‘The feast is coming’
From Porter Stansberry in Stansberry Digest:
Most of our subscribers don’t know much (or anything) about our new Asian equity-research business…
Nor do they realize how this business is quietly powering some of our very best investment ideas.
In today’s Digest, I (Porter) wanted to share a few details about our first major international expansion… and show you the dividends it’s already paying for our subscribers.
Let me start here…
Most people don’t know that I’ve been friends with Steve Sjuggerud since I was 12 years old. Growing up in Winter Park, Florida, Steve was the most talented kid I knew.
He was a great tennis player, a state-champion rower, and a fantastic soccer player, too. He’s also a world-class guitar player and one of the world’s most accomplished “watermen” (he surfs, windsurfs, kitesurfs, and competes in stand-up paddle surfing)…
More than 20 years ago, in July 1996, Steve called me up right after I graduated from college. He said, “Hey Porter, I’ve got to go to China for two weeks. Do you think you could come down here and handle things at the office for me while I’m away? Who knows, you might even decide you want to help me write a financial newsletter… “
Well, Steve was right. I loved the work he was doing and soon landed a job doing financial research on emerging markets. I wonder if any of my first subscribers to Latin American Index still read my work…
That initial job led to more opportunities with bigger titles and eventually, to starting my own financial-research company in 1999. But my career started with Steve going to China to see what was happening in Asia firsthand.
(On another Asia trip a few years later, Steve got pinned down in a hotel during a coup attempt in Jakarta, Indonesia. For some reason, the hotel was blaring Barry Manilow songs through speakers all over the building. Steve told me he had never been through a more bizarre situation… hiding from gunfire, listening to Barry Manilow. Asia can be pretty weird.)
My point is, I don’t know anyone who has done more to understand the massive economic revolution taking place in Asia. Steve has been working hard on these ideas for his entire career. I’m proud of what he has accomplished for our subscribers over the years by consistently being ahead of the crowd with the best ideas across all of Asia’s big markets.
Why does this matter?
Over the next 25 years or so, Asia’s leading cities will become by far the wealthiest cities in the world. As a result, investors have huge opportunities in these markets – everything from safe investments in real estate and infrastructure to far riskier opportunities in media and technology.
I’d estimate that less than 5% of our subscribers have ever purchased a foreign stock of any kind. And I’m sure after reading today’s Digest, I might only convince a tiny fraction of today’s readers to even consider making an investment in China, Singapore, or Hong Kong.
That’s fine with me, of course. You shouldn’t invest in things you don’t understand. But if you’re interested in learning (there’s no such thing as teaching), I hope you’ll take the time to read a bit more about the work Steve has been doing.
As I mentioned, Steve has been traveling to China (and other major Asian markets) regularly since the mid-1990s. He has developed excellent high-level contacts in these markets and has cultivated those relationships for decades.
These relationships led directly to the first significant international expansion of our business. About a year ago, we partnered with a legendary Asian equity investor Peter Churchouse to a launch a Singapore- and Hong Kong-based investment-research firm, modestly named Stansberry Churchouse Research. Peter has been investing across Asia since the early 1980s. For many years, he was the head of Morgan Stanley’s Asian Research Department. Later, he founded the first Asian property hedge fund.
How did Hong Kong become so wealthy?
In the 50 years following its Japanese occupation in the 1940s, Hong Kong went from being one of the poorest cities in the world to one of the richest. It became far wealthier than its former colonial master, Great Britain. Singapore followed the same economic trajectory. Growth in both cities was powered by the English system of common law and property rights, low taxes, immigration, and trade.
Since the early 1990s, this formula has been copied across Asia, including in China. The resulting economic growth has transformed the world’s economy. China, for example, now dominates the market for virtually every “hard” commodity in the world, from copper to zinc. But these changes are only beginning…
Today, only two of the world’s most economically important cities are in Asia…
Measuring by gross domestic product per city, only Seoul and Shanghai appear on the list. But six Asian cities appear in the top 20, and 11 appear in the top 30.
In every case, the Asian markets are growing faster – usually twice as fast – as their bigger Western rivals.
Within another 20 years, half of the top 10 cities in the world will be Asian cities. Beijing, Hong Kong, Guangzhou, Tianjin, and Singapore will all move up into the top 10. And dozens of other Asian cities, such as Shenzhen, Suzhou, Taipei, and Jakarta will jump past their current Western rivals.
It shouldn’t surprise anyone that investors have more opportunity in, say, Mumbai, India, than they do in the city ranked just ahead of it today (Milan).
What should you do about the growth of these markets?
Start by signing up for Stansberry Churchouse’s free daily e-letter, Asia Wealth Investment Daily. Peter is the single best local guide to these markets. Let Peter and the team we’ve helped him build introduce you to these markets and the best investment opportunities there. It won’t cost you anything.
When you’re ready to invest, sign up for Steve’s True Wealth China Opportunities newsletter. About a year ago, Steve made a contrarian and bold call – that China was a “buy” again, after several years of stagnant equity performance and a big chorus of investment bigwig naysayers predicting an economic collapse.
Well, a year after Steve’s shocking “buy China now” call, 19 of the 21 positions in his China portfolio are up. And seven out of the original 19 stocks he recommended last summer have risen more than 20%, with even bigger gains of as much as 59% in the Chinese Internet firms he recommended.
This isn’t “cherry-picking.” Steve’s True Wealth China Opportunities portfolio performance has been nothing short of incredible. Once again, Steve has found a way to deliver outstanding investment performance, while taking extremely little risk. Almost all of these investments have done well. For longtime subscribers, this shouldn’t be a surprise. Again and again, Steve finds low-risk ways to make extremely big returns for his readers.
I realize most of you will never understand how much wealth is being created in Asia…
You won’t believe that people in Beijing, Hong Kong, Singapore, and Shanghai already have lifestyles that are far, far wealthier and more sophisticated than anything you’ll find in any Western city.
In the last 10 years, we’ve hosted two of our annual Alliance meetings in Asia (in Hong Kong and Singapore). And only a few weeks ago, Steve took a handful of our subscribers to investor meetings in Beijing and Hong Kong.
We’ll continue to show you the incredible opportunities for investors in Asia. But… will you take advantage of any of these ideas?
Go see these cities for yourself – either at one of our meetings, or simply on your own. Get to know the top 25 Asian companies. Follow their annual reports. And take advantage of the high-quality research that we’re providing investors via both True Wealth China Opportunities and the entire team of analysts we’re assembling in Asia at Stansberry Churchouse Research. Don’t let another 20 years go by without making at least a few high-quality, long-term investments in Asia.
Crux note: Regular readers know Steve’s “Melt Up” thesis has worked out perfectly too. But according to Steve, the story has changed in a major way. A new trend he hadn’t planned on just emerged. And he wants to share it with the readers. Right now, he’s preparing an urgent Melt-Up briefing to explain everything on Thursday, June 29 at 8 p.m. ET. This event is FREE, but you must reserve your spot right here.