Member Guide. Member Guide. Jim Pearce, Chief Investment Strategist

Transcription

1 Member Guide Member Guide Jim Pearce, Chief Investment Strategist

2 Welcome 1. Getting Started With Breakthrough Tech Profits 4 Strategy Tactics Making the Most of the Breakthrough Tech Profits Portfolios Broker Considerations Start Building Your Breakthrough Tech Profits Portfolio Tracking Your Stocks How to Save Time with My Watch List 2. Communicating With the Analysts 6 s from the Analysts to All Members Issues of Breakthrough Tech Profits Stock Talk the Website Forum The Analysts Speaking Engagements Meeting the Analysts in Person 3. Using the Website 7 Logging in for the First Time Logging in After the First Time 4. Managing Your Account 9 Conclusion Updating Your Account Information: Do-It-Yourself Changing the Amount and Type of You Receive Updating Your Account Information: With a Customer Service Representative Investing Daily, a division of Capitol Information Group, Inc., 7600A Leesburg Pike, West Bldg., Suite 300, Falls Church, VA Subscription and customer services: P.O. Box 4123, McLean, VA , It is a violation of the United States copyright laws for any person or entity to reproduce, copy or use this document, in part or in whole, without the express permission of the publisher. All rights are expressly reserved. BTPMG0416-JG 201 Investing Daily, a division of Capitol Information Group, Inc. Printed in the United States of America.

3 Dear Fellow Investor, We re happy to have you as a subscriber! At Breakthrough Tech Profits, we ll bring you the in-depth research, analysis, and recommendations covering the entire universe of companies currently being swept up into, and profiting from, the information technology revolution. Almost every type of business can benefit from the explosive combination of innovation and integration that defines our proprietary concept innogration (for more information, please see Section 1 of this Guide). Are you ready to get started? We recommend you begin with these steps: 1. Read this Member Guide and log into the Breakthrough Tech Profits website. In Section 3, this Guide explains in detail how to log into the Breakthrough Tech Profits website. Once there, you can browse the portfolio recommendations. We ll point you toward handy tracking features like My Watch List where you can keep a list of the stocks that interest you most. 2. Review our latest articles and ask us questions. The latest articles will bring you up to speed on the state of the market and will include updates on our portfolio picks. Should you have any questions, you can direct them to our Stock Talk message boards, where we will answer them promptly. 3. Make your first trade. I encourage you to get right into the game, because you ll only start earning with your first trade. We recommend that new subscribers first consider investing in the stocks with the highest Smart Tech Rating (explained in Section 1 of this Guide). It s that easy. We look forward to having you on board. To Your Success, Jim Pearce Chief Investment Strategist Breakthrough Tech Profits

4 1. Getting Started With Breakthrough Tech Profits This section includes topics that new members usually want to learn about right away. (If you d like to locate these topics on the Breakthrough Tech Profits website while reading this Guide, see Section 3 for login instructions. Many of the links in this Guide are clickable.) Strategy Although some people group tech stocks together in a bunch volatile, cutting-edge with short-lived products each tech company is quite different in many critical respects. They are managed differently, their products have different lifecycles and they execute their strategies in very different ways. True, many tech companies do follow a high-risk, high-reward path. They hire some very smart people and create some really cool stuff, but a lot of them eventually go out of business. Why is that? It s for the same reason that some tech companies that create very successful products also eventually go out of business, even though at one time they were a market leader. They fail to continuously upgrade their products by not pursuing a dual strategy of innovating internally and integrating external products and features into their offerings. We refer to this process as innogration, and it is the single most important strategy any tech company can adopt to ensure its long-term success. Until recently, most tech sector advancements in innogration focused on improving the underlying technology itself so that it might function faster, cost less and be more accessible. IN less than 20 years, we have seen smartphones become the preferred personal computing device, the emergence of the clod as the primary form of data storage for large businesses, and data analysis as the most reliable form of predicting behavior. That has been exciting to be a part of, and vast fortunes have been made by those who bet on companies such as Apple and Microsoft before their extraordinary wealth-creating power became apparent to the masses. However, the next tech revolution is just starting, and there s time to invest in developing companies before they grow into giants in their fields. Tactics We believe the emergence of the big four endpoints of information technology computing, cloud, mobile, and data are converging to form an entirely new technology paradigm that can be applied to business models across all sectors. This next revolution is already happening in healthcare, as witnessed by the explosive growth of biotech stocks. But that is only the tip of the iceberg. As science and commerce have become increasingly interwoven, a new set of megatrend stocks will attract increasing amounts of investor capital. We have chosen to focus on a handful of these megatrends that we feel offer the most immediate opportunities to benefit from the explosive growth that will result. For that reason, we have divided our coverage universe into three distinct portfolios, each with a specific focus as described below. You may elect to concentrate your portfolio holdings in whichever portfolio most closely aligns with your interests, or across all three portfolios to maximize the benefits of diversification. Regardless of which path you choose, we recommend that you do not become overly concentrated in only one or two favorite positions since the tech sector can be quite volatile in the near term. Making the Most of the Breakthrough Tech Profits Portfolios To review the portfolios online, log into the Breakthrough Tech Profits website and click Portfolios on the orange horizontal navigation bar. 4

5 Breakthrough Tech Breakthrough Tech is the core portfolio for BTP, and consists of companies that we believe will be able to grow earnings at a faster rate than the overall stock market due to some form of technological advantage in one or more megatrend category (or Type in the portfolio table) that is being disrupted by recent advancements in information technology. The primary objective of this portfolio is long term capital appreciation, with no regard to current income. Special Situations The primary objective of this portfolio is aggressive growth, and it consists of stocks with above average volatility. Most of these stocks pay little or no dividend, have little or no earnings, and tend to trade based on the expectation of high future earnings that may or may not materialize. For that reason, you should only invest capital that you can afford to lose, and we suggest that you do not cherry pick only one or two of these stocks to buy in your portfolio, but buy all the companies under each type since this is an investment in a concept rather than any one company. Smart Tech 50 The Smart Tech 50 portfolio consists primarily of large-cap tech stocks, and uses a proprietary stock rating system that scores each company according to the BIQ (Boeckl Innogration Quotient) which measures three variables: dividend yield, change in net operating cash flow, and long term strategy. That score is then converted into an STR (Smart Tech Rating) score after being adjusted for each stock s forward P/E multiple compared to the average multiple for the entire tech sector. The primary objective of this portfolio is total return, with equal emphasis on capital appreciation and dividend income. Stocks with the highest STRs are considered less risky and have a greater upside potential that those with lower STRs. Broker Considerations To trade Breakthrough Tech Profits recommendations, you ll need only a standard brokerage account. If you haven t already opened a brokerage account, review the Financial Industry Regulatory Authority s advice, and then start researching potential brokers using websites such as Investopedia and Barron s. At Investing Daily, we re not affiliated with any brokers. Start Building Your Breakthrough Tech Profits portfolio Most new members want to know right away: Where should I start? And what stocks should I buy first? The best place to start is the most recent issue of Breakthrough Tech Profits. It will bring you up-todate with the latest recommendations. Consider starting with a few large cap stocks, and reduce your risk by investing in stocks with the highest Smart Tech Ratings. Here s how: once you ve logged into the website s portfolios (see Section 3 for login instructions), we recommend you begin with the Smart Tech 50 portfolio, where you ll see each stock s Smart Tech Rating in the column called STR. You can sort from highest STR to lowest by clicking on the word STR. Click again, and the order will reverse, from lowest to highest. Recent articles will help choose from this list. Tracking Your Stocks How to Save Time with My Watch List Once you ve started purchasing Breakthrough Tech Profits recommendations, we ve made it easy for you to track them with our My Watch List feature. With My Watch List, you can build your own personalized portfolio table from stocks in the Breakthrough Tech Profits portfolios. Our members tell us that My Watch List is a snap to use and they always know at a glance how their personal portfolio holdings are faring. 5

6 To add your purchases to the My Watch List feature, click Portfolios in the orange horizontal navigation bar. Then click the Edit My Watch List button. Check the boxes next to the holdings that you ve purchased. When you re finished, click the green Save Changes button. The website will remember your choices. The next time you visit the Breakthrough Tech Profits website, hover over Portfolios in the orange horizontal navigation bar. Then click on My Watch List from the dropdown menu. You ll see only the holdings that you checked earlier. As you sell holdings, simply click the Edit My Watch List button again and uncheck the boxes. Then click the green Save Changes button again. If you prefer to use a different tracking system, the Breakthrough Tech Profits website can usually accommodate that, too. Next to the green Save Changes button you ll see options for copying or printing the portfolios. You can also download a CSV (comma-delimited) version that can easily be imported into Microsoft Excel and other financial programs. 2. Communicating With the Analysts As much as we d like to be able to talk to each one of you individually, federal regulations prohibit subscription companies like us from giving personalized investing advice that s something a licensed financial planner or stockbroker would do. At Breakthrough Tech Profits, we have our conversations where all members can benefit. The good news is there are several satisfying ways we can do that, including , an online forum, web chats and live events as described below. s from the Analysts to All Members Whenever we make a change to one of our portfolios either a new buy or sell recommendation we will you an Alert. (As you can see, it s very important that we have your correct address on file. See Section 4 if you ever need to update your address or other account information.) Additionally, Alerts will appear as a prominent red bar on the Breakthrough Tech Profits website. All past and current Alerts are available when you click Alerts on the horizontal navigation bar. Whether you see it first through or as a red bar on the website, we ask that you open and read the Alert at your earliest convenience. 6

7 Issues of Breakthrough Tech Profits Your in-depth monthly Breakthrough Tech Profits issue will become available online on the third Thursday of each month (except on holidays, in which case it will be the next day). The PDF versions of monthly issues may be downloaded from the home page using the large black Current Issue bar you may, of course, then print a copy if you like. Both the current PDF and HTML versions are found in the website s Issue Archives along with all past issues. Your current Breakthrough Tech Profits membership gets you access to all of our past issues at no additional cost. You ll also receive weekly Breakthrough Tech Profits issues every Monday, and can find an archive of issues under the Articles tab of the website. Stock Talk the Website Forum One of the most valuable resources available to you as a Breakthrough Tech Profits member is the ability to engage with Jim, Joe, Ben and your fellow tech investors on the website s Stock Talk discussion forum. To access the forum from the home page, click on the Resources tab and then click on Stock Talk. We are especially proud of the unique and vibrant virtual community that Stock Talk makes possible. This is an interactive feature, where the experienced and novice members of Breakthrough Tech Profits come together to learn from each other and help each other out. On Stock Talk you ll find that we often shorten the Breakthrough Tech Profits name to BTP. A Stock Talk posting form appears at the bottom of all website alerts and articles. If you have a question or comment pertaining to one particular alert or article, please post your question at the bottom of that alert or article. General questions and comments can be posted in the general Stock Talk area found under the Resources tab. You can expect the analysts to address any questions within 3 business days. Before posting, please be sure to read previous Stock Talk postings to get familiar with the conversational style. Analyst Speaking Engagements The Investing Daily analysts are regularly featured in online webinars conducted by outside organizations. When they have a webinar coming up, we will list it on the website under the Events tab. Meeting Jim, Joe, and Ben in Person Members of Investing Daily s Wealth Society are invited to attend our annual Investing Summit at no charge. The Summit features two days of formal presentations mixed with fun, casual interactions around town. The Breakthrough Tech Profits analysts are popular speakers at the Summit. A limited number of non-members are invited to attend the Investing Summit for a $495 fee. Please call (800) for details. 3. Using the Website, Logging in for the First Time If you have other Investing Daily subscriptions and you know your password and address on record, you can now use those same credentials to log into the Breakthrough Tech Profits website. 7

8 If Breakthrough Tech Profits is your first Investing Daily publication, to log in the first time you will need to register with Investing Daily and create a password. Within two days of subscribing you should receive an from us with your new account number. If, for some reason, you don t have that information, please call our Customer Service Department during regular business hours. Once you have your account number and address ready, 1. Go to the Investing Daily My Account page, 2. Enter your Account Number 3. Enter the Last Name that you used as you purchased Breakthrough Tech Profits 4. Enter the Address that you used as you purchased Breakthrough Tech Profits 5. Create a Password, and then enter it a second time to be sure 6. Click the green Register New Account button 7. Proceed to the Breakthrough Tech Profits website. 8. To log in, enter your address and new password 9. Click the yellow Log In button. It s important that you use the address here that you used when you subscribed to Breakthrough Tech Profits. If, in the future, you want to change your address on record, see the Do-It-Yourself instructions in Section 4 or contact our Customer Service Department during regular business hours. Logging in After the First Time If you ever forget your password, you can retrieve it yourself using the Forgot your password? link on the website s home page. Simply enter your address in the address box and click the Forgot your password? link. Within a minute or so, you ll receive an with your password in your inbox. To maintain maximum security after using this process, we recommend that you proceed to change your password see Updating Your Account Information below. 8

9 If you continue to have trouble logging in, please contact Customer Service for help and a Quick- Access Link. Do you subscribe to other Investing Daily services beyond Breakthrough Tech Profits? If so, there s a quick way to jump from site to site. Once you re logged into the Breakthrough Tech Profits website, click on My Investing Daily in the black bar. A large drop-down menu will list all of the premium services in which you re actively enrolled. Click the name of any service to jump to that site. 4. Managing Your Account Updating Your Account Information: Do-It-Yourself If you need to update your postal address, address or password, please log into the Breakthrough Tech Profits website and then click on My Account in the top right of the website. Changing the Amount and Type of You Receive While logged into My Account, you can also choose Preferences. Checking and unchecking these boxes controls what kind of we send you. Please be sure that Issue Notifications, Trade Alerts and Flash Alerts is always checked, since unchecking that box means that you won t receive the critical trading Alerts. Updating Your Account Information: With a Customer Service Representative If you have any questions about your account or would like help in changing your account information, please contact our friendly Customer Service representatives. We are open Monday through Friday, from 8:30 a.m. until 6:00 p.m. ET. Our phone number is and our address is CustomerService@investingdaily.com. 9

10 Conclusion We hope that you have found this Member Guide helpful! As you begin your adventure with Breakthrough Tech Profits, we believe you will soon come to enjoy our member community almost as much as you enjoy the additional income. We truly believe in members helping members, and as you gain experience and insights, we all look forward to hearing about your progress and cheering you on. If you have any suggestions for improvement, please them directly to our Publisher, Phil Ash, at We take your comments very seriously, and we greatly appreciate your thoughts and ideas. Thank you! 10