How To Make Real Long-Term Investments

But when the trend stops heading higher … look out below. Because when the party stops, traders all run for the exits at the same time.

This creates the quick, sharp downturns that make you give back a good portion of any gains you may have made. And it’s a pretty hard way to make money if you don’t know what you’re doing.

You’re trying to guess the price of the stock by predicting the future behavior of others. And you not only have to be right on your timing, you also have to be quick to get in and out of a trade. There aren’t many people I know who can make it work.

In a nutshell, momentum trading for a novice  is nothing more than following the crowd — which, at best, gets you mediocre returns.

But you can’t grow your portfolio with mediocre gains. And that’s why it doesn’t interest me.

But for consistent, long-term investments, you have to focus on the underlying value of the business. Because that’s what will ultimately drive prices higher…


Figuring out the underlying worth of a business based on the present is a much easier thing to do than figuring out mob psychology and future prices.

If we understand the business, we can estimate its worth. And then, we can see if the stock price is trading below that valuation. That’s all we need to figure out.

It’s that simple: If the business does well and its value goes up, so will the stock price. Over the long term, this is how the real money is made.

This is why my team and I spend so much time researching each business as part of the profit opportunities we share with you.

The more time we spend sharing insights about the company — how it’s doing, what’s driving it, and any changes that might impact the business — the more confidence you’ll have.

You won’t sell it when the stock price wiggles and jiggles over the short term like we’ve seen lately.

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Now, I’ve recently spent a lot of time researching one business in particular. It’s transforming the health care space and could ultimately save millions of lives. And it’s part of ...

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