IES Day 3: Strategies for a Bear Market

Alright – we’ve got one last day of the Irrational Economic Summit inside the stunning Fairmont Hotel Vancouver! The first two days have been outstanding. And this last day promises nothing less. Today, we get to hear from David Stockman! He’s going to talk about why the 25-year global bubble is over and done. I’ll share some of what he says with you this afternoon, but for now, let me just run through some of the highlights from yesterday afternoon…

Funny-man Barry Potekin hopped on stage after our lunch break to the enjoyment of everyone in the room. I saw two guys in the back cracking up at every other thing the man said.

I don’t want to get too detailed here as I plan on stepping in on his workshop later today, but his message was simple: being diversified is the best way to ride out the coming financial storm. “I’ve made a lot of mistakes in my career,” he said. “But I’ve never made the mistake of having all my eggs in one basket.”

Speaking on behalf of the RBM Group, Barry’s firm deals in the business of individually-managed futures – which, as he says, have the potential to do well in both up and down markets. Like I said, I’ll add more after I crash his workshop later!

After Barry, John Del Vecchio took the stage to offer another strategy that’s fresh off the burner. Speaking with John later at dinner, he told me: “Chris, we are already in a bear market.” There are no ifs-ands-or-buts about it.

Fortunately for John, that’s when the getting gets good! When companies are down, his plays are up. That’s because he makes money off the likelihood that these businesses won’t do as well as their financial statements might make you think!

John’s been short selling since 2000. In this global environment of loosy-goosy financial tomfoolery, he says there’s probably only about five guys like him who trade this way – an exaggeration, clearly, but the point remains that this is a strategy largely untouched, and we all got to hear from arguably the best guy who does it.

He’s the manager of two ETFs that trade on the NYSE and Nasdaq. He’s in the thick of it, so he’s always thinking of new companies to short. Last year at our conference, he recommended three potential companies to bet against. A year later, each of those companies were negative – one of them as much as 68%. That just goes to show John knows what he’s doing. We’ll have to wait to see if the shorts he suggested this year hold true to form, but, from his track record, I have no doubts they will.

This was another great talk from one of Dent Research’s own (John is the editor of our newly launched Forensic Investor). John really knows what he’s talking about, and you can hear all the details on his recommendations for profiting during this bear market in our IES 2015 On-Demand Recordings.

This has been a great audience this year. I’ve heard so many different accents and so many testimonials on what Harry has done for these guys over the years. I don’t know if it’s something in Canada’s water, but everyone is almost too nice.

Look out for my next email. I’ve heard great things about the talk David Stockman gave at IES 2014 (in fact, I believe he received a standing ovation!), and he’s on the cards to talk at 10:10 a.m. PST today. We’ll also hear from Ben Benoy on social media analytics, and Don Hosmer, President of Royale Energy. I’ll send the details to you soon.

Until later, reporting to you live from IES 2015, Vancouver…

chris

Chris

Harry Dent’s Most Disturbing Prediction in Years

Harry Dent, one of the most respected economists in the industry, has uncovered a disturbing market event that could soon devastate millions of investors. In short, he has undeniable proof that one of the market’s safest and most popular investments is about to get slaughtered… and it will have dire consequences for those who don’t prepare right away.

For full details on the event Harry’s dubbed as the “Safe-Asset Slaughter”… and to ensure you escape the coming carnage, I urge you to watch this special presentation.

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Categories: Economy

About Author

As the managing editor for Economy & Markets, Chris works directly with Harry Dent, Rodney Johnson, and the rest of the Dent Research team to bring you their economic analysis and market insight six days a week. Prior to working for Dent Research, Chris was an English teacher in Baltimore City.