Go Lean Commentary
Bad things happen to good people.
There is an actuality of Caribbean life; we are at the frontline of hurricanes. Every season, a number of storms brew and cause damage somewhere in the region. It may not be the same island or country, but at least one destination gets hit. This is a known threat confronting our region, under normal circumstances.
Now comes Climate Change; this is identified as the single most dangerous existential threat to modern life … for the whole planet. But, on the Caribbean frontlines, we are exposed to even more danger.
If only we can predict what will happen and then profit from it.
This is possible, probable and in practice now.
See this reference article from the Motley Fool Stock Advisory service:
Title: 3 Climate Change Stocks to Consider in 2020
Sub-Title: While an ever-warming world searches for solutions to wilder weather, we’ve found three stocks likely to make make the best of a bad situation.
By: Nathan Alderman, Stock Up Editor
The science is in: The world’s getting way too warm, way too fast, and it’s all but certain that we humans are to blame. Things are already getting bad — in Australia, six months of wildfires have scorched a chunk of land roughly the size of Oklahoma, killing an estimated 1 billion animals — and they’ll either get somewhat worse (if we act quickly and decisively) or a whole lot worse (if we keep doing next to nothing).
The three companies we’ve found:
- A water utility as fresh water becomes scarcer
- A pool provider as summers get hotter
- A generator maker as fires and disasters cause more power outages
… can’t fix these problems. But they’re well-positioned to benefit, at least in the near term, from our changing climate.
For more on these three companies — and the very real, very urgent situation that could drive their shares higher — read the rest [of the stock advisory here].
Source: Retrieved January 22, 2020 from Motley Fool Stock Recommendation service at: https://bi-acq.motleyfool.com/track?t=v&enid=ZWFzPTEmbXNpZD0xJmF1aWQ9MjA1MjUzMjcmbWlkPTMzMDgyOCZtc2dpZD0xNDc4MTkmZGlkPTM4NDEzJmVkaWQ9Mzg0MTMmc249MTY4MDA4NTkmZWlkPXJvc2F3eWVyQGdtYWlsLmNvbSZlZWlkPXJvc2F3eWVyQGdtYWlsLmNvbSZ1aWQ9ODk0Njc5NjI5JnRhcmdldGlkPSZtbj0zNjQ3NjAmcmlkPTM0MTM4JmVyaWQ9MzQxMzgmZmw9Jm12aWQ9JnRnaWQ9JmV4dHJhPQ==&&&2141&eu=1&&&#
Excerpt – Title: 3 Climate Change Stocks to Consider Buying in 2020
Sub-title: These three diverse stocks are poised to rise as heat waves, droughts, and power shutoffs increase in frequency and/or severity.
By: Beth McKenna
One of the biggest trends of the 2020s decade will likely be an unfortunate one: climate change. Indeed, this topic tops the agenda at this week’s annual World Economic Forum in Switzerland, commonly called Davos, after the Alpine ski resort town in which the gathering of world leaders is held.
Evidence that the earth is warming is “unequivocal,” according to scientists around the world. Increasing average global temperatures and the rising frequency and severity of droughts in some areas, however, aren’t the only manifestations of climate change.
In 2018, while California was in the last official full year of its epic seven-year drought, dozens of cities across the East and Midwest set records for the wettest year on record, with most records dating back to the late 1800s. And last fall’s unprecedented widespread and days-long power shutoffs in Northern California can largely be attributed to climate change, as we’ll discuss further in a moment.
NASA weighs in as follows on the debate as to whether the climate change we’re experiencing is mainly a cyclical phenomenon or largely due to human activities:
The current warming trend is of particular significance because most of it is extremely likely (greater than 95 percent probability) to be the result of human activity since the mid-20th century and proceeding at a rate that is unprecedented over decades to millennia.
