Build Your America 2.0 Portfolio in 3 Easy Steps
One hobby of mine gave me an edge in the investing world.
In my spare time, I keep a flower garden.
To grow a healthy flower garden there are three important rules that I follow:
- Prepare the soil by tilling and weeding the ground.
- Choose and sow the right seeds and plants.
- Maintain the soil and plants so they grow to their full potential.
The same three steps are vital for a successful America 2.0 investment portfolio.
To flourish in the stock market, preparation, choice and maintenance are paramount.
That’s why I’m going to tell you exactly how to get started in a special three-part Bold Profits Daily series. I invite you to take a journey with me for the next three weeks.
Starting today, I’m going to tell you how to position an investment portfolio so it can reach its full and most profitable potential … starting with step one: preparation.
So let’s dive right in.
Grow A Booming America 2.0 Portfolio
Step One: Preparation
The first step, preparation, is vital.
Even if you’re new to Bold Profits Daily or a long-time reader, you know the theme of America 2.0 and that the “Fourth Industrial Revolution” is our stock recommendation platform.
America 2.0 encompasses the future of technology.
Right now, a great technological paradigm shift is happening.
We are transitioning from the America 1.0 industrial world to an America 2.0 technological driven society.
These new America 2.0 technologies sprout from the seven major mega trends we follow:
So to prepare your portfolio, you first have to weed out America 1.0 stocks. This will make room for you to take full advantage of the stocks in these mega trends.
Just like my flower garden, if I don’t pull weeds regularly, soon those same weeds will overtake the garden and stunt its growth.
Weeds are plants too, but they’re plants growing in the wrong place.
So, the first step to constructing a viable America 2.0 investment portfolio is to weed out troubled America 1.0 companies.
Spot the Signs and Avoid America 1.0 Companies
America 1.0 publicly traded companies feature one or more the following financial characteristics:
- Declining sales over the past three to five years.
- Buying back stock and lifting dividends despite having a declining business as seen by declining sales.
- Borrowing money, and if sales are declining, is effectively borrowing to buy back stock and pay dividends.
- Buying a high-growth company, at an irrational evaluation, that has no real attempt to change its underlying business..
- Facing technological obsolescence.
- Losing market shares to new companies because their brands are falling out of favor or their product or service is considered out of touch with the times.
- Facing the prospect of having to move their plants and factories from other countries without the cash to do it.
You see, as America 2.0 unfolds, America 1.0 companies facing these financial challenges will soon fade away. America 2.0 will boom and bloom right over them.
The key to building a portfolio for future stock growth is to rid it of fading America 1.0 companies and sow it with America 2.0 companies within the seven mega trends.
Remember, to have a flourishing America 2.0 investment portfolio, preparation, choice and maintenance are paramount.
This three-part series on How to Build Your America 2.0 Portfolio will help guide your path.
I look forward to taking this investment journey together.
Be sure to tune in next Wednesday for “Part 2: Choice.” I’ll share some America 1.0 companies that are likely to cut their dividends. And specifically which ones you should blacklist now and clear out of your America 2.0 structure portfolio.
Until then, please feel free to follow me on Twitter for a daily dose of timely investment information, keeping up with America 2.0.
“Meet Safe-Haven Tesla.” Bloomberg Intelligence is reporting this morning that #Tesla is the only automotive manufacturer whose company bonds have not had a “downward rating action take place in 2020.”? $TSLA
— Amber Lancaster (@ALancasterGuru) April 20, 2020
Until next time,
Director of Investment Research, Banyan Hill Publishing
Editor’s Note: America 1.0 companies will not make it in our tech-driven world. And the new world companies will thrive. The stage is set for America 2.0. Is your portfolio ready? See the details here.
I’ve been investing for more than 25 years. I started my career on Wall Street in 1991 as an assistant portfolio manager at Bankers Trust. I quickly advanced to prominent positions at Deutsche Bank and ING, managing multimillion-dollar accounts. In 2006, the owners of a $6 billion firm named Kinetics Asset Management recruited me to manage their hedge fund.