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Monday, March 9, 2009

EQUITY MASTER RESEARCH

If I told you that you could make 236% returns in the next 2-3 years... investing in stocks of companies that people say are about to go bankrupt...would you believe me?
Probably not!


But it has happened before -- companies that were thought to be 'finished' have made a miraculous turnaround and generated profits for investors in just a couple of years -- and it can definitely happen again.

In fact, we're literally in the middle of something similar now. If you act fast, you could benefit immensely from the opportunity.

Listen, I understand you might be feeling skeptical about investing in stocks at this time. After all, people have lost millions in the stock market in the recent months.

But I'm certain that if you heed my advice and cash in on this opportunity, two to three years down the line you will thank me for it.

To show you how utterly profitable this opportunity could be, let me take you six years into the past when a similar scenario last appeared...

Rewind to 2002...

It was the year 2002. The markets were gradually recovering from the lows reached after the 9/11 U.S. attacks.


Everything seemed to be limping back to normal...until...

In the March of 2002, the markets across the globe started sliding. This fall continued and dramatic declines were observed in July and September leading to lows last observed in 1997 and 1998.

The Indian economy also wasn't spared.

Some of the problems already prevalent in India during this time were:

Growth in agriculture was way below expectations
The industrial sector was reeling under the impact of the severe slowdown in demand
The economy was stuck in a low growth trajectory for five years in a row.

Unemployment was growing rapidly
Government finances were in a bad shape
Imports had declined and export growth decelerated sharply
The result of the combined effect of global and domestic problems was that...
Even Large, Well-Managed Companies Were Severely Hit


Yes! Even large, well-managed companies in India couldn't escape unscathed. Reduction in global economic activity was taking its toll on these companies also.

For some of these companies, everybody thought it was 'game over'. People said they would go bankrupt tomorrow.

But no! These companies...not only did they do a complete reversal, they also made HUGE profits for investors who had daringly invested in them.

Let me tell you about just two such companies now...

The first company was Tata Steel

The global economic downturn had resulted in a sharp reduction in demand for steel. Add to that the stiff competition in the domestic and international markets and steel prices hit rock bottom in 2001/2002.

The fact that Tata Steel had a lot of high cost debt on its books did not help. And then there was the matter of high employee costs.

The company's profits crashed threatening its very existence. It was almost certain that the company would not recover.

But Tata Steel did make a dramatic turnaround...just as we had anticipated.

And those who purchased shares of Tata Steel at that time earned huge returns from it in the next five years.

Take a look at its performance since then to its all time high...

The second company was Thermax

Thermax was in deep trouble at the start of this decade. There was an overall economic slump in India. The company was not able to get adequate funding for its domestic expansion projects. To make matters worse, its exports performance was not enthusing as well.

And the net result - the company was making losses at the operating level.

This is when everyone thought Thermax was not going to survive the downturn.

But it did, as we had believed at the time of our recommendation in December 2002! Thermax has since posted strong performances year after year.

And naturally, those who invested in this company at the time of our recommendation would have made a lot of money on it.

Here's how it has performed since we recommended it to our subscribers in 2002 till its peak in 2007...

And these are just two companies which have made dramatic turnarounds.

The important thing for you obviously is to buy these companies when they're available at bargain prices...so that you can profit from them when they grow rapidly in a few years.

Now the most important question...

Which Indian CompaniesShould You Buy?


As you know, India has been experiencing a prolonged bear market for the past few months due to the global financial crisis.

Stocks that would normally be 2, 5 or even 10 times more expensive are now selling for a fraction of that price.

This should actually be a bad thing. But for people like you and me, it is a blessing in disguise.
Why?


Here are three characteristics of blue-chip companies which you must know -

They are well-managed and have consistently performed across business cycles
They have the resources to not only weather the downturn, but to emerge stronger from it
Long-terms prospects are outstanding


Moreover, great companies always recover when the storm passes. So if you buy these stocks now, you could easily
make attractive returns in the next 2-3 years.


By subscribing to StockSelect, you can be sure that whenever there's a profitable Large Cap stock opportunity arising somewhere, we will notify you of it right away.

But we have to tell you that StockSelect is NOT for everyone. For instance, if you want to make 256% returns in a week, StockSelect is definitely not for you.

An ideal StockSelect subscriber is one who is willing to put his money away in a company for a couple of years and wait for the rewards.