This Week in Barrons - 1-20-13

This Week in Barrons – 1-20-2013

Currency Wars
On Friday, CNBC had a short interview with Kyle Bass.  Kyle told David Faber of CNBC that Japan has basically lit the fuse and is going to implode within a couple years.  Naturally Faber tried to give him a couple jabs, but Kyle stood firm saying that all of the components for this economic-bomb to go off are in place:

-       Japan currently spends 25% of its revenue on interest payments, and with higher rates (via inflation) the entire situation becomes ridiculous – as every 1% rise in their interest rate costs them another 25% of revenue!

-       Currently 20% of Japan’s exports go to China, which could easily be cut in half due to political tensions.

-       Current movements in Japan’s currency (devaluation) will not give them any competitive advantage in the market place. 

Kyle Bass goes on to site massive problems in Japan starting within 2 years. These problems join the cesspool of problems in Europe, China and the U.S., and a current trend to “get what they can, before it all blows up".  In other words, Kyle shows how Japan is using yen to buy up Western assets.  Japan badly wants OUT of it’s own currency.  China is using Dollar denominated assets to buy up resources all over the world, because China badly wants OUT of any US Dollars.  The world seems to be in a constant devaluation mode, seeing who can reach the bottom first.

This week we found out that Germany wants to bring all of its gold back home. Just 7 months ago Germany was writing articles about how having a large portion of their gold abroad was good for them, because it let them deal in the currency markets so quickly.  Now, just months later they've decided that the only place for their gold is at "home".  What changed?  Could it be Japan's new insistence that they're going to have inflation versus deflation, and now the global currency war has finally hit full throttle.  You bet it has.   

I've been predicting a massive economic reset between all the major countries, but nobody knows when.  As Kyle Bass said: “When countries have been messing with their currency for 70 years, it's hard to pick the exact date when it all goes boom in the night.”  Factually you can easily see this coming.   

The Market....

This week has been five of the slowest trading days that I can remember.  I thought that since JPM and Goldman Sachs were both releasing earnings this week – if they were good – they’d pick up the pace and push us higher.  That didn’t happen, despite Goldman Sachs posting a "stellar" quarter.

Well, for months I suggested that the market was going to challenge the near term highs of DOW 13,600 and S&P 1,475.  Since the 19^th of November, the DOW has moved from 12,500 to 13,650, and the S&P has moved from 1,353 all the way to 1,486.  In other words, we made it!  My theory was that we'd run up to the resistances, fade back some, regroup, push on through, and challenge the ‘all time’ highs.  Well, we've made it to the resistances, now it's up to them to either power through, or back off.  I can make a case for either; therefore, we need to proceed with caution.  I personally think that we will fall back just a bit, and then push for the highs.  As we exceed the all time highs, then I think we flame out, and enter a long drawn out bear market.

Someone asked me how I come up with my daily picks?  Often, my answer revolves around matching individual stock price dislocations with market trends.  For example: a month ago two major gun makers: RGR and SWHC fell from $60 to $40, and $11.50 to under $8 respectively – when Vice President Biden was tasked with fixing our gun laws.  Combine the general tone of the market going up, with the power of the NRA gun lobby, with the new ‘fear related’ gun sales, and investing in either of these stocks would have earned you a quick 15%, and there’s still room to run.  The same scenario is playing out with Boeing (BA).  Often you can look at a sector and see a quick dislocation such as when Wynn (an extremely well run casino company) turned in a magnificent quarter, and other casino stocks such as Las Vegas Sands (LVS) could be a beneficiary of that ‘bounce’.  Therefore buying LVS around $52 – looking for a $10 push to the upside (it’s all time high) – isn’t that bad of a sector related play. 

Many have written in terms of silver and gold.   Just this week the United States Mint announced that it has temporarily sold out of 2013 American Eagle Silver Bullion coins.  As a result, sales are suspended until they can build up an inventory of those coins, which should be the week of January 28^th, 2013.  So demand is exceeding supply, which should cause a spike in silver. 

The silver announcement was quickly followed by one from the German Bundesbank, of their intention to repatriate a portion of their gold reserves held in foreign central bank vaults.  Many view this as the beginning of the next phase of not only the gold bull market, but also the global currency war that began last year when the Swiss pegged the Franc to the Euro, and China dumped more than $100 billion in U.S. Treasuries on the market.  Do not believe for a second that the Bundesbank is doing this for political purposes.  Germany is furious with the US for artificially keeping the price of gold down, and for trying the patience of our allies in the same way that happened back in the 1960's when Charles De Gaulle began redeeming France's trade dollars for gold because the U.S. didn't maintain the dollar to gold ratio.  Both of these elements are ‘outward, fundamental signs’ of a rising price for gold as well as silver.

