Yet Another Great Opportunity That Nobody Is Talking About | By Dr. Steve Sjuggerud | Friday, January 27, 2017 |
| Yet another stealth bull market is underway right now… And it's one you don't want to miss…
This bull market is strong. It isn't leaving any sector out…
I'm talking about a major uptrend in Chinese blue-chip stocks.
When most investors hear the word "China" they get worried. And when you add in Trump's recent rhetoric, investor fears grow even more. That's fine with me!
That worry creates opportunity for us today…
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To understand how broad this bull market is, you need to hear about what's happening right now in my True Wealth China Opportunities letter…
I started True Wealth China Opportunities in September to take advantage of the bull market I believed was coming. I predicted that hundreds of billions of dollars would flow into Chinese stocks in the next five to seven years. And my team and I put together a diversified portfolio of recommendations to get our subscribers there first.
Since last month's issue went out, EVERY SINGLE recommendation went up. That's 20 different recommendations – from high-growth tech stocks to boring bank stocks.
What should you buy in China? We've bought a little of everything…
If you want to take advantage of this stealth bull market in the safest possible way, then you want to buy China's major blue-chip companies (particularly the ones trading in Hong Kong, as they have more transparent accounting). These include China's major banks, insurance companies, telecoms, and oil companies.
These companies are often trading at single-digit price-to-earnings (P/E) ratios. And they pay massive dividends today. Some of these Chinese companies are among the top 20 largest businesses in the world… Yet they're incredibly cheap today.
In addition to the safe blue chips, I also like the high-growth tech stocks…
For example, this month tech giant Alibaba soared the most out of our China recommendations. Its share price increased 16.6% since our last issue. Alibaba reported outstanding results this week, as it grew revenue by 54% year over year. (Think about that… A $250 billion company grew revenue by 54%!)
Another example is Tencent… It's similar in size to Alibaba… and it had similar revenue growth – 52% year over year. I predict Tencent will become the world's largest company in the next five years. There's plenty of upside ahead.
Unlike the U.S. stock market, the major Chinese stocks (trading in Hong Kong) haven't performed that well as a group… They're still down roughly 30% from their 2015 peak – even after a solid start to 2017.
With poor performance for two years, and with Donald Trump's rhetoric, most investors have given up on China.
This gives us an ideal moment to get in… China is hated, and a stealth bull market just appeared over the last month.
Now is the time to take advantage of it.
I believe Chinese stocks offer our best chance for hundreds-of-percent gains over the next five years.
A basket of these blue-chip companies is the safest way to capitalize on the upside in China.
Check out Chinese blue-chip stocks. Better yet, put some money to work in them – today.
Good investing,
Steve
Editor's note: The recent uptrend in China is signaling the perfect chance to get into a market with a history of rallying triple digits... at some of the lowest prices in years. Don't miss out on these potential gains. Click here to learn more (this link does not lead to a long promotional video). |
Further Reading:
Steve has written about the opportunity in China several times in the past year... And the story is picking up steam. Catch up on his bullish argument here... |
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MORE NEW HIGHS FOR THE BANKS
Today's chart highlights another big winner in the financial sector... Regular DailyWealth readers know we monitor America's big banks like JPMorgan (JPM), Wells Fargo (WFC), and Citigroup (C). These firms are America's "financial backbone." They rise and fall with America's ability to make money, save money, service debts, and generally "just get along." The only "big player" missing from that list is Bank of America (BAC)... Bank of America is the second-largest bank in the U.S. with more than $2 trillion in assets. The company serves more than 47 million customers with 4,700 locations and 16,000 ATMs. It is also a leader in the wealth-management and global market research businesses. Since the election, the financial sector has soared... As investors prepare for additional interest-rate hikes from the new administration, rates on U.S. government bonds have risen. Higher interest rates mean bigger profits for firms like Bank of America... As you can see in the chart below, BAC shares have thrived in recent months, recently hitting new multi-year highs. They're up nearly 110% from their February 2016 lows. The financial sector is on fire... So keep these stocks on your watch list. |
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How to buy Tencent at a 15% discount... Tech giant Tencent will be a big winner as Chinese stocks move higher. And today, we have a way to buy Tencent at a 15% discount... |
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Advertisement Gold... interest rates... and Donald Trump are three of the hottest topics in finance right now. To hear what the man who called the 2016 gold rally is expecting this year, click here. |
The Most Important Question You Need to Ask Yourself Today | By Ben Morris | Thursday, January 26, 2017 | | I want to ask you an important question... It will help you avoid making useless trading mistakes... and throwing away hundreds, thousands, or tens of thousands of dollars. |
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| This Extreme Warning Sign for Oil Prices Is Flashing Again | By Dr. Steve Sjuggerud | Monday, January 23, 2017 | | One indicator we track predicted the crash in oil prices. And now, for the first time since 2014, this warning sign is flashing again... |
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