Why I REALLY Moved to Puerto Rico, and You Should Too

By Alex Daley, Chief Technology Investment Strategist

Much fuss was made yesterday when my colleague Nick Giambruno released a report outlining the incredible tax benefits to be had, by Americans no less (the only people in the world to be taxed back home even when we leave), in Puerto Rico.

As you may have seen, that report was based in large part on my personal experience relocating to the island, a process I started in earnest last October. And, yes, I am here, writing you at this moment from beautiful Palmas Del Mar—if you ask me, the most beautiful piece of coastland on the island, but only just being rediscovered after a long hiatus from the spotlight.

What can I say, I love a comeback story, especially when it looks like this… Continue reading "Why I REALLY Moved to Puerto Rico, and You Should Too"

High-Frequency Trading: What You Need To Know

Being the "little guy" in the markets is never easy, it seems.

The recent airing of a "60 Minutes" special concerning high-frequency trading (HFT) and Michael Lewis' new book, "Flash Boys: A Wall Street Revolt," went into detail on how retail investors are being duped by this new wave of algorithmic gurus and computer experts.

Lewis' book has sparked controversy across the investing community, with the "Liar's Poker" author claiming the stock market is "rigged." Some high-frequency firms argue the heat is unwarranted, saying they provide liquidity and keep fees down. Just how bad investors are being affected and just how much money is being made from HFT practices have been debated since the program aired. Continue reading "High-Frequency Trading: What You Need To Know"

Report Follow-Up: This Undervalued Energy Stock Could Soar

Hi Traders,

We wanted to follow-up regarding an exclusive report that we released on February 28th, entitled "This Undervalued Energy Stock Could Soar." If you registered to view this report, then you would know that this energy stock is up approximately 14.77% from February 28th's open price until yesterday’s close. Not too shabby!

Valero Energy Corporation (NYSE:VLO) may still have legs, as both fundamental and technical analysis suggested long-term gain.

We will be releasing INO.com friend and analyst, Wayne Burritt's latest report early next week. What will be the sector he's watching and is there a potential breakout stock? Please visit us early next week or sign-up for our blog alerts to make sure you don't miss our next exclusive report!

If you didn't get a chance to access this report in late February, please see a full version of the VLO analysis below. Continue reading "Report Follow-Up: This Undervalued Energy Stock Could Soar"

5 Ways To Tell If You Own A 'Dividend Disaster'

Imagine living in a world with stocks creating dividend yields of 20%, 30% or even over 40% on an annual basis. For income investors, that sounds like a dream come true -- but the truth is, these yields exist right now.

I recently searched for the highest-yielding stocks on the U.S. stock markets. I found 10 actively traded stocks that yield between 20% and close to 50% annually. My first reaction is that there must be something wrong with the data -- but these stocks actually exist. Here are three examples:

It may seem like all an investor needs to do is invest in one or more of these names and their portfolio will grow like wildfire. However, nothing is further from the truth.

Sure, several of the top 10 names will continue to pay ultra-high dividends for a while, but the dangers inherent in them are simply too high for prudent, risk-averse portfolios. Remember, a high dividend does not always indicate a successful company. Often, a high dividend yield is indicative of a plunging stock price or a failing company's last-ditch effort to attract interest. 

What's the best way to avoid a high-yielding "dividend disaster"? Here are five questions to ask before risking a penny on a high-yielder. Continue reading "5 Ways To Tell If You Own A 'Dividend Disaster'"

Robert Cohen's Three Drivers for the Gold Price in 2014

The Gold Report: Low interest rates, a cornerstone of recent modern Western economic policy, have proven positive for gold over the last several years. What do you see as the three primary price drivers for gold this year?

Rob Cohen: The primary price driver is global liquidity. That is fed by balance-sheet expansion in many Western countries and foreign exchange reserves, typically the result of trade deficits built up in countries such as China.

Number two is real interest rates. The Federal Reserve could tighten rates, but we don't know where inflation will be. Negative real rates are very good for gold. Mildly positive real rates are not harmful for gold. Positive real rates above 2% can stall the gold price.

"It's really hard to come up with a higher quality investment than Tahoe Resources Inc.'s Escobal."

Number three is geopolitical crisis. Strife can get priced in and out of the gold price. Continue reading "Robert Cohen's Three Drivers for the Gold Price in 2014"