We just wanted to give you a heads up about the very special – and very timely – presentation we’ve been working on. We’re pleased to say it’s ready and you’ll hear more about it in the days to come.
Right now we believe the market is packed full of astounding little companies, with great businesses, that are just waiting to be snapped up by risk hungry speculators. In fact, we haven’t seen this many great stocks trading for such cheap prices since the lows of 2009.
In the presentation we’ve prepared we’ll explain why, and we’ll also reveal five rising star firms that we believe could absolutely trounce the small cap index over the coming 6 to 24 months.
Of course, these aren’t just any old companies in any old sectors. These ideas represent the cornerstone of where we see great small cap value in 2012.
This year in Australian Small-Cap Investigator we are focusing on three sectors:
But as we’ve said, it won’t be any old stocks.
It has to be an energy company that’s doing something new…or exploring or producing in an unconventional place… or in an unconventional way.
We’re talking innovative energy stocks. Because it’s important to remember that innovation isn’t just about computers and the Internet. Innovation can involve using new methods to explore for a resource (such as shale gas or coal-seam gas).
That said, we’ve got our eye on the technology sector too. Because when markets and economies go through a real recovery, technology stocks are typically the stocks that lead the way.
Plus we’ll look further into the specialty metals sector.
This includes companies exploring for and producing metals such as rare earths, tungsten and antimony. If you’ve never heard of those, you’re not alone.
They’re obscure and rare metals. But they are vital to the global economy.
You can’t make flat panel TV screens, missile guidance systems, wind turbines or electric cars without rare earths.
Then there’s tungsten. In the form of tungsten carbide it’s used to strengthen drill bits and saw blades. And in the armaments industry it’s used to toughen bullets. Again it’s a vital metal.
And antimony is used in the production of flame retardants, with small amounts used in the semiconductor industry to make silicon wafers.
The volatile market has punished a whole bunch of stocks. And believe me, hundreds on the Australian Securities Exchange (ASX) have been hit hard…
The bottom line is this: We tip stocks when we believe they represent good value. And if need be, we sell stocks when they appear over-valued.
Because in this market it’s important to not only know when to buy stocks, but when to sell stocks too…
In short, central bank intervention and government bailouts have had the opposite effect to what was intended. Intervention was supposed to calm the markets and create less volatility.
But it hasn’t. Over the past three years markets have been just about as volatile and uncertain as they’ve ever been.
And that’s what has created the opportunity for you today.
We’ll have more on this during the course of the week.
Kris Sayce
Editor, Australian Small Cap Investigator
From the Archives…
Disruptive Technology Stocks For Smart Small-Cap Investors
2012-04-06 – Kris Sayce
ASX 200: This Market is Toast
2012-04-05 – Murray Dawes
Why Every Bank Will Soon Be a Tax Collector for Every Government Everywhere
2012-04-04 – Merryn Somerset Webb
Not Even Saudi Arabia Can Save Us From High Oil Prices
2012-04-03 – Jason Simpkins
Good News For Oil and Resource Investors
2012-04-02 – Dr. Alex Cowie