Larry’s Note: Before you turn to today’s essay, I recorded a brief video message I’d like to share with all my readers. Click the image below to watch…
Times are volatile…
Last year, markets were soaring… And very few people realized they were about to hit their peak in short order.
I was one of the few who saw the house of cards about to tip over. In January, I told my readers…
Violent reversals will be an ongoing theme pretty much all year… Volatility is here to stay.
I also reported…
2022 will be a tough year for the broad market with the Nasdaq underperforming all indexes. I believe all indexes will be negative for the year… Headlines will be dominated by inflation issues coupled with raising rates.
I don’t have a crystal ball… but this isn’t the first bumpy market I’ve lived through.
I worked on Wall Street for over 35 years… and during the 2008 financial crisis, I was managing institutional money at my hedge fund, Banyan Capital.
Even during that upheaval, I managed to make as much as $95 million for my clients.
At the height of crisis, when Lehman went under and the Fed introduced the big bailouts… investors who had been around this game for a while knew one thing…
The market would eventually come back, but it would hit many bumps in the road along the way.
And during that time, we were on the prowl for products that offered us guaranteed income while limiting our downside.
That might resonate with people today as well…
Safe Returns
Today, despite the different circumstances, many people are facing similar dilemmas to the ones from 2008…
Namely, where to find safe returns on their cash.
Just as I predicted, 2022 has been a year of whipsaws in the market. Timing the eventual rebound in an environment like this is close to impossible.
The S&P 500, Nasdaq, and Dow Jones have each tumbled into bear market territory… but not without their handful of rallies to punish the people shorting the market too.
And with markets down 20% or more, many investors and traders have been hunting for other places to park cash and earn some yield.
Of course, a lot of people flock toward dividends at times like these.
But with inflation around 8%, dividends need to pay more than that for there to be any real return. And bigger returns often come with higher risk…
Plus, if the dividend stocks fall, what little you get from dividends can be quickly eaten up… and turn into losses.
CDs are another option, of course… but with a paltry return barely above 1% at present, they’re hardly attractive right now.
The yield on 10-year Treasury bills is better – a little under 4% as of writing. But once again… that barely makes a dent in the inflation number.
All these conventional income solutions don’t come close to hitting the inflation-hurdle rate. So where do I recommend looking for better returns?
Free Trading Resources
Have you checked out Larry’s free trading resources on his website? It contains a full trading glossary to help kickstart your trading career – at zero cost to you. Just click here to check it out.
The Best Place Right Now
I want to introduce you to the perfect strategy for the times we’re in… a strategy that I’ve used as a go-to for real income-generation.
In fact, I’m still holding and cashing in on an investment I made using this strategy during the last crisis.
But most people don’t hear about these little-known opportunities Wall Street takes advantage of.
They’re too complicated… They live behind a thick paywall… Wall Street restricts access to the uberwealthy… Or they just don’t make exciting headlines like crypto or tech stocks.
But that means most people are missing out…
As I mentioned, I’ve used one kind of investment instrument to “boost” the yields in my own accounts for years. It’s not a stock, bond, or even options strategy.
Instead, it takes the best parts of each of these.
Even better, it offers a great balance between risk and return while generating income from high interest payments.
Right now, this investment instrument can create 750% more yield than your typical savings account.
And you can get these greater yields with less risk than you’d find elsewhere because they have built-in downside protection. That’s really the beauty of this instrument.
So, if you know how to find the best of these deals, you’ll be leagues ahead of everybody else.
That’s why I’d like to invite you to tune into my 750% Boost event on Wednesday, December 7 at 8 p.m. ET.
There, I’ll break down exactly how these products generate better yields than CDs, Treasurys, “high-yield” savings accounts, or even dividend stocks.
They offer an income stream many times higher than what these investments provide.
And I’ll show how you can start recovering from the brutal market this year… and beat inflation too using this strategy – as well as a few other little-known tactics I learned during my time on Wall Street.
To automatically sign up to attend for free, simply go right here.
I hope to see you on December 7.
Regards,
Larry Benedict
Editor, Trading With Larry Benedict
Reader Mailbag
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