Exposed: The Great Retirement
Crisis of 2017
- The simple mistake that will turn millions of investors’ “golden years” into years of penny-pinching misery.
- How to protect your portfolio from the looming retirement disaster, and …
- … 3 stocks poised to triple their dividends in the next few years—and skyrocket for gains of 200% or more!
Dear concerned American,
Feel like your retirement nest egg is under attack?
You’re not alone.
I know I don’t have to tell you that these are grim times for savers. A one-year CD yields a pathetic 1.25%. Ten-year Treasuries aren’t much better at just over 2%. These sad figures actually leave you with a loss after inflation.
Panicked investors have piled into “stable” companies like utilities and big-name real estate investment trusts, driving their valuations to frighteningly high levels—and sending their dividend yields crashing through the floor.
Just look at what’s happened to the payout on the biggest-name REIT of them all—Realty Income (O), a cornerstone of many retirees’ portfolios:
I hate what’s happening to hard-working Americans just trying to set aside a few bucks for a decent retirement.
So a little more than a year ago, I decided to do something about it.
I launched a small research service called Hidden Yields to help a small group of investors turn the tables on a system that’s undoubtedly stacked against them.
Zero in on the few remaining companies that deliver the two essential ingredients of a healthy retirement: fat gains to quickly build your nest egg … and safe dividend payouts to keep the bills paid once you clock out.
One year later, I’m happy to report we’re doing just that, and having a ball while we’re at it.
Today I’m going to let you in on 3 totally ignored companies our research team has just turned up. All three are poised to explode for 200% gains in the critical years ahead—and triple their dividend payouts along the way!
I’ll tell you more about these 3 incredible growth rockets in just a moment.
First, I want to tell you why owning stocks like these right now isn’t just an option—it’s vital if you want to safeguard your financial future.
Because the market is headed for a crippling slowdown unlike anything we’ve seen in our lifetimes.
Like the proverbial ripple that builds into a tidal wave, the effect will be so subtle at first that hardly anyone will notice. But over time, it will trigger a panic as more investors are forced to confront the grim prospect of outliving their nest eggs.
Wall Street’s Moment of Truth
An unassuming report landed in my inbox with little fanfare. What it contained was shocking—and the response from Wall Street and the financial press was predictable: crickets.
That’s because it spelled out, line by line, a crushing truth no one on Wall Street wants to face: the party’s over. Investment returns in the next 20 years will be much smaller than they have been in the last 30—or even the last 85.
It’s easy to understand why Wall Street would want to bury news like that. But when you consider the source—McKinsey & Co., a research firm that’s been a Wall Street cornerstone for nearly 100 years—there’s no way any right-thinking investor could.
McKinsey pours more than $50 million into research, year in and year out, and is one of America’s top business incubators. More Fortune 500 CEOs have come out of McKinsey than any other company, including titans like Google’s Sundar Pichai and Morgan Stanley’s James Gorman.
Here’s what McKinsey’s latest dispatch had to say: from 1928 to 2014, the S&P 500’s annual return, adjusted for inflation, has clocked in at around 7%. And in what McKinsey calls a “golden era” for stock market returns, 1985 to 2014, it rose even higher, to 7.9%.
Source: McKinsey & Co.
Remember, that period included three of the worst hits investors have ever taken: the biggest one-day decline in history in 1987; the dot-com debacle of 2000; and, of course, the 2008 financial crisis.
But the market still managed to return an average of 7.9% annually over that 29-year stretch.
So it’s no wonder pension managers and financial planners the world over bank on at least a 7% annualized return to keep their clients happy and their plans from going bust. Even Warren Buffett tosses the figure around from time to time.
But there’s a big problem.
According to McKinsey, that number is going to be a lot lower over the next 20 years—somewhere around 4%. If you’re lucky (or don’t mind taking heart-stopping risks with your nest egg), you might be able to push it up to 6%.
At that rate, a 30-year-old today would have to work seven years longer to have the same quality of retirement as their parents.
Why the bleak outlook? Because trends that have driven outsized stock returns in the past are fading fast—and some are even working against us.
Think back to the early 1980s: baby boomers were in their prime; the advent of the PC was lighting a fire under worker productivity; and interest rates were peering over the edge of a plunge set to last three decades.
Fast-forward to today, and the markets look like a salmon swimming upstream: the boomers are hanging it up, with 10,000 turning 65 every day; technology is just as likely to upend industries as boost their profits; and interest rates have bottomed out.
The Explosive Growth Stocks
This is a good time to introduce myself: my name is Brett Owens, and I’m an unabashed dividend investor.
Ever since my days at Cornell and all through my years as a startup founder in Silicon Valley, I’ve hunted down safe, stable, meaningful yields.
For the last 10 years, I’ve been investing my startup profits and finding 6%, 7%, even 8%+ dividends, with plenty of double-digit gains along the way.
Now, through Hidden Yields, I’m sharing these winners with a small group of investors to help them build a secure retirement … and go one step further.
The fact that you’re reading this tells me you’re probably on the hunt for yield so you can pull in a safe income stream to cover the bills in your golden years. But I’m guessing you probably don’t mind if your stocks double or triple, either.
Back in the so-called “golden era” of investing, stocks poised to explode for triple-digit gains had certain telltale signs that were easy to spot.
You’d look for companies with profits that grow faster than the industry average and price-to-earnings ratios lower than those of their competitors.
Take what I’d consider a textbook growth stock: a company growing earnings 15% annually with a price-to-earnings ratio of 15 or less. Since the “E” is growing at 15% a year, the P/E ratio will either decline toward 13 next year, or the stock price will rise in tandem with earnings.
Sounds like a no-brainer, right?
Problem is, right now there isn’t a single stock in the universe with a P/E below 15 and earnings growth above 15%, according to YCharts.
Worse, if McKinsey’s right, the odds of that number rising above zero in the next decade are … well, pretty much zero, too.
But don’t worry. You can still make money buying growth.
Let me explain.
Study after study has shown that stocks that regularly hike their dividends have delivered the biggest gains in stock market history.
According to Ned Davis Research, another well-respected Wall Street mainstay, dividend growers returned an average of 10.1% a year since 1987. That’s more than stocks that held their payouts steady and the non-dividend-paying techs and oil and gas firms investors usually look to for growth.
Source: Ned Davis Research
But just buying any old dividend grower won’t cut it. To reel in the biggest gains and keep your cash safe, you need fast-rising payouts locked in by surging cash flows, low payout ratios (or the percentage of earnings paid out as dividends) and rock-solid balance sheets.
Not only do these stocks regularly deliver eye-popping total returns, they give you a critical margin of safety because their streaking payouts draw in yield-starved investors, effectively putting a floor under the share price.
How a “Boring” Stock Soared 23%
in Just 3 Months
That’s exactly what happened with an under-the-radar real estate investment trust (REIT) called CoreSite Realty (COR), which skyrocketed 23% in 3 months after I recommended it to Hidden Yields subscribers in March 2016.
Don’t be surprised if you haven’t heard of CoreSite. It’s a mid-cap REIT that leases data centers to tech giants like Verizon and Microsoft. Business is booming, with funds from operations (FFO)—the REIT equivalent of earnings per share—shooting up 24% in the last three years.
In its latest quarter, CoreSite reported revenue and FFO-per-share growth of 17% and 22%, respectively, year-over-year. Finding this in any stock, especially a dividend-paying REIT, is mind-boggling.
Data centers are a great business to be in, and demand will only rise as more companies shift to cloud computing.
That means CoreSite can look forward to many more years of surging FFO that will translate directly into rising payouts to investors. In late 2015, the REIT increased its dividend by 26%, and just recently accelerated its payout again with a whopping 50% hike!
Unfortunately, the word out on CoreSite now, but even if you missed the boat on my original recommendation, it’s not too late to buy the three undervalued stocks below. All three are just starting out on the same kind of wild profit ride CoreSite just took investors on.
In fact, the first one is in an industry that’s growing even faster than data centers…
Growth Rocket #1:
The Backbone of E-Commerce
These days, more packages are showing up at our doorsteps than ever before, and online shopping is growing at a breakneck pace, jumping 15% in 2015 alone.
Despite that incredible growth, only 8% of all purchases are made over the web, so the trend still has lots of room to run.
But if you think Amazon.com is the best way to play it, you’d be wrong.
Fact is, Jeff Bezos’ company pays no dividend, and I can’t in good conscience recommend you buy a stock trading at 180 times earnings—no matter how good its prospects.
Instead, my top e-commerce pick is as boring as can be: it’s a REIT that buys warehouses, then leases them out to e-commerce companies and a wide range of other businesses. Its second-biggest customer runs six websites peddling everything from diapers to patio furniture.
Funds from operations have soared 199% in the last seven years, delivering investors a 283% total return since 2009.
How’d this dynamic outfit do it? “The old fashioned way,” as their veteran CEO puts it: driving occupancy rates from 88% to a superb 96.1% last year—then raising the rent as they leased out more space.
Its old-school “boots-on-the-ground” sales approach has worked beautifully. The REIT increased its FFO per share by 20% in 2015 over 2014, and it’s on pace to grow even faster in 2016, meaning the dividend will double every three or four years from its 3% yield today.
And of course, we’ll see big gains in the share price as FFO continues its relentless march higher.
This stock is an active recommendation for paying Hidden Yields subscribers, so it wouldn’t be fair for me to give out its name here, for all to see. That’s why I’ve put everything you need to know in a just-published special report.
I’ll show you how to get your copy FREE in just a couple more minutes. First, let me tell you about my other two picks, starting with…
Growth Rocket #2:
The Unsung Bank To Triple Your Money
My favorite bank stock is so far below the radar just one lonely analyst covers it.
That obscurity works in our favor. Because this 123-year-old Iowa-based lender yields a tidy 3% today, but I fully expect it to double its payout—at the very least—in the next six years. When that happens, you’ll be yielding a super-safe 6% on your initial investment!
Being the conservative sort that I am, I’m probably underestimating that figure. And dividend growth is just the start.
Plus I’m banking on 200% price gains as this smartly run outfit’s stock rises in tandem.
How do I know? Because that’s exactly what’s happened since 2010, when the bank’s scrappy CEO, backed by his 28 years of experience in the business, took the helm and went on to deliver 367% total returns, driven by 240% dividend growth!
This tough-as-nails industry vet is just getting warmed up: he’s teeing up a new market in Minnesota, which has the 10th-highest median household income in the nation and the fifth-lowest unemployment rate.
Our man knows the state inside and out, because it’s where he racked up most of his experience as a banking exec.
The bank’s loan quality is great, too. Non-performing assets (loans in jeopardy of default) as a percentage of overall assets were a microscopic 0.07% over the past 12 months—a tiny fraction of the industry average.
Here’s the kicker: over the last twelve months, the bank’s executives have jumped in big time, buying a collective 96,322 shares for their own personal accounts.
Insiders Load Up
At times like this, it pays to remember the words of Peter Lynch, one of history’s greatest investors: “Insiders might sell their shares for any number of reasons, but they buy them for only one: they think the price will rise.”
I think this bank’s canny execs are right—and now is your chance to profit right alongside them.
Growth Rocket #3:
The Dividend Doubler
My third pick makes no one’s list of attractive growth stocks. That’s because it’s in one of the most boring businesses there is: containerboard, which this off-the-radar company turns into packaging for everything from produce to in-store displays.
But that low profile is just fine by us. We’ll happily buy now and watch our initial 3% yield double in the next five years, nicely building on the 215% payout growth—and 293% total return—shareholders have seen in the last five.
Those gains are backstopped by this steady-Eddie’s rock-solid business, which gives it free cash flow (FCF) that rolls in like clockwork and is double what it pays out as dividends. That gives it plenty of room to keep those hikes coming.
Your timing couldn’t be better, either, because several powerful catalysts are coming together to send free cash flow arcing higher, taking the dividend payout—and the share price—right along with it.
For one, the containerboard industry is consolidating, letting my pick grab new customers and boost its prices at the same time. That’s putting a nice lift under its profit margins.
Now management is going on offense, putting its ironclad balance sheet to work to make savvy acquisitions. It recently snapped up a major competitor, effectively doubling its sales overnight.
This is one of the most intensely focused management teams I’ve ever seen, and it’s on the hunt for more deals. Led by their visionary CEO, an industry superstar with more than 20 years’ experience, they’ll no doubt bag another one soon, giving the shares even more upside.
But despite everything this stock has going for it, remains cheap, trading at just 15-times FCF today. That’s fine by management, however, as they’ve jumped on that cheap valuation to buy back shares.
This is giving us the proverbial icing on the cake: fewer shares outstanding, which boosts earnings per share and magnifies the company’s dividend hikes, because it has fewer shares on which to pay out.
The bottom-line case for this total-return machine is simple: a 3% dividend yield, plus 7% to 8% annual payout growth gives us 10%+ secure gains. Then we sit back and watch as cost savings, buybacks and internal and external growth send the company’s profits—and share price—soaring.
Your Roadmap to
Big Profits in 2017
With S&P 500 earnings—and dividend growth—slowing and the Federal Reserve likely to raise interest rates slowly, if at all, in 2017, it’s only a matter of time before investors start piling into these three undervalued winners. Which means the best time to buy is now.
That’s why my team and I have prepared an in-depth report on all three of these must-own companies. It’s called “The 3 Best Dividend Growth Stocks to Buy in 2017.”
We’ve gone further than ever before to put this unique report together, sifting through thousands of stocks from across the globe to zero in on our top three.
We then took a deep dive into each one, carefully analyzing quarterly reports going back years to secure and “safety check” each stock before giving it our final seal of approval.
We just recently clicked “save” on the final draft. Even then, I held it back, just to make sure every “i” was dotted and “t” was crossed.
Now we’re ready to start selling it to the general public, with a cover price of $99.
But you won’t have to pay anywhere near that. In fact, for a limited time, you can get this exclusive report free of charge—and before anyone else gets a look at these 3 undervalued gems.
Inside, you’ll find the ticker symbol, my buy-up-to price and in-depth backstory on each and every one of these 3 companies. You’ll understand the rationale behind where, why and how to profit.
It’s everything you need to know before you invest a single penny.
Now let me show you how to get your copy and…
Uncover These 3 Incredible
Growth Plays Today
As I just said, this in-depth report gives you my 3 favorite buys for triple-digit gains and yearly double-digit dividend hikes. But I want to make sure you don’t miss out on all the other new opportunities we uncover in the months ahead.
That’s why I’m making “The 3 Best Dividend Growth Stocks to Buy in 2017” available to you absolutely free with a risk-free 60-day trial to Hidden Yields.
My Hidden Yields picks are perfect for savvy investors looking to grab some spectacular gains as everyone else gets dragged under by the grinding slowdown McKinsey and others see coming.
These little-known growth plays also give you huge yields on your initial investment down the road, thanks to their soaring dividend payouts.
I’m talking about safe yields of 12% and gains of 200%, 300% and more in 6 years or less!
Sure, you could buy a stock with a 12% yield now but you could be taking a big risk, because payouts like those often come from dangerous stocks like mortgage REITs or business development companies (BDCs).
Don’t be seduced by their high yields when there are better businesses to own, like the 3 picks in my new special report.
These companies yield around 3% now, but when you hold them for a few years, the yield on your initial buy-in soars while their current yields stay about the same as more investors buy the stock.
That tidal wave of new buyers pushes the share price higher, increasing the value of your investment by the same amount.
The result? In 6 years or less, you’ll be looking at an income stream that’s quadrupled in size and triple-digit share-price gains, to boot!
Your Safety Is My No. 1 Concern
Most companies growing their payouts fast enough to drive gains like that are smaller businesses with little analyst coverage, so they’re tough for everyday investors to spot.
But when you sample Hidden Yields, you’ll get instant access to the 14 under-the-radar picks in the publication’s portfolio—the vast majority of which are hiking their payouts at double-digit rates—and the new buys my staff and I turn up month in and month out.
I do all the digging for you, recommending only the safest dividend growers and keeping you well clear of companies funding their payouts with borrowed money—or worse, betting the farm on shaky business models that will crumble at the first hint of a downturn.
We send out new recommendations the instant they become worthy of your investment dollars, plus regular updates on our earlier recommendations, all in plain, everyday English.
And of course, you’ll also get my latest special report, “The 3 Best Dividend Growth Stocks to Buy in 2017,” absolutely free.
Here’s what else you get with your no-risk trial:
- Monthly Research Bulletins: On the third Friday of each month, you’ll receive my latest investment analysis right in your inbox. I’ll include detailed analysis on new recommendations, updates on existing positions and an overview of trends and events that may affect your portfolio.
- Members-Only Portfolio: All of our recommendations are laid out in an easy-to-read portfolio that includes exact buy/sell recommendations and buy-under prices.
- Weekly Market Analysis: Sent straight from my desk to your inbox, you’ll get my weekly investing ideas on stocks I’ve been watching and analysis of major market events.
- Flash Alerts: You’ll never have to worry about missing out on breaking news on our portfolio stocks. I’ll have an eye on all of them 24/7 and will email you right away if there’s ever any change in our position.
- Unlimited Access to the Members-Only Website: Day or night, you can log into our password-protected website, where you’ll find easy access to all of our resources, including the archives, with each monthly issue, special reports, Flash Alerts and the full portfolio.
If you’ve read this far, I’m guessing you think our proven dividend-growth investing approach may be a good fit for you.
