Safe Super Riches From the Subprime Cesspool

How to profit safely and handsomely from theand invest systematically in the major sectors of the
subprime mortgage mess through smart and timelyU.S. economy that currently have dramatically lower
investment moves.stock prices because of the subprime mess.
What a mess the financial geniuses of this countryHere are some of the stock sectors you can
have created through their 'miracle loans' to strugglingconsider: home loan companies (only choose the
families who dreamed of owning their own home.strongest, yes, they will recover), Wall Street banks,
Through their corporate greed, many of thehome builders, home supply companies such as Home
country's mortgage loan companies and Wall StreetDepot & Lowes, and, surprisingly, department
banks have not only caused millions to lose theirstores. Why department stores? Because their
homes through foreclosure, but they have harmedstocks are down by a third or more this year, since
the U.S. economy as well.investors believe that consumer spending will be
Isn't satisfying to see these mortgage companies andcrimped for 6 months or more because of tighter
banks - villains and perpetrators all - now themselvescredit and lowered home equity.
suffer from plummeting stock prices and evenWait, don't go buying stocks just yet. First, arm
bankruptcies? They are now reaping what they haveyourself with the 'safe' method: diversify by sector,
sown.diversify by stock, and diversify by time.
The root problem is that millions of home buyersDiversify by sector means buy into 4-6 different
used 'too good to be true' home loans to buy homessectors, such as the ones listed above. Diversify by
they really couldn't afford. The mortgage companiesstock means don't buy individual stocks, instead buy
and banks offered these loans, often with deceptive2-4 in each sector, or, better yet a mutual fund or
and tricky terms, to make millions off the loan fees.index fund that focuses on that sector.
The loans were hard for buyers to resist becauseDiversify by time means don't buy into these sectors
they had low or no interest charged for the firstall at once, instead invest an even amount every
years. But now the loans are 'exploding' withmonth over the next 6-12 months. For instance, put 1
dramatically higher interest rates and these home6 of your money in now and 1/6 in each of the
buyers find themselves unable to make the monthlyfollowing 5 months. No one can time the market. It's
payments.very possible the market and these sectors will have
For years all was well while home prices skyrocketedsome more downs in the next 6 months. But by
with the fuel of low interest rates and easy credit.buying in a disciplined fashion over the coming months
But now the party has ended. Home prices firstyou'll be 'dollar cost averaging' and building a strong
plateaued and then began falling, millions of buyersand safe investment position.
are defaulting, Wall Street is losing billions, and theSold? Implementing the plan? Now is the time to be
nation teeters at the brink of a recession.patient. The sectors will recover at various times, but
How can you profit from this? Of course you want athe one thing you can be sure of is they will recover.
safe method. Want a sure fire method? What is it?And the best part is that stock prices are a leading
Hint, it's not buying distressed homes - it's likely to beindicator, meaning their stock prices will recover and
years before the real estate markets recovers.appreciate handsomely, before the sector actually
Furthermore, the only safe way to invest is throughfully recovers. Everybody wants to get in on the
diversification, and you'd have to buy multiple homesnext hot sector. But the only sure way to do it is
in each of 5-10 disparate housing markets across thewhen the sector is hurting and no one wants in and
country to be safely diversified.the prices are depressed. Thanks to the subprime
The road to safe super riches is instead to identifymess, that's your opportunity today.