New Year’s Eve is one of my favorite times of the year.
And not because I look forward to the lavish parties folks like to hold on that final night of the year.
In fact, I don’t party at all.
My wife and I have actually established a neat little ritual that lets us say adios to the outgoing year and to welcome in the new one by setting some goals for the one that’s coming in.
We dress up and go out for a late dinner – usually at one of the nice local eateries that we like and support. But before we do, the two of us always sit by the fire and have our most important “family talk” of the year.
Each year, you see, I write an “annual report” that details our achievements for that year. These can include accomplishments at work or in the civic projects we’re involved with, great investments we’ve made, and projects we’ve completed.
As my wife and I sit by the fire, we review that “report” – and celebrate our accomplishments. And then we establish goals for the New Year – creating an “action plan” whose success or failure we’ll review at our “chat” the following New Year’s Eve.
I’m sharing this story for a reason: My wife and I have been doing this for more than a decade now. That’s long enough to see that this “tradition” has had a positive impact on our lives.
And it points to a habit that I believe every investor should develop.
I’m talking about developing a personal investment plan.
It can help make you a winner … in fact, it can help make you rich.
From the light bulb to the semiconductor to advanced sensors, America’s Silicon Valley has churned out a steady stream of innovations that turned ordinary people into millionaires – sometimes virtually overnight.
So we identified seven powerful high-tech trends. And then we used my years of experience as a Silicon Valley insider to create five immutable rules we could use to identify double-your-money profit opportunities.
As we’ll show you in an upcoming report, our strategy has already generated some impressive gains. And there’s more to come.
The road to wealth, as we like to say, is paved by tech.
And today is the next phase of this journey.
I see still more growth in the New Year, particularly in the global tech sector.
With that in mind, I wanted to talk with you today about my three favorite profit plays for 2014 – recommendations that I believe will pack a punch for your portfolio.
So without additional introduction, let’s get down to business – because we don’t want you to be part of the ill-fated 57%.
I spend a lot of my time looking for “anomalies” in the tech market because they can lead to massive profit opportunities.
And there’s a big one I see right now.
It involves a new market that’s worth $970 million – even though it’s still in its infancy. Of course, there are a number of players in this market. But it’s the two top leaders I want to talk to you about today.
One has lousy fundamentals – with stunning cash losses that continue to mount. The other is cash-rich with a rapidly growing subscriber base.
Yet Wall Street adores the first one (the one with the lousy fundamentals) – and hates the second which is exactly the opposite of how you would think it should be.
Today, I’m going to tell you all about this exciting new market and why you should consider making a play in it right away.
The Fox Business Network’s Stuart Varney is one of my favorite financial-market commentators.
And not just because he keeps inviting me back as a guest on his popular Varney & Co. segment.
I like and respect the iconic Varney for his no-nonsense demeanor, his ability to quickly cut to the heart of a story, and because he welcomes strong opinions – as long as they’re backed by sound arguments.
So I was as surprised as anyone back on Dec. 5 when a stock-price prediction I made during an interview rendered the polished TV host momentarily speechless.
My prediction had to do with Apple Inc. (NasdaqGS: AAPL).
The end-of-year holiday season is a time for memories and reflection and I found myself engaging in a little of both the other day.
I was alone at the house, and was stringing up some Christmas lights and found myself drifting back in time … to middle school and high school.
In seventh grade, I got my first part-time job – changing light bulbs at an apartment complex. I also began designing and building custom light boxes using colored bulbs controlled with staggered timing switches.
In my freshman year in high school – for my electronics class – I put together a pretty sophisticated strobe light from a nice kit. That was my introduction to capacitors, diodes and wiring diagrams.
There was a reason for this mental road trip.
You see, the lights that I was stringing up around the perimeter of my house the other day happen to use a very specialized technology.
And this specialized technology is something that I knew you’d want to hear about because it represents a massive profit opportunity.
If you’ve been following our twice weekly conversations here at Strategic Tech Investor, you know that I’m very bullish about technology stocks.
But I want to let you in on a little secret …
I’m also bullish about the overall stock market.
In fact, I’m predicting that the Standard & Poor‘s 500 Index will advance 15% in 2014, rising from the current 1,795 to 2,065. That will not only take the closely watched index up through the psychologically important 2,000 level, it will take it to the highest level in history.
And that’s the broad market index.
I believe that the tech sector could do even better.
During an appearance on the Fox Business Channel‘s Varney & Co. on Thursday, host Stuart Varney asked me point blank if I was worried about what’s ahead for tech stocks.
You can certainly understand why he’d ask such a question. The health of the U.S. economy continues to be a real worry for many and the growing political mess we know as Washington can only make matters worse.
Against that troubling backdrop the tech-focused Nasdaq Composite Index is up 31% so far this year and 207% from its financial crisis lows of March 2009 – returns that handily trump the respective 22% and 142% gains of the record-setting Dow Jones Industrial Average.
Whispers of “another tech bubble” and “another dot-bomb implosion” have been getting louder, and the excellent and the always-probing Varney wanted to know if I was worried – or perhaps even bearish.
We know the drill: U.S. retailers count on the holiday shopping season for as much as 20% to 40% of their total sales for the year.
And we know that this year won’t be any different.
What we don’t know is how much American consumers are going to spend: Will this season go like gangbusters, or will it just be a bust?
The National Retail Federation (NRF) is expecting a gangbusters holiday season, having just forecasted a record $602 billion in sales, a healthy 3.9% jump from 2012.
But the respected Gallup polling group is expecting a bust, saying that U.S. consumers expect to spend an average $704 each, or about 10% less than during the Christmas season a year ago.
Investors often handicap the major retailers, trying to guess which one will get the biggest share of the holiday shopping bucks.
We’re not going to waste our time with that futile exercise.
You see, we know that the holiday season is also a big time of the year for gadget sales: American consumers are only too happy to drop small fortunes on computers, smartphones and the other consumer-electronic gadgets that are the tangible results of this country’s dominant high-tech sector.
We can predict who those winners will be, and can identify the stocks we believe will zoom as a result.
Today, I’m going out on a limb once again to predict that the tech sector will have a great Christmas overall. And I’ve identified four market leaders who should do well for investors this holiday season.