Wednesday, December 21, 2011

Investing Trends To Watch And How To Find The Big Stocks In Them

 Any successful investor will tell you that they made their money by spotting trends and the companies with the competitive advantage in them.

It's not hard to do..if you know what to look for.

I discuss how to spot trends and how to find the companies that will play key roles in them in my book How To Find Big Stocks. I also show you how to use a tool in the Internet to spot them. This is the same tool that helped turn $10k into $2.8m in two years.



Here are some investing waves I am watching.

Cloud Computing (posts on cloud computing)

 The days of both storing content and processing on the computer are over. Storing content on the cloud offers access from any device anywhere.

Processing is also done on the Cloud too. Think about using Microsoft Word (on your PC) versus using Google Docs (on the cloud).

The tower/PC are being phased out. Soon it will just be a keyboard and a display. Lots of companies will be created and destroyed with this wave.


Internet TV/ TV Commerce (posts on TV Commerce)
When the TV becomes Internet enabled, it will compete with the PC. It will turn into another ecommerce platform. When YouTube allows 30 minute videos it will compete directly with TV viewing.

I highlight one chapter in the book to this trend. As an example of what I am looking for..technology that insert hyperlinks on objects in a video.

Personalized  Medicine (posts on Personalized Medicine)
The days of one pill treats all are over too. Mapping the human genome will enable a pill to treat your condition based on your genetic structure.

A combination of several blockbuster drugs coming off patent and personalized medicine have the big drug companies worried. There are several ways to play this investing trend. I show you what to look for.


Internet of Things/Physical World Connection (posts on Physical World Connection)

When a physical object can be linked to the Net for information, we see Physical World Connection. That can include taking a picture of a barcode with a camera phone, scanning an RFID tag with a phone. Any time a physical object has a physical world hyperlink that can link a computing device to the Internet.

Intellectual Property..the new asset (posts on Intellectual Property)

Patents and ways to monetize them, represent a huge investable wave coming. Having a patent and monetizing are two separate things.
(excerpt from the book)
The new “manufacturing” is digital. Information and software are representing a larger percentage of our G.D.P. than physical goods. With the click of a mouse,
a new good can be created and shipped. The Internet is the new manufacturing and distribution system.


Telematics

"Controlling" a physical object through the Internet is becoming very disruptive. From starting a car from a remote location to monitoring semiconductor equipment from across the globe. Maintaining contact and enabling control over a physical object anywhere in the world thru the Net will create lots of investing opportunities. 

3d Printing (posts on 3d Printing)


Quick replication of objects that are created by software could kickstart the US manufacturing economy.

Privacy/Digital Content Ownership (privacy posts)

With every click of your mouse, you are creating some type of digital fingerprint that is being used by many companies. Those fingerprints cant be erased. It;s as simple as clicking on a webpage and a cookie is placed on your PC to uploading a picture with the GPS coordinates on it.
The "like" button on Facebook, or the "share this" icon on almost every webpage is changing privacy. Brands are using your image to promote their products. Your "likes" are being used to generate revenue.

Also, the ease of replication and distribution of digital content is creating a nightmare for copyright owners. Digital watermarking and tracking will soon become a big business. As more content is stored online (on the cloud) protecting it will become a priority.

Speech Recognition

Voice replaces the keyboard for the phone, tablet and TV.

Motion Technology

The Kinect and Wii are adding another dimension to computing. Look for more applications using motion as the input.

IPV6

The Internet is running out of IP addresses. IPV6 Internet Protocol version 6 will provide EVERY device  with their own IP address. The days of anonymity are over.

Connected Homes/Mini Cell Tower

More devices connected to the Net inside the home will require a more powerful router. This next generation router will connect all devices (tablet, refridgerator, cell phone). Watch femtocell and picocell companies.

HTML5

The days of updates and plugins required may soon be over. A new standard for online media is coming. Java's days may be limited.

NFC/Mobile Payments

Near field communications, chips inside your mobile will turn it into a "wallet" that with a swipe near a NFC reader registers your purchase. The days of credit cards may soon be over when they can be stored and swiped with your cell phone.

Pharmaceutical Acquisitions..Blockbuster Drugs are over

As more blockbuster drugs come off patent and the trend for personal medicine grows, drug companies are going to back to their Phase 3 trials to look for drugs that can help smaller populations. Genetic database companies and RNAi players are ones to watch as acquisition candidates.

WiFi 2.0 or the Hypernet 

Hotspot 2.0 is an industry initiative that will use 802.11u to provide seamless automatic Wi-Fi authentication and handoff, allowing mobile users to roam between the networks without additional authentication 







 I turned $10k into $2.8m in 2 years with the tool in this book. HowToFindBigStocks.com

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