I. Aggressive Recommendation
Vanguard FTSE Emerging Markets ETF (VWO) is a current recommendation in Smart Money Masters.
VWO is the top position of the quirky Ray Dalio and his Bridgewater Associates, the world’s largest hedge fund. Dalio has been gradually increasing his already substantial bet on emerging markets. As of October 31, 2017, Dalio had built his position in VWO to an astonishing 25.82% of his $14.9 billion publicly disclosed investment portfolio.
Emerging market stocks trounced their U.S. counterparts in 2017. The Vanguard FTSE Emerging Markets ETF (VWO) soared 37.28% compared to the 21.70% gain for SPDR S&P 500 ETF (SPY). I believe that this outperformance of global stocks has just started.
Technically, the ETF is in a strong uptrend and scores 100% on my long-term technical indicators.
II. Conservative Recommendation
Texas Pacific Land Trust (TPL) is another current recommendation in Smart Money Masters.
The company’s only assets are approximately 878,000 surface acres and 373,000 gross royalty acres in western Texas. Thanks to an accident of geography, much of Texas Pacific’s real estate holdings are located in the Delaware and Midland Basins within the Permian Basin. By some estimates, the Permian Basin holds up to 70 billion barrels of oil. That’s more oil than Kuwait’s proven reserves.
When the price of oil enters a strong uptrend, as it has recently, the value of TPL’s real estate holdings go up.
From a technical standpoint, TPL also scores 100% on all technical indicators I follow.
Sincerely,
Nicholas A. Vardy
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