Tips:

My current short-term holds are:

-       HD – in at 61.53 (currently 65.40) – stop at 63.60

-       MS in at 18.50 (currently 22.48) – stop at 21.00

-       SPY in at 141.97 (currently 148.35) – stop at 146.00

-       SIL – in at 24.51 (currently 21.97) – no stop yet

-       GLD (ETF for Gold) – in at 158.28, (currently 163.00) – no stop ($1,686.60 per physical ounce), AND

-       SLV (ETF for Silver) – in at 28.3 (currently 30.79) – no stop ($31.90 per physical ounce).

To follow me on Twitter and get my daily thoughts and trades – my handle is: taylorpamm. 

Please be safe out there! 

Disclaimer:

Expressed thoughts proffered within the BARRONS REPORT, a Private and free weekly economic newsletter, are those of noted entrepreneur, professor and author, RF Culbertson, contributing sources and those he interviews.  You can learn more and get your free subscription by visiting: <http://rfcfinancialnews.blogspot.com> .

Please write to <rfc@getabby.com> to inform me of any reproductions, including when and where copy will be reproduced. You may use in complete form or, if quoting in brief, reference .

If you'd like to view RF's actual stock trades - and see more of my thoughts - please feel free to sign up as a Twitter follower -  "taylorpamm" is my handle.

If you'd like to see RF in action - teaching people about investing - please feel free to view the TED talk that he gave on Fearless Investing: http://www.youtube.com/watch?v=K2Z9I_6ciH0

To unsubscribe please refer to the bottom of the email.

Views expressed are provided for information purposes only and should not be construed in any way as an offer, an endorsement, or inducement to invest and is not in any way a testimony of, or associated with Mr. Culbertson's other firms or associations.  Mr. Culbertson and related parties are not registered and licensed brokers.  This message may contain information that is confidential or privileged and is intended only for the individual or entity named above and does not constitute an offer for or advice about any alternative investment product. Such advice can only be made when accompanied by a prospectus or similar offering document.  Past performance is not indicative of future performance. Please make sure to review important disclosures at the end of each article.

Note: Joining BARRONS REPORT is not an offering for any investment. It represents only the opinions of RF Culbertson and Associates.

PAST RESULTS ARE NOT INDICATIVE OF FUTURE RESULTS. THERE IS RISK OF LOSS AS WELL AS THE OPPORTUNITY FOR GAIN WHEN INVESTING IN MANAGED FUNDS. WHEN CONSIDERING ALTERNATIVE INVESTMENTS (INCLUDING HEDGE FUNDS) AN INVESTOR SHOULD CONSIDER VARIOUS RISKS INCLUDING THE FACT THAT SOME PRODUCTS AND OTHER SPECULATIVE INVESTMENT PRACTICES MAY INCREASE RISK OF INVESTMENT LOSS; MAY NOT BE SUBJECT TO THE SAME REGULATORY REQUIREMENTS AS MUTUAL FUNDS, OFTEN CHARGE HIGH FEES, AND IN MANY CASES THE UNDERLYING INVESTMENTS ARE NOT TRANSPARENT AND ARE KNOWN ONLY TO THE INVESTMENT MANAGER.

Alternative investment performance can be volatile. An investor could lose all or a substantial amount of his or her investment. Often, alternative investment fund and account managers have total trading authority over their funds or accounts; the use of a single advisor applying generally similar trading programs could mean lack of diversification and, consequently, higher risk. There is often no secondary market for an investor's interest in alternative investments, and none is expected to develop.

All material presented herein is believed to be reliable but we cannot attest to its accuracy. Opinions expressed in these reports may change without prior notice. Culbertson and/or the staff may or may not have investments in any funds cited above.

Remember the Blog: <http://rfcfinancialnews.blogspot.com/>
Until next week – be safe.

R.F. Culbertson

<mailto:rfc@getabby.com>

<http://rfcfinancialnews.blogspot.com>

This Week in Barrons - 1-13-13

This Week in Barrons – 1-13-2013

Gun Wars

The President has selected Joe Biden to form a task force charged with doing something substantial about gun violence in this country.  That has spawned vocal discourse from everyone including: Piers Morgan calling us lunatics for not outlawing guns, to a recent Marine writing to Maxine Waters: "I will not be disarmed".  I am afraid that this could really blossom into something ugly.  The lines are being drawn in the sand.  I personally know of folks that haven't so much as broken a speed limit, yet they will lie under oath if someone asks if they have firearms in the home.  That is how dramatic this situation has become.

