New Money Matters Update READ ! March 26, 2015

 

Marc’s Notes:

Warren buffet is at it again and this time bought another of our stocks on our Super Dividend Payers List.

Many moons ago he bought Heinz which we also had on our list and that stock soared on the news giving our Super Dividend Payers list holders a 30% or so increase overnight. Since then we sold it and pocketed the difference. About a year ago I mentioned on a newsletter and in a few shows that although Kraft was on our list, the added bonus being it was rumored he was looking at buying Kraft.

So now we find out the rumor was true and Super Dividend Payers List subscribers who held Kraft just made another 25 % overnight! Great news for us! Now Heinz, who was taken OFF the market once Buffet acquired it will be brought BACK as both companies Kraft-Heinz and Kraft will be part of this merger. Buffet again did the deal with 3 G Capital out of Brazil, a company known for brutal cost cutting which usually result in nice turnarounds and soaring stock prices. Those holding Kraft will get a cash payment and new stock so you don’t need to do anything. Nice job and another reason to follow my Super Dividend Payers List AND take my upcoming money class happening April 22.

There are many more takeover candidates right now on this list due to certain market conditions and I will talk about who they are at the class so get the list AT the class (for free by the way) and get cracking!  Sign up information below. I have REDUCED THE COST to the class due to a special deal I got on the room and rental package! Now the cost is only $99.00, paying in advance through instructions below.

Markets: Looks like the orange tint I mentioned is for sure glowing. Per previous emails, be careful adding new money to this market. Set some mental stops a certain percentage point under today’s price which now should be about 10% below today’s levels if you are overweight stocks. If you hold dividend payers for a long time, ok to hold for now but stay tuned to this newsletter. The Fed is in a tight spot as recent economic data confirms other data I mentioned in the past 2 or 3 months-ANEMIC.  Stay tuned to Money Matters to keep you informed as the economic conditions are far from auto pilot conditions for your portfolio. As mentioned I am being courted by a firm to manage a portfolio so stay tuned for that. If that comes to fruition, I will advise and those wishing for me to start managing money can join this new company.

All for now, stay tuned!

 

MONEY CLASS NOW SCHEDULED!

 

April 22nd, 10.30 am to 2:00 PM at our new digs at KVMR!  120 Bridge St. in Nevada City across for our old digs at 401 Spring St. See the new studios and attend class in our new community room. I will provide drinks and some snacks.

Cost: $99.00. Include your name, email and address with your check.

This is a MUST ATTEND class for everyone, regardless of net worth.

We will cover, money- what it is and how does it work? Investing in stocks or elsewhere?
Tips on great rates for savers and low income. Real Estate, Dividend payers, annuities, bonds, offshore stuff, gold and silver, inheritance, fixed income, aging parents, investing for kids and more! Question and answer period at the end if time allows.

You will also get my Super Dividend Payer List!

How to enroll:
Send check to:
PMB 101 578 Sutton Way   Grass Valley, Ca 95945 (make check payable to E. CUNIBERTI) $99.00 reduced !

 

Subscribe for a 2 year membership to the site and I will THROW IN THE CLASS FOR ONLY FREE! Just go to moneymanagementradio.com. WHAT A DEAL! Cost for the 2 year membership is $199.00 and I throw in your 3rd year free AND the class.

You can also pay at the door of course ($99.00).

Don’t delay and get your discount. Choose your method of payment!

 

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Are we going to a cashless society? By the recent action in France one could argue that.

The French government will now limit cash transactions to $1000 Euros, that’s down from their previous limit of 3000 euros. Why would a government do this?

They claim to limit drug laundering money and terrorist financing but do we really believe that?

The path is clear. Government wants to know where you get your money and where you spend it, as cash transactions are limited under the guise of get the bad guy but the real victim is you and I.

By limiting and then possibly eliminating cash from society, there will be no place you can keep your financial affairs your own.  Government will know every candy bar you buy, what flavor you like and where you buy it. Take it a step farther and they could gather information on your habits, your likes, your preferences and your haunts.

