January 12, 2008
I thought I'd show you the results of some of the newsletters that I subscribe to and what ratings they gave themselves for 2007.
Even when you spend $5,000 last year like I did on the following publications, there's no guarantee that they will always pick winners when we have rough markets like we experienced last year. These publications are by Stansberry Research. I think their research is excellent and I rely on them for some of my speculative and dividend income purchases. Of the 200 or so recommendations they make during the year, I might opt to buy into 5-10 of them. I think all the ones I purchased are in the red as to share prices, but some kick off healthy dividends every month. They rate themselves at the end of every year and give themselves a grade. Their returns are based on all the recommendations of each publication, so some selections went up real high and others crashed and burned. When you can only pick and choose what you feel is right for you, your track record could be much better or much worse. And if you select one from one publication and another from another, who knows how you'll end up?
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Newsletter
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Editor
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Return
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Grade
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S&A Short Report
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Clark
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14.1%
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A
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True Wealth
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Sjuggerud
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12.2%
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A
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S&A Oil Report
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Badiali
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10.8%
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A
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The Medical Investor
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Fannon
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8.9%
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A
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The Quant Trader
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Davis
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2.5%
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B
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PSIA
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Stansberry
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0.0%
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A
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S&A Prospector
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Badiali
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-1.2%
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C
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12% Letter
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Dyson
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-6.5%
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C
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Inside Strategist
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Summers
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-6.6%
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D
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Dividend Grabber
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Goldsmith
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-10.3%
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F
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Sjug. Confidential
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Sjuggerud
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-14.3%
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F
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Phase 1
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Fannon
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-23.1%
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F
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Extreme Value
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Ferris
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-23.4%
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F
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Penny Letter
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Ferris
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-33.5%
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F
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S&A 16 Model Portfolio
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Stansberry/Hunt
|
3.5%
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C+
|
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S&P 500 Index
|
n/a
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3.5%
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n/a
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|
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As you know, everything is a gamble and even when you look to others that you know have the staff and research ability to really take their recommendations to task, the market might just not care. Undervalued can remain undervalued and overvalued can remain so. But over the long term, these things usually work out unless the company selected has blindsighted everyone.
So we'll see what 2008 brings and hope we don't slip into a severe recession.
Have a good weekend.
Pete
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