In terms of Constitutional rights, in many scholarly opinions – the 2^nd Amendment of the Constitution has nothing to do with hunting rifles, or being able to defend your home.  It is written to allow a populace to defend themselves against a Government run amok.  The scholars then connect the dots and say this gives the American people the right to be armed as well as your Government’s troops.  The argument then goes: “Let’s not get carried away, how about just allowing the American people to be armed as well as the drug cartels.”  And the end result of both of these arguments is that automatic, assault rifles like the AR-15 and 30 round magazine clip should be available for purchase by John Q. Public.

One item that everyone brings up is that there is too much violence, and if we got rid of assault rifles the violence would go away.  Factually, according to the FBI in 2011 there were:

-       1,694 murders by ‘cutting instruments’ such as knives,

-       1,659 murders by ‘blunt objects’ such as clubs and hammers,

-       728 murders by ‘personal weapons’ such as fists, hands and feet, and

-       323 murders by ‘rifles’ (including automatic, assault, etc.). 

BUT, in 2011 there were 6,220 murders committed by hand guns!  Ouch.

I think it’s the hypocrisy that bothers me more than anything else.  The politicians pushing for gun control all have either gun permits to carry, or armed guards for their family.  I was watching NBC’s Meet the Press (hosted by David Gregory) interviewing the President of the NRA (disparaging guns, and how people don't need them), yet in a discourse we find that David sends his children to a school that’s guarded daily by a dozen armed guards. 

Many of us look to other countries and notice that they have much stricter gun control laws and their violent crime rates are much lower than ours.  Unfortunately, no country on earth has had a history of gun ownership like the US.  England as early as the 30's was banning as many guns as possible, while the U.S. was encouraging gun ownership.  Back in 1996, after a horrible mass shooting, the Australian Government decided to do one of the biggest "forced buy backs" of all time.  Rifles, shotguns, handguns of all shapes and sizes were to be turned into the police for a "fair price".  There were 681,000 guns turned in – about as many as are registered in Newark, NJ alone.  The magnitude of the U.S. problem is almost a factor of 1,000 higher.  Estimates are that a program like the Australian ‘forced buy back’ (if declared in the U.S.), would draw in approximately 50 Million guns.  That would leave approximately 250 Million still in circulation.  At this point it’s truly the magnitude of the problem that is tough to get anyone’s arms around.   

We (the U.S.) have a 200+ year history of gun ownership, and over 300 million guns in circulation.  So (on average) there are as many guns in circulation as there are people.  Some of these guns are in the hands of lunatic psychopaths, and many in the hands of local gangs and drug dealers.  Unfortunately I don’t see a way to legislate this into anything more than: (a) increasing background checks, and (b) closing the current purchasing loopholes that exist with gun shows.   

 
You can't legislate morality, so politicians go for the symptoms like guns for the dramatic effect.  Transforming America is going to take a lot more time and a change in mind-set, and potentially will not go well for a lot of traditional Americans.

The Market....

So far, the market is doing what I figured it would do – slowly, creeping up to challenge the recent "highs".

The S&P has already gotten over the 1470 level and has its eyes set on 1475. The DOW is just 140 points from challenging the triple top high at the 13,600 level.  My suspicion for months has been that if we got a fiscal cliff deal, we'd be challenging these highs.  Well, we got a form of a deal, and sure enough we're challenging the highs.

I had purchased some SPY contracts several weeks back in anticipation of this very move.  I got in at the 141 level, and saw the SPY close out Friday at 147 and change.  That's an impressive move for a basket of stocks in a matter of weeks, but I’m thinking that there is more to come.  Again, I’m looking for the S&P to challenge 1475 and the DOW to challenge 13,640.  I tend to think that the first attempt at going over these levels gets pushed back, and we see a 2 or 3 % pull back before they quickly try again.  But yes, at some point I feel we break free and run to challenge the all time highs.

So, the feeling here has been "lean long" and take some profits along the way. This past week we sold our stakes in: Goldman Sachs (in at 128 – out at 136),  and RGR, SWHC, NTFX, LNKD, CLF, AUY all for nice profits.  We even dove in and out of TRIP (during the week) for a nice profit as well.  FYI - my yardstick is 8%.  Meaning, that if you can make 8% on a trade, I often cash in half and leave the remaining half in play.