They could take your money under any guise at any time. Your money would only be your own with their permission. Anger the wrong person or institution and they could essentially freeze your funds and thereby freeze your ability to obtain even the most basic of necessities.

The implications are frightening yet few realize it.  After all, liberties are taken one piece at a time, bit by bit so you won’t complain, and then when they are all taken, you won’t be able to complain.

The ramifications of such complaints could be dire because without the ability to procure the things you need you are powerless.

With electronic everything and everything tied together thru electronics, the governments of the world are slowly putting in place the systems to monitor everything, An Orwellian society where everything you do, everything you say, everywhere you go and everything you might buy is now under the watchful eye of central government. That they don’t abuse that power is assumed, but should the wrong element, person or group come into power that does not believe in liberties and freedom, the systems will already be in place of total control of the society and the people in it. A frightening thought to be sure.

The price of gold and silver finally got out of their own way last week when Fed Chief Janet Yellen assured investors an increase in interest rates was not forthcoming at their next meeting in April. Precious metals rallied as soon as Federal Reserve minutes hit the news wires.

Gold and silver prices had been plummeting as investors lost interest in the metals as stock markets roared upwards. Had the Feds indicated a rise in rates was planned in the near future, the metals might have continued downward, as higher interest rates makes holding a non-yielding asset such as gold much more expensive.

A rise in rates was not in cards however, which meant the Feds easy money policies and ultra-low interest rates would continue which drove investors back into the metals which are thought to be protection against such monetary policies.

Low interest rates in the long run usually cause a currency to fall in value and that means inflation and precious metals can be a good hedge against such inflation.

In the days following the Feds announcement, gold and silver held their ground and now the question is will the metals continue their ascent or resume the downtrend they had been in leading up to last week.

This analyst is a fan of holding at least a small portion of ones money in precious metals and the companies’ stocks that mine them as part of a diversified portfolio.

Both physical metal and mining stocks can be combined to take advantage of a possible rise in precious metals.  Physical metal (held in a safe deposit box) is the most drastic form of insurance and is usually tucked away and held for long periods. Gold stocks are more of a speculation and usually will amplify price movements, both up and down.

There are individual stocks you can consider and also funds which hold a basket of stocks. Funds usually don’t move as much as an individual stocks will and may be a more conservative way to participate in gold and silver. Some even pay dividends which makes holding them that much more attractive.

For a list of these stocks and funds, take my class next month and sign up for the website access now!

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Averaging in on stock purchases is a tactic that allows investors to profit from rising stocks but helps prevent losses during market routs or other unforeseen events. Averaging in simply means you buy stocks slowly over an extended period of time and not go “all in” on one particular day.

Suppose you want to own XYZ stock and plan to buy a certain dollar amount for your portfolio. Instead of buying it all at once, you buy a third now, wait a few months, buy another third and then wait some more and make the final buy farther down the road.

Now you have bought XYZ stock in three blocks over many months or even years if you’re a patient investor. You paid three different prices for the stock as you bought at three different times.

How does averaging in help an investor?

After you bought the first block if the stock went up your happy because you made money but if the stock went down you are also happy you didn’t go all in.

Averaging in can assure the investor his attitude is a positive one regardless of which way the stock went after each buy. If the stock continues up you make even more money. But if the stock falls after a buy in, your next buy allows you to buy even more of the stock because its price is lower.

Averaging in also helps prevent against a black swan event which is an unforeseen event that can happen at any time which may or may not be related to the stock or overall market at all. Think a 9/11 type event, where, had you bought all in the day before, the sudden shock to the markets would had caused your investment to immediately lose money as the world recoiled from such an event.

Averaging in can help prevent sudden and stomach churning losses by such unforeseen events and make buying a stock and the price you pay more of a smooth transition into an investment.

Next time you want to decide to buy a stock, try buying it over an extended period of time in several separate buys and you might find it’s a heck of lot less of an anxiety producing event and a lot less trying on your psyche.

 

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As if the world isnt crazy? Read this article below and realize the Greeks will never be able to pay. The ECB is going to give Greece ANOTHER loan. This farce continue!

 

BLOOMBERG: The European Central Bank made more than 1 billion euros ($1.1 billion) of extra funding available to Greek lenders as euro-area finance officials told the Athens government it’s time to prove it can be trusted.

The Governing Council handed Greece the biggest increase in emergency funding in a month, raising the limit to just over 71 billion euros in its weekly telephone conference on Wednesday, according to two people familiar with the decision who asked not to be named because the call was private. An ECB spokesman declined to comment.

The Frankfurt-based institution’s move is its latest to defer a financial meltdown in Greece as euro-area governments hold back bailout money, complaining Prime Minister Alexis Tsipras hasn’t convinced them his economic plan can meet their requirements. Greece has until Monday to offer sufficient detail on the program, after finance ministry deputies reviewed the situation on a Wednesday conference call.

 

“It would be tragic if Greece gives up the reform process now and its achievements are thrown away,” ECB Governing Council member Jens Weidmann, the Bundesbank chief, said in Munich on Wednesday.

That comment was echoed by Governing Council member Yannis Stournaras, the head of the Greek central bank, who spoke later the same day in London.

‘Historical Opportunity’

“Grexit would deliver no benefit but a lot of pain,” he said. “The new Greek government has a unique opportunity to implement bold structural reforms, which would be backed by a large majority of political forces in the country. This is in my view an historical opportunity which should not be missed.”

Greece has to begin making 1.5 billion euros of monthly pension and salary payments on Thursday and the government is already yanking cash from public companies to cover its obligations. European officials say Tsipras could run out of funds within weeks.

Stournaras acknowledged that the crisis has unsettled the banking system, saying that there has been “some outflow of deposits due to uncertainty.” He said the ECB’s Emergency Liquidity Assistance has stabilized the situation.

While ECB policy makers are ensuring lenders have sufficient liquidity to operate, the central bank’s supervisory arm is also making it difficult for banks to channel that funding to the government, banning them from increasing their holdings of short-term public debt.

‘Getting Things Done’

Greece needs to act faster so its actions can be more effective, Jeroen Dijsselbloem, who heads the euro-area finance ministers’ group, said in Rotterdam on Wednesday.

“The main problem is the same in every country in Europe: getting things done,” he said.

Unless Greece delivers adequate proposals on Monday, the process of approving aid payments will be further delayed by the Easter holiday that begins on April 2 in some parts of the currency bloc. Once Greece submits its next documents they’ll need to be reviewed by the country’s official creditors and then the finance deputies before ministers will consider releasing funds, one of the officials said.

Tsipras needs to meet Monday’s deadline to start rebuilding the confidence of his partners, according to two European officials. After a month of delays and debates, euro-area governments have zero trust in Greece’s ability to deliver effective policy, one of them said.

No Expectations

On the finance officials’ call, participants left the door open for Greece to tap 1.2 billion euros that has been allocated to aid the banking system, if the cash-strapped nation can show how it will move ahead with the changes that its creditors are seeking.

Earlier this week, Greece sought to gain access to that money by saying it had already met the terms for its disbursement. As a condition of last month’s rescue extension, Greece had to return 10.9 billion euros in bonds to the European Financial Stability Facility that had been sitting in its bank-rescue fund. Athens said some of that money had already been spent helping banks.

Finance deputies said Greece shouldn’t expect to get hold of the money unless it meets its aid conditions and follows all necessary procedures, including parliamentary approval in some countries.

Greece has “no reason to have recourse to this money,” German Finance Ministry spokesman Martin Jaeger told reporters in Berlin.

(end) 

 

I repeat: GREECE WILL NEVER PAY- THIS WHOLE THING IS A JOKE

 

Money Matters next show is April 16th, 2015 NOON PST. There is no show the first week of April.

All for now,

Marc