But I also understand that you may still be hesitant to try a new service, and I want you to be certain this is worth your time, so there’s one more thing I’d like to add…
Free Bonus #2:
High Tech “Pick & Shovel” Payouts
for 15-20%+ Annual Gains
Few technology stocks pay dividends when they’re growing quickly. But that’s no reason for income-focused investors miss out on the sector’s unstoppable growth.
During the gold rush of the 1840s, hordes flocked to California with hopes of striking it rich. But those who made the real money were the entrepreneurs who sold the “picks and shovels” to the hapless speculators.
In this report, we take a page from the same playbook and reveal two rock-solid dividend growers behind the biggest tech names on the planet.
One has over 900 long-term contracts in place with clients like Microsoft, Cisco, IBM and HP. The company has quadrupled its payout over the last 6 years, sending share prices up by more than 400%.
Our other tech play manufactures a must-have component used on 4.5 billion devices – smartphones, tablets and computers – around the world. Its raised its dividend by 80% over the last 5 years while buying back an incredible 37% of shares outstanding.
This one-of-a-kind report normally sells for $99, but you get it FREE with your no-obligation 60-day Charter Membership to Hidden Yields.
Plus there’s one more thing I’d like to include…
Free Bonus #3:
Shareholder Yield: How to Identify
Double-Digit Returns From Buybacks
Done right, share buybacks can light a fire under stock returns. They also act like a magnifying glass on dividend payments because they cut the number of shares outstanding, leaving fewer for the company to pay out on.
But many companies are going too far: paying out more in buybacks than they’re bringing in through free cash flow.
Worse, many buy back their stock willy-nilly, without making sure it’s a good value first. There’s no better way to destroy shareholder value than by repurchasing overpriced stock.
This report gives you everything you need to know to make sure the companies you invest in are buying back shares the right way—not simply burning up cash that would be better used as dividends or to develop revolutionary new products.
And these 3 FREE reports aren’t all. You’re also always protected by…
My Ironclad 100% Money-Back Guarantee
As I said earlier, I’m so confident you’ll profit from my research that I’m going to give you 60 days to try Hidden Yields absolutely risk-free.
Simply click here to start your Charter Membership today. Download your special reports, read the latest issue and start tracking a few winners in the portfolio.
Then sit back and enjoy the next couple issues of Hidden Yields, my weekly column and all the other benefits of your full Charter Membership.
If after nearly two months you don’t feel the advice has more than covered your cost, or if it’s just not right for you, simply let me know and I’ll issue a full refund of your membership fee. That’s 100% of your money back, no questions asked.
Plus you’re welcome to keep the free special reports as my thanks for trying it out.
Now I have to tell you something here … Normally, new members pay $299 a year for Hidden Yields but with this exclusive offer, you’ll only pay a fraction of that—just 33%, in fact.
That’s right. You’ll get one full year Hidden Yields (including the first 60 days to “road test” the service, as well as all the special reports mentioned above) for 67% off the regular price: just $99!
But this offer won’t last long.
My publisher was, shall we say, less than excited about me handing out a $200 discount on Hidden Yields, plus the 3 special reports, which carry a total value of $297… for free.
The only way he’d go for it was if we capped our enrollment under this special price at 250 new members.
I don’t want you to miss out, which is why I’m urging you to start your no-obligation road test right now … while this is in front of you.
To recap,you get a full Charter Membership, with access to all of our premium research and portfolio recommendations, for 67% off the regular price. Plus you’ll also receive 3 free research reports (a $297 value), weekly email updates and alerts, and a full 60 days to decide if you like the service.
And it’s all completely risk-free.
I don’t see how you can lose here, as I’m the one taking all the risk. All you have to do is click the button below to get started right now.
In the coming months, many investors will still be on the sidelines, fearing the the next Chinese stock market meltdown or what will happen under President Trump.
Meantime, our Hidden Yields picks will have the wind at their backs and be well on their way to doubling their dividend payouts. Don’t be left behind. Start your no-risk trial now.
Yours in profits,
Chief Investment Strategist
P.S. As soon as you join Hidden Yields, you’ll have immediate access to your 3 special reports and your first issue. The 3 reports alone are worth $297, but they’re yours free as a new Hidden Yields member.
P.P.S. The clock is ticking! Thousands of other investors are reading this invitation right now, too, and I expect our 250 available seats to fill up in a few hours … or a couple days at the most.
You can’t afford to hold off on this one. Simply click on the button below. You have no risk and no obligation whatsoever.