The chart below shows our deficits far outpacing our revenues.  Fair warning, this is setting up for one heck of a fight in Congress over Fiscal Cliff Part 2.

In any event, I’m still remaining confident.  I’m currently carrying some HD, MS, (see below) and I think there is a bit more upside to this market before the resistances start to show some force.  That said, I will not be afraid to take profits and then reload on any pushdown.

Tips:

My current short-term holds are:

-       HD – in at 61.53 (currently 63.62) – stop at 61.60

-       MS in at 18.50 (currently 20.12) – stop at 19.00

-       SPY in at 141.97 (currently 147.10) – stop at 143.00

-       SIL – in at 24.51 (currently 22.41) – no stop yet

-       GLD (ETF for Gold) – in at 158.28, (currently 160.80) – no stop ($1,660.00 per physical ounce), AND

-       SLV (ETF for Silver) – in at 28.3 (currently 29.45) – no stop ($30.37 per physical ounce).

To follow me on Twitter and get my daily thoughts and trades – my handle is: taylorpamm. 

Please be safe out there! 

Disclaimer:

Expressed thoughts proffered within the BARRONS REPORT, a Private and free weekly economic newsletter, are those of noted entrepreneur, professor and author, RF Culbertson, contributing sources and those he interviews.  You can learn more and get your free subscription by visiting: <http://rfcfinancialnews.blogspot.com> .

Please write to <rfc@getabby.com> to inform me of any reproductions, including when and where copy will be reproduced. You may use in complete form or, if quoting in brief, reference .

If you'd like to view RF's actual stock trades - and see more of my thoughts - please feel free to sign up as a Twitter follower -  "taylorpamm" is my handle.

If you'd like to see RF in action - teaching people about investing - please feel free to view the TED talk that he gave on Fearless Investing: http://www.youtube.com/watch?v=K2Z9I_6ciH0

To unsubscribe please refer to the bottom of the email.

Views expressed are provided for information purposes only and should not be construed in any way as an offer, an endorsement, or inducement to invest and is not in any way a testimony of, or associated with Mr. Culbertson's other firms or associations.  Mr. Culbertson and related parties are not registered and licensed brokers.  This message may contain information that is confidential or privileged and is intended only for the individual or entity named above and does not constitute an offer for or advice about any alternative investment product. Such advice can only be made when accompanied by a prospectus or similar offering document.  Past performance is not indicative of future performance. Please make sure to review important disclosures at the end of each article.

Note: Joining BARRONS REPORT is not an offering for any investment. It represents only the opinions of RF Culbertson and Associates.

PAST RESULTS ARE NOT INDICATIVE OF FUTURE RESULTS. THERE IS RISK OF LOSS AS WELL AS THE OPPORTUNITY FOR GAIN WHEN INVESTING IN MANAGED FUNDS. WHEN CONSIDERING ALTERNATIVE INVESTMENTS (INCLUDING HEDGE FUNDS) AN INVESTOR SHOULD CONSIDER VARIOUS RISKS INCLUDING THE FACT THAT SOME PRODUCTS AND OTHER SPECULATIVE INVESTMENT PRACTICES MAY INCREASE RISK OF INVESTMENT LOSS; MAY NOT BE SUBJECT TO THE SAME REGULATORY REQUIREMENTS AS MUTUAL FUNDS, OFTEN CHARGE HIGH FEES, AND IN MANY CASES THE UNDERLYING INVESTMENTS ARE NOT TRANSPARENT AND ARE KNOWN ONLY TO THE INVESTMENT MANAGER.

Alternative investment performance can be volatile. An investor could lose all or a substantial amount of his or her investment. Often, alternative investment fund and account managers have total trading authority over their funds or accounts; the use of a single advisor applying generally similar trading programs could mean lack of diversification and, consequently, higher risk. There is often no secondary market for an investor's interest in alternative investments, and none is expected to develop.

All material presented herein is believed to be reliable but we cannot attest to its accuracy. Opinions expressed in these reports may change without prior notice. Culbertson and/or the staff may or may not have investments in any funds cited above.

Remember the Blog: <http://rfcfinancialnews.blogspot.com/>
Until next week – be safe.

