All You Need to Know about Reaping the Rewards of Spinoffs
Your guide to “the closest thing to a sure things in investing”
Dear Canadian investor,
There are many ways that companies can unlock hidden value that will bring extra gains for investors. But there’s one that surpasses all others in its explosive potential to reward investors.
And yet this opportunity is often misunderstood. Many investors tend to treat these shares with little respect, or even dispose of them in a hurry.
That opportunity is a spinoff. This happens when a parent company creates a separate company out of a subsidiary. And companies do all they can to make sure that spinoffs succeed.
Often, the parent company starts by selling a portion of the new company to the public, to establish a market and a following among investors.
In our experience, and in most academic studies of the subject, this helps the parent and the spin-off. Both generally do better than comparable companies for at least several years after the spin-off takes place.
That’s why we can say without reservation that spinoffs are the closest thing you can find to a sure thing in investing.
And in this special report, you’ll find out…
…why so many spinoffs go on to outperform comparable stocks for several years
…and why the parent companies often do the same!
…why two big conditions that prompt a company to carry out a spinoff are two excellent reasons for you to buy it.
…why we have had great success with spinoffs and how this can work in your favour.
…how spinoffs can lead to even bigger windfalls when they attract takeover bids.
And we’ll also reveal how you can benefit from a rating system we have developed to alert you to potential takeovers from spinoffs.
These are rare but very profitable opportunities. We analyze the solid, underlying business reasons that will a company attractive to potential buyers. For instance, if the company has good management or industry experts that the new buyer can put to good use.
Don’t miss this inside advice: download our free report now and get the benefit of our years of experience and analysis these remarkable investment opportunities.
Your guide to “the closest thing to a sure things in investing”
Activist involvement: another key to unlocking big investment opportunities
In this special report we not only give you the inside story on spinoffs, we also highlight another special situation that can push up the value of a stock and lead to big gains for investors.
When activist investment firms buy large numbers of a company’s shares, they push for measures that will wring the biggest profits from the company’s assets and raise the value of the stock. They can often effect major changes in the company, and those changes are often the springboard to new growth from the companies.
We’ll show you just how it can work for you with a systems design company we recommended that also attracted the interest of an activist group. The share price jumped even further when the activist group moved in—and within months the company rewarded its shareholders with an enormous windfall.
We also tell you about one highly-advertised special situation that’s best to avoid
While the incentives with spinoffs work in your favour, it’s the opposite with another investment in which the incentives all work against you.
New stock issues usually come to market when it’s best for insiders to sell, and not necessarily best for you to buy. The underwriting brokerage firms do everything they can to make these investments sound as attractive as they can.
We explain why this relentless promotion actually works against you if you decide to get in on a new issue. And why you’re not really getting in on the ground floor in the first place.
We give you specific advice on how to approach new issues when they first appear and when—if ever—they may be attractive to buy.
Your guide to “the closest thing to a sure things in investing”
And you see some of our top spinoff recommendations
In this special report, we also give you the details on a group of our most recent spinoff recommendations.
We followed these companies for our subscriber well before they decided to carry out their spinoffs. In each of the companies, we saw assets that had yet to be fully unlocked. When they split themselves into separate companies, they began to bring out the full value of those assets. But we believe there are still gains ahead for investors.
Plus we have a bonus for readers of our special report—an ETF with a special connection to spinoffs.
In this report, you’ll learn how to take a well-informed approach to these remarkable opportunities for profit. You will see why spinoffs have the potential to produce outsize rewards for investors—and why they do so time after time. When you download this report you’ll see why we say they’re ‘the closest thing you can find to a sure thing in investing.’
When you download Spinoff Stock Investigator for FREE, you get clear, easy-to-follow advice on how to understand and profit from one of the most potentially rewarding (but often misunderstood) opportunities for investors.
You’ll discover the guidelines and specific approaches that will help you uncover the special rewards of spinoffs.
In addition to this free report, you also have the opportunity to get free delivery of our TSI Wealth Daily newsletter. You will receive daily stock reports with our recommendations, investment tips and answers to investment questions.
We invite you to download this exceptional free report right away. We are sure you will enjoy it and profit from it.
Your guide to “the closest thing to a sure things in investing”
About Pat McKeough
With four decades of experience as an investment advisor, Pat McKeough is the editor and publisher of five newsletters: The Successful Investor, his flagship advisory on Canadian stocks, the Canadian Wealth Advisor for safety-conscious investing, Power Growth Investor for investors seeking stocks that can double, triple or even quadruple in value, Wall Street Stock Forecaster for the best U.S. stocks for Canadian investors and TSI Dividend Advisor, with his proprietary Dividend Sustainability Ratings®. He also has an exclusive service for investors seeking greater personal attention and interactive advice with their investments, Pat McKeough’s Inner Circle.
Pat is also the founder and president of Successful Investor Wealth Management, which provides personal portfolio management to a group of private investors.
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