8 posts tagged “etf”

While I am a firm believer in sustainable, organic farming at the local level, Globalists have a totally different perspective. They believe in corporate farming using pesticides, herbicides, hormones, and genetically modified seeds.

At the G8 summit (summer 2009), Globalists highlighted the underinvestment in agriculture in emerging countries. Recent estimates from the Food and Agriculture Organization, which is a division of the U.N., estimated that nearly 1 billion people would go hungry in 2009.

So here are my suggestions on how to profit from the need to grow more food globally. Invest in JJA ($44.66) – an index composed of seven futures contracts, soybeans, corn, wheat, cotton, soybean oil, coffee and sugar. Another good one is MOO ($42.54) – it invests in big agriculture names such as ADM, Monsanto, as well as fertilizer companies.

I talked about water being the new blue gold. It is more precious that oil, yet grossly under priced. Since I made the call on June 11th, CGW has soared from $15.95 to $17.53 - a 9.9% gain. Plus you get a nice dividend at the end of the year - 7.36%.

You can learn all my stock secrets by ordering "Computerized Tools For Profitable Investing" Just click my donate button in the sidebar.

The picks I shared with you on this blog included the following tickers - DGP | GAZ | TBT | DXDDX.

Here were my original posts so you know I'm not just faking things and you can get some further analysis:
how-to-play-the-demise-of-the-us-dollar | where-should-i-put-my-money | where-should-i-put-my-money-part-2

Based on the date of those original posts and Monday's closing price, here is what they did:
DGP went from 19.75 to 23.35
GAZ went from 16.11 to 15.92
TBT went from 46.30 to 46.20
DXDDX went from 20.98 to 23.60

A 5.75% gain if you owned all of them.

Stay away from GAZ because of the crackdown on commodity based exchange traded funds and notes. Replace it with a natural gas company like CLNE or CHK (both of which I own).

Start averaging into TBT. I'll explain why you should short the Treasury market in a future blog post. 

Back in April of this year I wrote about natural gas and the Pickens'' Plan. The fundamentals are looking even better now.

Natural gas rig numbers have fallen the most in modern history over a rolling 12 month period (a fall of approximately 56%) and there appears to be no let up in the numbers falling over the last few months. In addition, it is a relatively simple task to shut a rig down but it is a much more difficult task to get it back on stream.

Nat gas rig count

So once demand picks up, look for a price spike! My favorite way to play this is the exchange trade note GAZ

Nat_gas_consumption_by_end_user

Had you made the move into GAZ  ($16.21) on April 29th and sold today ($18.59), you still made money.

It's easy for an egomaniac like Jim Cramer to move stocks, but he austricizes others for spotting arbitrage opportunities. Instead, he should have been telling you to buy, buy, buy natural gas ETFs like other smart investors were.

Oil_barrels

Goldman Sachs Group Inc. raised its forecast for U.S. benchmark oil by 31 percent to $85 a barrel for the end of 2009 and predicted further gains next year as demand recovers and supplies shrink.

The bank set a 12-month price target of $90 a barrel for West Texas Intermediate crude, up from $70, and introduced a forecast of $95 for the end of 2010.

Did you know that India auto ownership is currently 7 per 1000 people and China's is 1 per 130 people?

Without a fund manager and without 12b-1 fees, Exchange Traded Funds tend to have lower fees than mutual funds. Learn how to utilize exchange traded funds in this volatile market.

Here is some data from 2007: