When this happens, I know I'm going to make a lot of money...
It doesn't happen often. But it's something I've found to work, over and over again, throughout my investment career.
In short, I know I'm going to make a lot of money when two forces align...
I've seen this play out a handful of times in my investment career. And fortunately, it's happening again right now.
Before I explain where this is unfolding, let me quickly show you how powerful this idea is... and how I capitalized on it last time around...
The last time this rare scenario played out for me was in 2009-2011, with Florida real estate...
Back then, I wrote essay after essay explaining why it would likely be the greatest real estate buying opportunity of your lifetime. I kept pushing the idea for years in DailyWealth.
Nobody was taking advantage of it. Yet this idea was exactly right. I took advantage of it in every way possible...
- I was buying properties in Florida on the courthouse steps for literally pennies on the dollar. (Not "junk," either... I live on the ocean, and I bought a house one block away from mine.)
- I was buying safe Florida "tax certificates" paying 18% interest. (This is a way to make money in exchange for paying someone else's unpaid property taxes.)
- I bought a bank-owned, 200-acre property in 2011... for 94% less than it was under contract for in 2009. (I recently sold it for a few times my purchase price.)
I couldn't believe it... I had no competition at all in any of these deals.
I would show up on the courthouse steps and be the only "real" bidder for properties at tax-deed sales. There were typically about 30 other people standing around, but they usually bowed out once the bidding got above $10,000.
I lucked into a beach condo... that house a block from the beach... and (among other things) three waterfront lots that are now under contract to sell for three times more than what I paid.
I couldn't believe the kind of properties I was able to buy at dirt-cheap prices. I firmly believe that 2011 will go down as the best buying opportunity of my lifetime in Florida real estate.
Those days are gone now. But what can we learn from that opportunity? What worked back then to more than triple my money?
Two elements came together to make these big gains possible:
- A once-in-a-lifetime opportunity.
- No other buyers! No competition!
When I see these two things come together, I've learned that I'm about to make a lot of money.
I tell you this today, because we are sitting on one of these incredible moments – right now.
This opportunity is in China... Specifically, in China's local A-share market.
Now, as I explained in yesterday's DailyWealth, China's market has been moving lower recently. And my plan is to only stay invested during the uptrends.
There will be plenty of volatility along the way, but the setup is EXACTLY what we want to see...
- A once-in-a-lifetime opportunity – I believe it is the biggest opportunity of my career, and...
- Nobody has bought – yet. We have no competition.
This one is BIG. And I can't implore you enough to take advantage of it when the uptrend resumes.
I've been covering Chinese investments for years now. But I truly believe the biggest gains still lie ahead of us. And ultimately, the gains in Chinese A-shares could be the biggest of my career.
Follow the trend... but don't give up on Chinese stocks yet. They fit a rare mold that I know will make us a lot of money in the future.
Good investing,
Steve
Further Reading
Yesterday, Steve showed how his readers booked 82% gains in just 10 months on Chinese stocks back in 2015 – with "zero risk" – and shared his plan going forward. Get the full story here: How I Plan to Profit in China for Years to Come.
Steve also sees an incredible opportunity setting up in another area of the market today: commodities. He believes it's the next big bull market in America, with hundreds-of-percent upside. Catch up on his research with this recent three-part series here, here, and here.
I know it doesn't look like it right now... but the long-term picture is plenty bright for Chinese stocks.
However, over the short run, Chinese stocks are down. So you might wonder how we deal with this situation...
SELLING 'ADDICTIVE' PRODUCTS IN A $100 BILLION MARKET
Today, we revisit one of our favorite investment strategies at work...
As DailyWealth readers know, we often highlight the power of selling physically addictive products like sugar and caffeine. But psychologically addictive products can be just as lucrative. From Apple's iPhones to Nike's Air Jordans, the hype can reach its own level of cultural obsession. And this is especially true in the $100 billion global market for video games...
Activision Blizzard (ATVI) is behind popular video-game series like Call of Duty, Overwatch, and World of Warcraft. Each has millions of active players. In 2015, the company also bought Candy Crush... a mobile game that's more than five years old and still brings in more than $1 million per day. With that kind of customer loyalty, it's no wonder Activision Blizzard recently hit a record $2 billion in first-quarter revenue.
As you can see below, the company's shares have been trending higher. Over the past three years, the stock has climbed roughly 215%, recently hitting a new 52-week high. Just like with coffee and junk food, consumers will keep shelling out cash for the games they love...
