STOCK SELECTION

Management

We recommend companies where management has shown a winning track record and have taken their companies to operational, in cash flow status. Ideally, they are the largest shareholders in our recommended companies.

The Project

We have a bias toward cash flow projects that have a competitive advantage and the company can develop a unique market niche because of cost advantages or superior product or service differentiation.

Resource exploration companies will be considered only if management has career expertise in the resource sector and their company is near a proven resource status.

Price

Price is very important to us. We choose target recommendations where management is about to or has just vended in a new project into one of their existing companies and the price has not yet made a significant move or management is offering a well priced private placement or a well priced IPO. To make 10 times your money at $0.10, a stock has to go to $1.00. To make 10 times your money at $1.00, a stock has to go to $10.00.

Promotion

The best story in the world is the worst story if no one knows about it. Companies must be willing to provide the money to promote their stocks or the price won’t move.This also has a major effect on a company’s ability to raise money. People must first hear about a company before they become investors.

Promotion is near the bottom of our list. A company’s fundamentals must first be right or we don’t get involved. If they are right and we believe, we get very involved.

Structure

We look for companies that don’t have an excessive amount of stock outstanding. If there is too much stock out, there is too much traffic to fight which creates too much resistance toward a further upward price move.

Typically, we focus on only one or two companies at once so our investors are given the best chance to make money. By concentrating, we can better realize our desired results which are share value price appreciation.