Ask the Adviser: Bob Fitzwilson

I would have to say that social media would be at the top of the list.  That does not mean that it is the best area in which to invest nor should all social media stocks be rejected.  Sometimes you can find a real jewel being trashed along with the rest of the companies in the sector.From an action-taking standpoint, you want to find something that has a great long-term outlook that is being thrown away.  That is not the same as universally despised.

LNKD, with a PE of 830… does not fit my definition of a most hated asset… you are playing to a very tough crowd here, sorry.  FB may be diving… but their problem is one of showing some ability to really monetize the business model… at least LNKD has some corp. job search traction.  FB PE ratio remains at 65… not yet hated enough for me to be interested.  How about some AMZN, with a PE of 293???  I post these numbers because to me, PE ratio is a direct link to how "hated" an asset class is… do you disagree with this view?        
Oliveoil… thanks for the comments on miners… the asset class with the PE ratios in the range of 10… not 830.  The difference in dividend yield you sight is one of forward looking, vs. trailing dividend rate.  Note:  GG is one of my biggest single holdings right now… and your point about the need to diversify geographically/geopolitically (with respect to GFI) is a very good one… the video of the South African police/military gunning so down the "machete" armed striking Pt miners is just disgusting.  Slaughter is a word that comes to mind.    

Because the two things we need the most that will wind up costing us the most with what is coming, food and fuel, are perishable.

Can anyone tell me the name and availability of the book Crash course (the latest) in Spanish?  I need a copy for my wife and others.  Thanks

 While food and fuel are indeed perishable, the means to produce them i.e. farmland or oil weels are not. While most can't actually buy an oil well, buying a farm, even a small one is within reach of just about anyone who is determined. A farm that produces food can help insulate one from what Bernanke has wrought. Heck, with the right setup one may even be able to produce fuel; just ask Ready.

Obviously Bob FitzWilson is a very experienced & knowledgeable financial advisor.  The first  podcast seemed to focus on Bob's background & general investing philosophy rather than answering specific questions.  I am looking forward to his next podcast where my preference would be for a more question and answer format where our specific investment concerns are addressed.  I consider his podcasts to be a very valuable addition to this site especially given the huge disconnect between mainstream investment advice and the reality of the current financial environment.   

Port-fool-you. Sorry, for making up words but I have to laugh about these things or I might start crying and end up a puddle of water on the floor.
I want to tell a story about my "backyard". There is a copper mine going in. It's big, really BIG. It will cover ten square kilometres and employ 1000 men for the build-up and 300 men permenently. It's going to be great for my business because I am in the last industrial park before the mine. I will be rewarded richly for just being "lucky" with my location.

But the mine will contaminate the little water on the Knutsford plateau. One of the biggest ranches in Canada, Sugarloaf Ranch, has been bought out by the copper mine so they could have the surface rights too. The ranch I use for my lamb and cattle meat, Jocko Creek Ranch, will be under a tailings pile. A lake I drive by will be gone. Some people say that's okay because its just a alkaline swamp anyway. When society needs copper despoiling an area is a price worth paying. All I hear about the mine is all the "great" jobs that will come from this project but I hear little about how the environment will be charged.

The big disconnect I see it that people don't seem to wonder why they get paid such great wages or why their port-fool-you increases. Do they not realize that there is money in "raping and pillaging" the environment? And what about the health of the people down stream from the mine. Do we think about their longterm health? No. We are just looking for a nice fat return on our port-fool-you, thinking that this will be a great thing. Have you done any meaningful work for the dividend or increase in your stock port-fool-you? Think about it. Are you adding to the problems of the world or solved the problems of the world with your investment strategy? Or are you just trying to save your own butt? Looking for a "big fat return" on your money is just bring the cliff closer for us all.

Get a small piece of land. Grow your own food. Live in a very small house. Make your own energy. Learn the meaning of "enough". Stop supporting the "people" and "organizations of people" that are raping and pillaging the planet. These actions are enough to change the world.


 Get a small piece of land. Grow your own food. Live in a very small house. Make your own energy. Learn the meaning of "enough". Stop supporting the "people" and "organizations of people" that are raping and pillaging the planet. These actions are enough to change the world.
That really says it all. 
Makes me realize I need to look at my investments and make sure they are in responsible places.

Here is the full Port-fool-you. I hope you enjoy it. The most effective tool against oppression and slavery is an awake mind: