Welcome to this week’s mailbag edition of The Daily Cut.
This is where we feature questions your fellow readers have… and responses from our analysts… about the profit themes we track.
Before we jump in today, I (Chris Lowe) want to thank folks who showed up for Jeff Brown’s Pre-IPO Code Event on Wednesday.
As Jeff has been hammering on since he joined Legacy Research in 2015, we’re living in an age of exponential technological development.
Think 5G wireless technology, artificial intelligence, machine learning, cloud-based software solutions, self-driving cars, and what Jeff calls the “God Key” – genetic editing.
Jeff has given his readers the chance to make outsized gains on these tech trends by investing in stocks after they go public with IPOs, or initial public offerings.
Now, he’s rolling out a new strategy that will allow a select group of readers to build a portfolio of pre-IPO shares in the hottest private tech companies on the planet.
This is a great way to amp your returns, because pre-IPO shares are available at much cheaper prices than are available after shares go public and list on a stock exchange.
Take Palantir Technologies (PLTR). It develops software for corporations and the U.S. intelligence community. If you had bought its stock on its IPO day, you’d be up 180% now. But if you had gotten in before IPO day, your return would be 1,677%.
Or C3.ai (AI). It’s an enterprise artificial intelligence software company. If you had bought its stock on its IPO day, you’d be up 46% now. But had you gotten in prior to IPO day, your return would be as high as 3,000%.
Until recently, you needed either a boatload of cash… or the right connections… to access pre-IPO shares. The best part about Jeff’s strategy is it allows him and his readers to level the playing field with elite Wall Street and Silicon Valley investors.
Don’t worry if you couldn’t clear time in your schedule on Wednesday night. Jeff is making the replay of his event available to all Cut readers for a few days at no cost. Just go here to view the presentation.
Next up, one of Jeff’s readers asks him about how to access pre-IPO deals internationally.
Reader question: Which category of pre-IPO deals is open to investors outside the U.S.? Everything I have seen so far has been for U.S. citizens only – which puts me off investing in further pre-IPO recommendations.
– Sue F.
Jeff’s response: Hi, Sue. Thanks for sending in this question.
Wall Street has a stranglehold on the IPO market. This prevents regular investors from getting shares of companies before they go public – when the truly life-changing gains are possible.
I’ve been involved in private investments for two decades now. It drives me crazy that normal investors have been locked out of this space.
Of course, the insiders claim pre-IPO investments are “too risky” for most investors. They pretend they have the investing public’s best interests at heart.
Nothing could be further from the truth.
These guys have profited for over a decade now by reserving shares in the hottest companies in the world for themselves. They milk all the gains they can while a company is private. Then they dump their overvalued shares on an unsuspecting public market.
It’s borderline criminal. Except it’s 100% legal.
I’ve spent years now looking for a way to break the insiders’ monopoly. And I’ve finally found it.
In fact, I’ve spent hundreds of hours over the last year building out a new advisory service all about this opportunity. It will help normal investors gain access to pre-IPO shares in some of the most exciting private companies on the planet.
This new service will allow us to invest in some of the best tech and biotech companies in the world before their IPOs.
You don’t need to be an accredited investor or have a certain net worth to profit. There are no minimum investments required. And there are no crippling restrictions to contend with.
I don’t know your particular situation. And our publishing policy prevents me from giving personalized advice. But I’m happy to talk about what I know in general about access to these deals.
As long as someone looking to participate has a brokerage account that allows them to buy U.S. stocks, they should be able to buy shares in these pre-IPO companies I’m talking about. It doesn’t matter what country you’re from.
I’m also excited to say I won’t be limiting my recommendations to only tech and biotech companies in my new advisory. I’ll venture into other high-growth sectors as well.
This is something I’ve planned to do for quite some time now. I finally have the team and the resources behind me to make it happen.
You can find more details about how it all works in the free replay of the event I hosted on Wednesday.
Switching gears, in Monday’s edition of his free daily e-letter, The Bleeding Edge, Jeff had Big Tech firms in his crosshairs.
He was troubled by the news that Twitter (TWTR), Facebook (FB), Apple (AAPL), Google (GOOG), and other large tech companies purged President Trump and groups supporting him from their platforms.
As Jeff explained it to his readers…
To be clear, this issue is not about one individual. It is about the fundamental rights of every American irrespective of their race, gender, ideology, religion, or political affiliation.
They crossed the line, and they stole a fundamental right of all Americans. […]
Our strength is in our diversity of thought and the diversity of our backgrounds. It is what has made the U.S. the largest and most successful economy in history.
And this diversity of thought is being undermined by an oligopoly of tech “elites.”
For those of us wondering how this will end – sadly… not well.
It’s a topic I tackled in Monday’s Daily Cut. Judging by the feedback we got, it’s a topic close to your fellow readers’ hearts…
Are the tech billionaires of today any different from the networks of 50 years ago? Or the newspaper barons 50 years before them? In feudal times, it was the church.
The people who control the media control the message. What’s so surprising about that? Nothing has changed apart from the means of delivery.
– Peter W.
I applaud your moxie to resist censorship. We need platforms from which we can share our views, without fear of restriction and retribution. But like everything in life, there are real limits.
Case in point: Google refuses to purge from its platform the videotaped murder of two young people. The families have begged Google to stop profiting from allowing viewers worldwide to see this heinous act. Google refuses.
Google’s unwillingness to exercise good stewardship of its online platform is inviting the government to do so. If and when that happens, then your fear of government censorship will become ever more real.
– Jim R.
President Trump is to blame. I don’t think any of us have the right to encourage harm to others, on any medium. Especially not the president of the United States, his personal attorney, and his son – particularly when the cause is based on a lie.
– Bill W.
“Free” speech has never really been free. You cannot solicit riot, sedition, insurrection, or armed conflict against the government without consequence. That’s because they are crimes that need to be banned.
Perhaps the best solution is for ALL internet communication to require the sender to be identified or identifiable, just like you were in the room together. Maybe that will bring common sense back to “free” speech.
– Gary E.
Not all speech is protected. The prime example is yelling “fire” in a crowded theater when there is none. When POTUS continually lies and says things that inflame millions of his cult followers to revolt and commit crimes, this is not protected speech.
It is completely different from Joe Blow, who has no influence, saying the same thing. You should be able to make that distinction. Do you really want to live in the world of QAnon, the obliteration of reality, and the worship of a lying grifter?
That’s not the only controversial theme we’ve tackled recently here at the Cut.
Last Thursday, we brought you an essay from Legacy cofounder Doug Casey.
In it, he revealed why he believes we’re on the edge of an all-out culture war… how he sees a breakup of the U.S. as inevitable… and why we’re in for one of the most turbulent decades in history…
Really deep philosophical differences divide Americans about moral issues, and the way the world should work. We’re now looking at irreconcilable differences. The best way to solve them is for people to go their separate ways, as opposed to fight for control of the central government, and then impose their views on the losers.
I expect the U.S. is going to change form radically over the next few generations – much more even than over the last 50 years. Allow me to make another seemingly outrageous prediction: The U.S. will probably break up into different regions.
Some of our readers were quick to take Doug’s side…
I agree with Mr. Casey’s view of civil departmentalism. It will not be a war of secession, as each state is comprised of different ideologies.
If irreconcilable differences are good enough to end a marriage, they should be good enough to be able to choose with whom we surround ourselves.
– Charley B.
I agree with everything I just read. Thanks for the insight. America is at a crossroads. We are a melting society. The younger generation is yearning for change.
I have been advising my children that we are in a very unpredictable time, and to be careful out there.
– Penelope K.
Does anybody believe either party will “reach across the aisle”? The House and the Senate may as well build a 10-foot wall down the aisle.
If secession or civil war is inevitable, I would certainly prefer secession. Then we can all simply pick which state we want to live in. I wish peace in the future was possible, but I no longer believe it likely.
– Rick V.
Others were shocked and appalled…
Doug Casey’s take on politics is beyond belief. America has been FAR more divided in the not-so-distant past than it is today. Stick to what you know… economics. Don’t stray far from that – you obviously have no clue.
– Rob B.
This is the most outlandish, horrible thought process I’ve heard yet. Are we polarized? Yes! Can we become less polarized? Yes… if everyone calms down and stops posting extreme letters like this. These are the types of discussions that got us to the point where we are – fighting and rioting in the streets.
What is needed is for cooler heads to prevail and for people with bully pulpits like yours to call for calm. And for people to reach across the aisle to others, and sit down and simply talk.
Please stop the insanity. Stop writing these inflammatory, self-fulfilling articles.
– Jon A.
I think the diversity has resulted in vicious hatred. The states will have to be separated into Republican conservatives, and liberals and socialists. Independents could choose which areas they want to live in.
Essentially, the U.S. would become two separate countries. It seems the only way to go.
– Paris M.
Politically, the sane people in Congress will again fight between the 40-yard lines and not the 20-yard lines. As time progresses, the nonsense of the fringe elements on both the left and the right will lose power.
Sanity will prevail. Because of our diversity, we will be great for many more years.
– Henry W.
Doug is entitled to his opinion, of course. But I for one felt President Trump was a P.O.S. right from the start. He has proven conclusively that he is. And many who support him are cut from the same cloth.
Most Republicans are crooks, many of whom got rich off the backs of the poor. This is what Trump wanted to perpetuate. Biden and Harris are at least paying some attention to this social injustice. I am hopeful there will indeed be major political and social change. Like the end of slavery, it is time.
Although I very much admire Doug for his forthrightness, I find his opinion quite disturbing.
– Norman T.
Is the U.S. on the verge of breaking up, as Doug suggests?
Where do you stand on the issue of Big Tech censorship?
To let us know – or to put a question to the Legacy experts – get in touch at [email protected].
Have a great weekend.
January 15, 2021