2014 - Themes Shaping My Investments (pt 1)

I want to capture the themes that I believe are shaping the world in 2014 and for the foreseeable future.  Game changing events shape people first, then entrepreneurs react, and finally investment dollars follow.  This is important for many people to remember in my opinion when looking back and asking why is the world changing right before my eyes and how can I participate. I've heard the phrase when life gives you lemonade...and changed it to when you and the world are buying or using a quality product think about investing in it.  I have a good friend that constantly talks to me about Whatsapp and if anyone close to me knows Apps are not my thing but I find out they were bragging about what would be a 19 Billion Dollar company I was just being introduced to.

Theme 1: E-Commerce

I write about this theme often and the verdict is in, many people prefer the comfort of buying things online. I know I do and a number of entrepreneurs have responded to become mega online retailers for everything imaginable.  Continue to think about the ways our buying patterns change on the Internet and take advantage of the companies that will capitalize on it first OR do it better. This will be a combination of new and old companies changing the way we shop. Remember last year, there was a reason why so many packages were delayed during the Christmas holiday by UPS and that theme is the comfort of buying things online.

- Amazon, Ebay (Paypal), Yahoo, Google, Walmart, Home Depot, UPS, Fedex

Theme 2: Mobile /APPS

The mobile wars are heating up. Finally, most of the world is warming up to a concept I've been using for quite a while: "No Debt/No Contract".  The mobile companies have used contracts to their advantage for quite some time and this has led many people to enter into never ending contracts that change usually on the companies terms. My philosophy is don't sign it until to read it. If you don't like what you read...call the company and see if you can change the terms...or don't sign it. I buy my phones myself and never enter into a contract. Many people have not paid attention to the fine print so AT&T, Verizon, and Sprint have dominated the US market. The public is tired of this model and now enters T-Mobile and their "no contract" and "cheaper packages".  And now the big companies like AT&T must follow suit with lower prices or lose customers.

Then enter the world of Apps...I can't explain the love affair for all things FLAPPY but Apps are the favorite hobby of the world.  I personally don't use very many apps but I can't deny their staying power. 

- Verizon, AT&T, Sprint, T-Mobile, Apple, Samsung, HTC, Nokia, Blackberry, Facebook, Whatsapp, Snapchat, Zynga, Candy Crush

...the remaining themes are to be continued

Is Your Portfolio Up...

Dow Above 13,000 / NASDAQ 3,000
The Dow Jones Industrial Average is an index that is made of 30 stocks which are a general representation of US economy.  The index consists of companies like McDonalds, Wal-Mart, Home Depot, Bank of America, and Procter & Gamble.  The Dow being above 13K is significant because some consumers like you and me are feeling a little bit better as we watch our collective investment wallets head in the right direction.  If you are invested in the markets through a personal account, 401K, IRA or some other investment vehicle chances are they are all doing better.  To put this in perspective the last time the Dow was at this level was in May 2008.  Or this may help, when things were really bad a few years ago the Dow was at 6,547 on March 9, 2009.  That was four years ago the stock market was where it is today, so we've come along way.  I almost forgot the NASDAQ, which is an index tracking primarily technology stocks.  The NASDAQ briefly hit 3,000 a level it hadn't seen in about 12 years!!

URB Investment Tips: My take away is that this is proof as why you usually want to stay invested in the markets and to not be scared away by the big swings.  I also want to mention that this is a good time to cash in a few of your BIG winners.  In short, I've been impressed by the momentum of jobs and have enjoyed this ride up in the stock market. I will be watching closely because I think we've come along way and worked hard to get here and I think the market may take a deep breathe and pull back (i.e., decline in price) a few months from now.

Here are a few themes from my latest quarterly stock picks:

~ Beaten down stocks
~ Pharmaceutical stocks
~ Gold Miners stocks

Stay tuned, they'll be released shortly.