This event starts in...
The No. 2 Thing I Look for in the “Secret Portfolio”
By Paul Mampilly
There are three things I looked for when I selected my “secret portfolio” stocks.
I told you about the first one yesterday. In short, to earn a spot in my secret portfolio, the opportunity has to be big.
I’m not look for basic updates to existing technology. I want game changers.
I don’t want companies that are trying to make things 10% better. I want companies with bold, ambitious goals to make their corner of the world 1,000% times better.
When I invest my own money … I like to really go for it. That’s why I looked for opportunities that break through the ceiling of human imagination. I want companies that want to revolutionize the world.
Today, I want to tell you about the second thing I look for.
I look for opportunities in areas of the market that very few people understand.
This is a natural segue from the first point. When something is big and revolutionary, it challenges the status quo. It’s disruptive. The average person doesn’t like that.
Most people don’t understand why things can’t just stay the same. They like being comfortable. But we need innovation to grow.
Unfortunately, there are not that many innovative thinkers.
And a lot of large companies … once they’ve reached a certain level of power, they stop innovating. They stop thinking outside of the box.
I consider Apple to be the worst offender of this. Every year they release small, incremental changes to their product line, wasting money on never-ending stock buybacks when they should be focusing on research and development. It’s no wonder why you see their stock coming under pressure today.
I’m sure you’ve seen this in organizations you’ve been a part of. Once people taste power, they hold onto it … and that’s a major impediment to growth.
Fortunately, when you get outside the “normal” areas of the stock market, there’s a ton of innovative companies out there.
To be clear, I’m not even talking about the Internet of Things (IoT) , or artificial intelligence (AI), or 5G. Yes, those are major innovations with massive upside. But everyone knows about them. Most people understand what they are and why they’re important.
But as a speculator, I’m always looking for the next thing.
I want to be first in line for the NEXT IoT, the NEXT AI, the NEXT 5G.
The things everyone will be talking about in five years … that virtually no one is talking about now.
That’s why when I find BIG, disruptive opportunities that few people can see the significance of, I take notice. And if people are actively writing it off, then I REALLY pay attention.
Look throughout history … every game changer was met with resistance.
Ten years before the car swept New York, people thought the way of the horse and buggy would never die. Within a decade, they were everywhere. Early Ford investors made a fortune.
When the computer first arrived on the scene, they were mammoth behemoths … so most “analysts” thought they’d never be a household product.
Imagine being one of the first to see the future and invest in Microsoft.
Space travel … the cell phone … the cotton gin … I’m sure our ancestors were even afraid of fire when they first discovered it!
Imagine being the people who were first in line to invest in these inventions.
Imagine having the foresight to see the potential these disruptors had … and get in before anyone else.
That is what I’m aiming to do with the secret portfolio.
I’m looking for bold, big opportunities in little-known areas of the market that few people understand.
Two of the stocks I’ve selected are in an area of the market that is revolutionizing the way we do banking.
One of them is a company that actually soared 26,000% during this technology’s “hype phase” a few years ago. It has settled back since then, giving you a fantastic opportunity to get in at an incredible price. The second is a company that has seen revenues increase by 66% in the past year while most of its competitors are floundering. That means it’s gobbling up more of the market share, positioning itself as one of the dominant forces in this new industry.
These are just 2 of the 10 stocks I’ll tell you about.
Full details air Tuesday night at 8 p.m. EDT during my “Secret Portfolio” Summit.