R.F. Culbertson

<mailto:rfc@getabby.com>

<http://rfcfinancialnews.blogspot.com>

This Week in Barrons - 1-6-13

This Week in Barrons – 1-6-2013

The Devil’s in the Details:

Congratulations to my son Morgan for being admitted to Carnegie Mellon University!  They’re getting a terrific student.

Often the market is viewed as a "random walk" that moves up and down on the whims of the collective wisdom of millions of investors.  That may have been the case years ago: (a) before high frequency trading, (b) before major banks set Libor rates, and (c) before banks were fined for money laundering for drug cartels.  And just as Wall Street has many underlying threads and currents, so does that ‘fiscal cliff’ deal.  All we have heard for two days was that the President got his victory by raising taxes on the evil rich, and the middle class was spared any tax hikes.  Ah, the Devil’s in the Details.  Inside the fiscal cliff bill, there are not only additional payroll taxes and health care taxes for ALL, but approximately $76 Billion in tax credits to special interest groups – some are listed below:

-       Former Senators John Breaux (D-La.) and Trent Lott (R-Miss.) – a pair of rainmaker lobbyists, succeeded in getting the Senate to extend a tax provision that allows multinational corporations to defer U.S. taxes by moving profits into offshore financial subsidiaries.  This "active financing exception" is the main tool GE uses to avoid nearly all U.S. corporate income tax.

-       Diageo (a liquor giant) also retained Breaux and Lott to win extensions on two provisions benefitting rum making in Puerto Rico.

-       CTP represented green energy companies like GE and the American Wind Energy Association, winning extensions and expansion of the production tax credit for wind energy.

-       CTP also won for The Motion Picture Association of America, an extension on tax credits for film production.

If all that doesn’t raise your blood pressure, how about GE (who’s CEO – Jeff Immelt is on Obama’s Economic Advisory Board) reported U.S. profits of $5.1 Billion in 2010 ($14.2 Billion worldwide) – and paid $0 in U.S. taxes.  In fact, they claimed a $3.2 Billion tax credit due to “an aggressive strategy that mixed fierce lobbying for tax breaks and innovative accounting – enabling GE to concentrate its profits offshore” (as quoted to a New York Times reporter).

So, Obama has NO PROBLEM letting a huge corporation (that takes in tens of billions of dollars) go virtually tax free, but shame on the small business guy that after 20 years finally makes his $400,000.  Let’s fine him, tax him, and take away his incentive to create jobs.  Let’s convince the masses that HE’S the problem.  He’s that wicked small business guy that just isn’t paying enough. 



When I looked at the details in the Hurricane Sandy Relief Legislation, I found that Harry Reid’s senate committee also loaded it up with pork.  The ‘pork fest’ includes many items – a few of which are below:

-       $150 million for the National Oceanic and Atmospheric Administration to spend on fisheries in Alaska,

-       $207 million for the VA Manhattan Medical Center, and

-       $10.78 Billion for future public transportation improvements – not effected by Hurricane Sandy. 

Honestly, we have desperate people in the Northeast that NEED help and our politicians load the bill with pork for their constituent friends.  The Devil’s in the Details of what our government is doing – and it’s approaching lunacy. 

The Market...

So far, so good.  For weeks I was convinced that if we would get the fiscal cliff out of the daily news, the market would love it and probably set us up for a shot at the "all time" highs.  This week we saw a stunning 300+ point move as the DOW posted the single biggest New Year’s trading day ever!

200 points is all that it’s going to take to see if this market really can challenge the all time highs.  There is a pretty stern triple top at the 13,600 level.  If we can get over that, we will see a challenge of the old all-time high shortly thereafter.  It’s amazing that in a market where our Fed is printing $85 Billion a month for bank ‘life support’ – we are challenging the stock market all time highs. 

So, what happens now?  I think we challenge the all time highs.  I even think we get THROUGH them, and that opens a new can of worms.  Why, because the market doesn't deserve to make all new highs here.  This year’s earnings are going to stink.  The only thing going for us is The Ben Bernanke's billions, which we almost lost the other day when some of the Fed members hinted that maybe they should back off QE in 2013.  Well that's strong talk (but insanity) as our banks can’t afford the Fed to stop QE any time soon.  All that remark did was to create a buying opportunity for gold and silver.

I tend to think we challenge DOW 13,600 fairly quickly.  I also think we will (in some time) challenge the all time ‘down’ high of 14,164.  If we get past that, we could see an enormous first half market move to 15,400.  I also think that in 2013 we will also see the beginning acts of a very long, drawn out bear market.  So I'm looking at 2013 as the "blow-off-top", and afterwards we go back and visit a much lower market.