Even if the world acts relatively rapidly, it will likely take decades to halt or significantly slow down climate change. Moreover, our climate has already changed, and some of those changes are probably irreversible. Three stocks that should get a long-term tailwind from the changing climate are water utility giant American Water Works (NYSE:AWK), leading wholesaler of swimming pool supplies Pool Corp. (NASDAQ:POOL), and backup power generator maker Generac Holdings (NYSE:GNRC).
See the full article: Posted and retrieved Jan 22, 2020 from: https://www.fool.com/investing/2020/01/22/3-climate-change-stocks-to-consider-buying-in-2020.aspx
So an individual investor can profit from the perceived threats of Climate Change by investing (Stock Market) in one or all three companies:
- A Water Treatment/Management Company
- A Recreational Swimming Pools Company
- A Stand-by Generator Company
These investments seem practical and pragmatic; there will be a greater demand, so profit can be realized by supplying the needed products and services.
However, not just individuals, but also institutions and public entities can profit. How? In a previous blog-commentary – from June 6, 2018 – this business model was presented:
“Profiting” from Hurricanes
… there was [is] a way to make money on the hurricane season … its called reinsurance sidecars – where investors buy-in to the risks and returns of insurance premiums.
Hurricanes are bad! Yet still, profits can be made in these eventualities. In truth, profits can be made in the stock market even when companies are experiencing decline – one can “Make Money even When Stocks Go Down”; see this investing strategy portrayed in the following VIDEO here:
VIDEO – Make Money When Stocks Go Down: Beginner’s Guide to Short Selling Stocks! – https://youtu.be/bcbEypoYRGM
A Beginner’s Guide to Short Selling Stocks. http://www.financial-spread-betting.c… PLEASE LIKE AND SHARE THIS VIDEO SO WE CAN DO MORE! Short selling is the secret to make money when stocks go down in price. But what is Short Selling? And how does one make money short selling? You are selling something you don’t own and buying it back later – but how does that work? How to Short a Stock: To go short I need to sell stock in the market and then buy it back at a later time. Theoretically what happens when you go short is that an institution will lend you the stock for a yearly percentage fee; you can then sell it on the market (pretending that you own it) hoping that the stock will decrease in value in time and thereby pocketing the difference. The fund isn’t too bothered about the stock movements in the short-term as typically they have very long term objectives unlike traders.
Shorters borrow shares from Pension Funds and Investment Houses, sell them onto the market and hope to buy them back later for a lower price, pocketing the difference. By borrowing a large number of shares and then selling them into the market the Hedge Funds usually manage to push the share price down. They will then buy them back in dribs and drabs so as not to push the price back up too much. The fact that any company is being heavily shorted alarms investors, which can also force down the share price, as they get frightened and sell up.
Related Videos on Short Selling and Going Short
Make Money When Stocks Go Down: Beginner’s Guide to Short Selling Stocks! 🚩 https://www.youtube.com/watch?v=bcbEy…
Why is Short Selling Stocks Dangerous?⚠️ https://www.youtube.com/watch?v=LJzVq…
How To Find The Best Entry Points For Short Selling Stocks 👇 https://www.youtube.com/watch?v=9I2Kg…
Rules and Strategies For Profitable Short Selling: Quantifying Risk When Selling New Lows 🚩
Market Too OverSold to Press the Short Side? How to Avoid Shorting into the Hole! ⛳ https://www.youtube.com/watch?v=3m_Zh…
Long/Short Equity Hedge Fund Strategy – 130/30 Strategy Explained Part 2 🙋
Related Videos (Lucian Miers and Simon Cawkwell):
Is shorting unethical or immoral? https://www.youtube.com/watch?v=C-lCb…
Is there anything morally dubious about short selling? https://www.youtube.com/watch?v=Dx-iH…
The Argument: Short Selling ruins Markets and Lives https://www.youtube.com/watch?v=2_ReO…
What is the difference between short selling and naked short selling? https://www.youtube.com/watch?v=4rpan…
Shorting Shares at a Support Level / after a Major Downward Spike https://www.youtube.com/watch?v=GvipY…
If you’re into short selling those interviews will likely be interesting for you:
Interview with Lucian Miers, known as East London’s most feared short seller https://www.youtube.com/playlist?list… Interview with Simon Cawkwell (aka as Evil Knievil) https://www.youtube.com/playlist?list…
- Category: Education
In general, and in specifics, the actuality of profiting from perilous situations has been conveyed in many previous blog-commentaries from the movement behind the Go Lean book; see sample list here:
|http://www.goleancaribbean.com/blog/?p=18301||After Dorian, Rebuilding Partners: China Versus America|
|http://www.goleancaribbean.com/blog/?p=17878||Profiting from the Migration Crisis|
|http://www.goleancaribbean.com/blog/?p=13251||Funding Caribbean Risk|
|http://www.goleancaribbean.com/blog/?p=13138||Industrial Reboot – Prisons 101 – Allowing Profits from Necessities|
|http://www.goleancaribbean.com/blog/?p=12959||After Irma, America Should Scrap the ‘Jones Act’|
|http://www.goleancaribbean.com/blog/?p=5559||Economic Principle: Profit-Seeking – When ‘Greed is Good’|
The Go Lean book, serving as a roadmap for the introduction of the Caribbean Union Trade Federation (CU), identifies Climate Change as an Agent of Change; a dimension of external factors outside of our control that bring undeniable impact to the region. The book states (Page 57):
This issue is a major concern for the whole world, but particularly impactful on the Caribbean. There is some debate as to the causes of Climate Change, but no question as to its outcome: temperatures are rising, droughts prevail, and most devastating, hurricanes are more threatening. The CU roadmap must address the causes of Climate Change and most assuredly its consequences. The CU federal government must therefore advocate systems and schemes for a lower carbon footprint. Notwithstanding, the CU must implement recovery measures to respond, react and rebuild from the ever-more-devastating hurricanes.
Climate Change brings forth a lot of demand for cutting-edge products and services; supplying that demand will mean profits. Let’s keep those profits here in our region. Let’s allow for Caribbean investors in Caribbean companies.
Yes, we can …
Frankly, individuals and institutions investing in companies that supply cutting-edge Climate Change mitigating products is only an American actuality, now. But we must not be limited to this reality. The Go Lean/CU roadmap calls for promoting and elevating the 9 existing Stock Exchanges that are already in the region. The book identified these institutions (Page 200):
- Bahamas (BISX)
- Barbados (BSE)
- Bermuda (BSX)
- Cayman Islands (CSX)
- Eastern Caribbean (ECSE)
- Guyana (GASCI)
- Haiti (HSE)
- Jamaica (JSE)
- Trinidad (TTSE)
So this is the How …
… throughout the 370 pages of the Go Lean book, the details are provided as turn-by-turn directions on how to reform and transform the economic, security and governing engines for the Caribbean region and their member-states. This roadmap includes the new community ethos (attitudes and values) that must be adopted; plus the executions of new strategies, tactics, implementations and advocacies to elevate the region’s existing Stock Exchanges – our versions of Wall Street. In fact, this actual advocacy in the Go Lean book contains specific plans, excerpts and headlines here from Page 200, entitled:
10 Ways to Impact Wall Street
|1||Lean-in for the Caribbean Single Market Confederation Treaty
This treaty allows for the unification of the region into one market, thereby expanding to an economy of 30 countries, 42 million people and a GDP of over $800 Billion. The CU’s Single Market and Currency Union will allow for the emergence of viable capital markets for stocks, public/private bonds, and securities to create the economic engines needed to fuel growth, expansion and development. The CU will fill in the missing piece of the equation for successful international financial centers by providing the “whole institutional infrastructure of laws, regulations, contracts, trust and disclosure”.
|2||Ensure Corporate Governance|
|3||Protect Public Financing Vehicles
The CU is a reboot of the regional governance for the Caribbean region. As such, “new guards” are implemented to ensure governmental financing. All public institutions (local authorities, municipal, national, and CU/federal) can avail the securities markets to sell municipal bonds and tax liens – this strategy ensure revenue collection. The CU will ensure a vertical industry of credit information and risk assessments to ensure the collectability of public debt.
|4||Adopt Advanced Products
The regional securities markets will be encouraged to adopt advanced financial products like mutual funds, ETF, REITs, commodities futures and options. These products attract more people to avail themselves of investment opportunities.
|5||Apply Common Sense – Derivatives – Lessons Learned|
|6||Ensure Quality and Limits on Electronic Trading systems|
|7||Downplay Lawless Impressions – Offshore Banking
Offshore banks have a place in the modern financial landscape without being viewed as “pirate” enterprises. When firms incorporate in CU financial centers to avail lower tax burden, this is a legal, opportunistic and a prudent business move. The CU will promote the vibrancy of this industry with better controls, oversight and image promotion.
|8||Protect Against Foreign Currency Manipulators|
|9||Protect Against Insider Trading and Securities Fraud
Economic crimes involving the securities industry can have far reaching consequences beyond normal felonies. As such, the CU will maintain jurisdiction and marshal the investigations, prosecutions and sentencing of these crimes.
|10||Learn from Occupy Wall Street Protest Movement|
This advocacy projects that there is hope that the Caribbean region can foster the needed Capital Markets and Securities Exchanges to allow the funding vehicles for societal progress: stocks, bonds, options, reinsurance sidecars, warrants, and other financial products.
We urge all Caribbean stakeholders to lean-in to this Go Lean roadmap … to allow us to invest in ourselves … finally. This is how we can make our Caribbean homeland a better place to live, work and play. 🙂
About the Book
The book Go Lean…Caribbean serves as a roadmap for the introduction and implementation of the technocratic Caribbean Union Trade Federation (CU), for the elevation of Caribbean society – for all member-states. This CU/Go Lean roadmap has these 3 prime directives:
- Optimization of the economic engines in order to grow the regional economy to $800 Billion & create 2.2 million new jobs.
- Establishment of a security apparatus to ensure public safety and protect the resultant economic engines.
- Improve Caribbean governance to support these engines, including a separation-of-powers between the member-states and CU federal agencies.
The Go Lean book provides 370-pages of turn-by-turn instructions on “how” to adopt new community ethos, plus the strategies, tactics, implementations and advocacies to execute so as to reboot, reform and transform the societal engines of Caribbean society.
Download the free e-Book of Go Lean … Caribbean – now!
Who We Are
The movement behind the Go Lean book – a non-partisan, apolitical, religiously-neutral Community Development Foundation chartered for the purpose of empowering and re-booting economic engines – stresses that reforming and transforming the Caribbean societal engines must be a regional pursuit. This was an early motivation for the roadmap, as pronounced in the opening Declaration of Interdependence (Pages 11 – 13):
i. Whereas the earth’s climate has undeniably changed resulting in more severe tropical weather storms, it is necessary to prepare to insure the safety and security of life, property and systems of commerce in our geographical region. As nature recognizes no borders in the target of its destruction, we also must set aside border considerations in the preparation and response to these weather challenges.
xi. Whereas all men are entitled to the benefits of good governance in a free society, “new guards” must be enacted to dissuade the emergence of incompetence, corruption, nepotism and cronyism at the peril of the people’s best interest. The Federation must guarantee the executions of a social contract between government and the governed.
xvi. Whereas security of our homeland is inextricably linked to prosperity of the homeland, the economic and security interest of the region needs to be aligned under the same governance. Since economic crimes … can imperil the functioning of the wheels of commerce for all the citizenry, the accedence of this Federation must equip the security apparatus with the tools and techniques for predictive and proactive interdictions.
xxiv. Whereas a free market economy can be induced and spurred for continuous progress, the Federation must install the controls to better manage aspects of the economy: jobs, inflation, savings rate, investments and other economic principles. Thereby attracting direct foreign investment because of the stability and vibrancy of our economy.
Sign the petition to lean-in for this roadmap for the Caribbean Union Trade Federation.