Gains subscribers to buy back in November of 2008, this stock is up over 222% and setting us up to harvest big profits! What does this fast growing company do? Simply put, it makes fertilizer. Not too exciting? Well, consider that it makes exactly 119 different products. Specifically engineered for different plant species and growing zones that have organic certification from the Chinese government and the China Green Food Association. Add to that the fact that China is the world's largest fertilizer market, limits fertilizer imports, and wants to make its agricultural sector more productive in ways that are more environmentally sensitive... and you can begin to see the, ahem, growth opportunities. With a balance sheet that boasts more than $13 million in cash, realistic goals of quintupling production capacity, and a highly incentivized CEO we think this stock has lots of room to grow. Best of all it's still "dirt cheap!”
At the start of 2009 we told readers about a company that's not only the eBay of Latin America, it's the Amazon and the craigslist too. The company offers online auctions, fixed-price sales, and classifieds in 12 Latin American countries. It's so successful even eBay decided it would rather join forces than try to compete. Tim Hanson met with the company's executives in December 2007 and was amazed by what he saw. Over the next year, the company grew revenues by 77%, operating income by 118%, net income by 161%, and free cash flow by 24%. Yet thanks to a jittery market share prices plummeted making it the perfect buy. We recommended it in January 2009 and share prices surged! We netted a 70% profit, making MercadoLibre a huge success story for Global Gains — and our members!
Want another winning international stock pick that could easily rival the numbers of these two success stories? Activate your FREE trial to Motley Fool Global Gains right now and then check out the January 2009 issue in our archives.
Here you'll find a health care stock that's priced as if it will only generate 3% annual cash-flow growth forever. While that may be true for 2009, it's "short-sighted" (a little clue there to what the company might be!) to think it will stay there, because for the past few years, the rate has been closer to 15%.
After running the numbers we value the stock at $112 per share — a conservative estimate when you consider that pharmaceutical giant Novartis paid $143.18 per share to own 25% of the company in April. And Novartis has left the door open to purchase another 52% for $181 per share. Don't wait for the price to go up before you buy. Check out the January ‘09 issue now — during your FREE 30-day trial of Global Gains.
And these two stock picks are just the tip of the iceberg. You'll find dozens of potential winners...
Read about these stock picks and more when you start your FREE 30-day trial of Global Gains today. If you become a member, you'll have unlimited access to our state-of-the-art, password-protected, interactive website, where you can access:
And of course you'll get to strike up a conversation or post a message on our interactive discussion boards. Or pick the brains of other members or the Global Gains advisor team — including Tim and Nathan.
Global Gains is like having your own personal overseas investment gurus helping you ferret out the most profitable overseas opportunities while keeping a watchful eye on all your international investments.
And as with every newsletter and service from Motley Fool, you can rest assured that the advice you get is 100% objective and unbiased.
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Because right now the biggest risk in international investing is not taking part. That's because in spite of all the risks there are tremendous upsides. Think about it ...
Your ability to generate life-changing wealth relies on you making wise investments overseas beginning today. And yet, in spite of all the potential, only a fraction of the investors reading this letter will take me up on this offer. And that's a shame.
Around the office we call it "fear of flying." They're afraid to go offshore the same way most people were afraid to invest in a computing company started by a college dropout.
And that's okay. Those people will most likely get into international investing in 5 or 10 years when it seems safer. They'll be happy buying up shares at 10 or 20 times what they cost today and making far less on their investments.
But that's not the kind of investor I think you are. I think you have the intelligence and insight to see the amazing "second chance" opportunities that abound overseas. I think you're a Global Gains investor.
So start your FREE trial to Motley Fool Global Gains today.
Or show how really savvy you are and become a member so you can tap into a full year of Global Gains insight for less than $25 a month — and get 2 FREE Reports. It's an incredibly fair deal when you consider the top-quality, high-level research that goes into creating a service like Global Gains.
Frankly, it's not for every investor. We want a community full of intelligent, forward-looking investors who will ride out the risks of the international markets because they can see the potential rewards.
I think you're that type of investor which is why I'm willing to sweeten the deal and offer you two valuable special reports — absolutely FREE when you become a Global Gains member today!
Plus when you become a Global Gains member today (at absolutely no risk!) you'll also get The Roth Rundown: The Insider's Guide to the Best Opportunities in China Today.
This incredible report details 9 investment opportunities awaiting you in China.
Yes, China has its problems. There's internal strife, overbuilding, environmental issues, inflation and its stock market was down in November 2008 by almost 70%. In fact, things in China are "so bad its gross domestic product growth rate may drop from double digits to as low as 5% or 6%!."
Wait did you get that — drop to 6%?? That's nearly three times higher than current US figures — and most likely far higher than the US will ever see again.
But China is full of bargains and values because the market is pricing China as if it will never grow again, and that is simply insane!
There has never been a better time to buy China. There's no place on Earth that is a surer thing to become a mercantile success. That's why you should seriously consider becoming a Global Gains member today and get your hands on your FREE REPORT — The Roth Rundown.
You'll see 2 stocks we've earmarked as favorites and 7 that meet our criteria for whiteboard, wait-and-see picks. Discover ...
The supplement company that's beating its competition on price and still maintaining gross margins of 70%! Revenue has grown at an average rate of 42% over the past five years, yet despite strong growth the stock trades at less than 9 times earnings!
The online education stock we're watching closely right now. If this company has strong quarters in the near future you can bet this will be a Global Gains buy!
Plus you'll find the health company that looks so promising and has such huge growth potential we're planning a visit on our next trip to China.
Don't invest a dime in China until you've read this report. Become a Motley Fool Global Gains member today and get both The Roth Rundown and Motley Fool Rebound Report — FREE!
Executive Publisher, Motley Fool Global Gains
PS Act now! Even as you read this, others are investing and the prices on today's best bargains in Asia and Latin America could be going up. Don't miss out on the most profitable investment opportunities the world has to offer.
Yes, I want to try Global Gains FREE for 30 days. No risk. Guaranteed. I'll get:
Of course, whatever I decide at the end of my free trial period, all the valuable free reports I've read about today are mine to keep.
Send my FREE reports — Motley Fool Rebound Report and The Roth Rundown: The Insider’s Guide to the Best Opportunities in China Today and start my full membership to Global Gains for less than $25 a month (a total of $299). I’ll get: