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Fears of a sizable drop in the market are largely unfounded, as the presumption is that sufficient stimulus from the Federal Reserve to thwart such a drop will not occur, but I believe such stimulus will occur. Moreover, I regard the US equity markets as being in a secular bear market since 2000. I don't expect secular bear markets to last for more than 15-20 years, and think we are closing in on the end of the bear and are ready for a new secular bull market to resume. From this perspective, it is a great time to invest in the new industries that will drive the next secular bull market.

As a technology entrepreneur, my bias is toward information technology companies -- with the distinction that the current crop of social media companies is another bubble, thus eliminating the opportunity for sound, value-based investments. Outside of information technology, though, I believe the real opportunity is in new forms of energy -- particularly solar -- and the ancillary markets that demand for new energy will create. This path leads me to two commodities: cobalt and vanadium.

Vanadium batteries offer a means to store energy, with many heralding such batteries as "the ultimate energy storage solution." Similarly, cobalt is used in creating rechargeable batteries, which in turn will grow in demand as motor vehicles with alternative power sources (not fossil fuels) will grow. As such, cobalt and vanadium are great investment opportunities for riding the next secular bull market in equities -- a bull market whose foundation rests in new energy sources.

Investors looking to play this opportunity will need to be patient; being able to tie up capital for at least three years, preferably up to 7 or 10, is preferred to get the most out of these opportunities, in my opinion. Moreover, as we are still very early in this opportunity, I have a strong bias toward cobalt/vanadium-related stocks trading under $5. Such stocks are cheap in absolute terms, which is precisely what investors need to be drawn in at this early in the game.

Stocks that meet these criteria include:

Formation Metals (OTCQX:FMETF)

American Vanadium Corporation (OTC:RMRCF)

Puget Ventures (PVS.V) - CDNX

These stocks, and many others in the cobalt and vanadium sectors, trade on Canadian stock exchanges or OTC.

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.

Source: Time To Start Accumulating Cobalt And Vanadium Stocks