For now, we lean long and (knock on wood) things are going about how I thought they might.  Let us keep our fingers crossed and hope. 

Tips:

My current short-term holds are:

-       HD – in at 61.53 (currently 63.20) – stop at 61.60

-       FWLT – in at 24.77 (currently 24.82) – stop at 24.30

-       VALE – in at 18.52 (currently 21.26) – stop at 19.45

-       ALTR – in at 34.40 (currently 35.23) – stop at 34.70

-       MS in at 18.50 (currently 20.19) – stop at 18.00

-       RGR in at 42.00 (currently 47.34) – stop at 45.50

-       SWHC in at 8.00 (currently 8.81) – stop at 8.40

-       SIL – in at 24.51 (currently 22.52) – no stop yet

-       GLD (ETF for Gold) – in at 158.28, (currently 160.44) – no stop ($1,648.10 per physical ounce), AND

-       SLV (ETF for Silver) – in at 28.3 (currently 29.19) – no stop ($29.90 per physical ounce).

To follow me on Twitter and get my daily thoughts and trades – my handle is: taylorpamm. 

Please be safe out there! 

Disclaimer:

Expressed thoughts proffered within the BARRONS REPORT, a Private and free weekly economic newsletter, are those of noted entrepreneur, professor and author, RF Culbertson, contributing sources and those he interviews.  You can learn more and get your free subscription by visiting: <http://rfcfinancialnews.blogspot.com> .

Please write to <rfc@getabby.com> to inform me of any reproductions, including when and where copy will be reproduced. You may use in complete form or, if quoting in brief, reference .

If you'd like to view RF's actual stock trades - and see more of my thoughts - please feel free to sign up as a Twitter follower -  "taylorpamm" is my handle.

If you'd like to see RF in action - teaching people about investing - please feel free to view the TED talk that he gave on Fearless Investing: http://www.youtube.com/watch?v=K2Z9I_6ciH0

To unsubscribe please refer to the bottom of the email.

Views expressed are provided for information purposes only and should not be construed in any way as an offer, an endorsement, or inducement to invest and is not in any way a testimony of, or associated with Mr. Culbertson's other firms or associations.  Mr. Culbertson and related parties are not registered and licensed brokers.  This message may contain information that is confidential or privileged and is intended only for the individual or entity named above and does not constitute an offer for or advice about any alternative investment product. Such advice can only be made when accompanied by a prospectus or similar offering document.  Past performance is not indicative of future performance. Please make sure to review important disclosures at the end of each article.

Note: Joining BARRONS REPORT is not an offering for any investment. It represents only the opinions of RF Culbertson and Associates.

PAST RESULTS ARE NOT INDICATIVE OF FUTURE RESULTS. THERE IS RISK OF LOSS AS WELL AS THE OPPORTUNITY FOR GAIN WHEN INVESTING IN MANAGED FUNDS. WHEN CONSIDERING ALTERNATIVE INVESTMENTS (INCLUDING HEDGE FUNDS) AN INVESTOR SHOULD CONSIDER VARIOUS RISKS INCLUDING THE FACT THAT SOME PRODUCTS AND OTHER SPECULATIVE INVESTMENT PRACTICES MAY INCREASE RISK OF INVESTMENT LOSS; MAY NOT BE SUBJECT TO THE SAME REGULATORY REQUIREMENTS AS MUTUAL FUNDS, OFTEN CHARGE HIGH FEES, AND IN MANY CASES THE UNDERLYING INVESTMENTS ARE NOT TRANSPARENT AND ARE KNOWN ONLY TO THE INVESTMENT MANAGER.

Alternative investment performance can be volatile. An investor could lose all or a substantial amount of his or her investment. Often, alternative investment fund and account managers have total trading authority over their funds or accounts; the use of a single advisor applying generally similar trading programs could mean lack of diversification and, consequently, higher risk. There is often no secondary market for an investor's interest in alternative investments, and none is expected to develop.

All material presented herein is believed to be reliable but we cannot attest to its accuracy. Opinions expressed in these reports may change without prior notice. Culbertson and/or the staff may or may not have investments in any funds cited above.

Remember the Blog: <http://rfcfinancialnews.blogspot.com/>
Until next week – be safe.

R.F. Culbertson

<mailto:rfc@getabby.com>

<http://rfcfinancialnews.blogspot.com>