Last year, I wrote about the Consumer Financial Protection Bureau, and what it might mean to various financial stocks. Since then, the CFPB has set out to fulfill its mission and, contrary to everyone's fears of Armageddon, reports suggest that the bureau is doing exactly what it was created to do: protect consumers without overreaching.

In the world of short-term credit, which is my specialty, some companies from the batch that includes First Cash Financial Services (FCFS), Cash America (CSH), QC Holdings (QCCO), EZCorp (EZPW) and DFC Global (DLLR) have undergone "supervisory exams." Reports are these are multi-week examinations of every aspect of company business, the details of which can even be found online, as the CFPB publishes the basic exam manual. When I say, "every aspect" of business, I'm not kidding. The feedback I'm getting is that the CFPB is being very diligent in gathering

It's time to clarify how quantitative easing affects the market. QE critics say it artificially props up the market, that it will cause inflation, and that it has killed fixed income investing. There is some truth to these criticisms, so here's what to watch for with stocks, why bond yields have cratered, and how to find other fixed income investments.

Demand Side

Normally, the US might see 1.8 - 2% real productivity growth and about 1% population growth. Consequently, real GDP growth should be around 2.8 - 3% annually. Instead, we're stuck in the 1-2% range.

The root cause for this slow growth goes back twenty years. The American consumer and government borrowed trillions against the future's GDP. Now, the American consumer is paying off that debt and it will take just as long to pay off as it did to accumulate, if not longer. Thus, the economy won't grow

Oh man, do bond yields stink. That's what happens when the Fed becomes the buyer of every last little bond on the market. So folks looking for fixed income have had to look elsewhere and those with limited risk tolerance probably are concerned about introducing too much risk into their portfolio. With that in mind, retirees and others looking for stable fixed income should examine these three selections for 2013.

But first, a quick look back at my picks for 2012. Ashford Hospitality Trust (AHT) was up 52%. The iShares S&P U.S. Preferred Stock Index (PFF) was up 10.2%. Finally, Kinder Morgan Energy Partners, L.P. (KMP) was essentially flat…but you did earn 5.6% in dividends (plus dividends on the other two stocks mentioned).

Business Development Companies are great resources for dividends, but they come with an extra net of safety. The managers of these companies do

My Dow shorts for last year weren't as stellar performers as my buys. I felt McDonald's (MCD) was a great company but vastly overpriced last January 6 when the stock was at $100.60. It ended 2012 at $88.21, for a return of 12.3%. Verizon (VZ) surprised me. I suggested shorting at $38.33 because competition in the telecom space just seemed too fierce for the company to make any real headway. It ended the year at $43.27, so you would've lost 12.8% on that one. My mistake there was that Verizon paid a very healthy divided and generated great cash flow, so fixed income investors love the stock. But the real mistake came with Bank of America (BAC), which I suggested shorting at $6.18, and ended at $11.61. Ouch. My mistake here was not realizing BofA services 80% of the country's mortgages, collecting servicing fees without having

Last January 3, I pickeDupont (DD), General Electric (GE), and Walt Disney (DIS) three must-buy Dow stocks for 2012. Disney was the best performer, beginning at $38.31 and closing at $49.15 on 12/29. Add in the $0.75 dividend, and you would have had a 30% return. It was the 3rd best performer in the Dow in 2012. GE came in second, starting at $18.36 and closing at $20.44 on 12/29. With the $0.70 in dividend payments, you would have had a 15% return. Dupont started at $46.51, ending at $44.71 as of 12/29. If you add back the $1.72 in dividend payments, you were essentially flat.

I believe 2013 will be a challenging year for the stock market. There is significant uncertainty surrounding Obamacare's taxation impact, businesses remain reluctant to commit capital, and consumer confidence continues to wobble.

Nevertheless, I'm going to repeat my selection for Disney again this

This is not a terribly complex argument to make.

1) Netflix's streaming business does not make any money, and DVDs are dying.

DVDs will be gone within three years. Streaming will soon be ubiquitous.

Thus far in FY12, Netflix (NFLX) domestic streaming profit was $240 million. International streaming losses were $284 million. Eventually, one would expect marketing expenses at the international level to drop off and that side of the business will make a profit. How much of a profit remains to be seen, however, as contribution margins on the streaming side are 17% vs. almost 50% on the DVD side.

It will take years for Netflix to have substantial streaming profits.

2) Netflix does not have the money to compete.

The company has $800 million in cash and $400 million in long-term debt.

Amazon (AMZN) has $5 billion in cash, and no debt.

Content costs money. Prices are rising

For my series, "The Forever Holds," I'll comb through the entire stock market looking for stocks you can literally hold forever. Well, maybe not forever, but for at least 30 years. I am doing this for a few reasons. The concept of the Forever Hold came to me when a friend's grandfather passed away, and she inherited her ancestor's assets. There were a few stocks in the portfolio that had been purchased in the 1950s and, after multiple splits, had cost bases of pennies a share. Despite 60 years of market turmoil, and even the financial crisis, all of these stocks had returned multiples of their original investment.

Yet not all stocks will behave like this. All of these stocks had certain things in common. They all produced products that somehow are wrapped up in human DNA. They are each an intrinsic part of our daily lives, all across

The NY Times profile of a start-up, called LifeSize, simultaneously exposes why diet companies have done so well, and why they are vulnerable to what I call "the portion control revolution". The Huffington Post has weighed in favorably, as well.

After checking out the product, I firmly believe this concept will de-throne Weight Watchers (WTW), Medifast (MED) or NutriSystem (NTRI), and their stocks along with it. It isn't just the product. Diet stocks are now a sunset industry, and LifeSize is just another nail in the coffin.

Here's why, and why you should short the diet stocks.

Why Diet Stocks Are A Sunset Industry

A sunset industry is an industry in decline.

We've all heard about the obesity epidemic. If diets worked, why are things getting worse instead of better? Because Americans have stagnated. They are frustrated with lack of results. Consequently, diet

What's happening at the global economic level is going to affect your investments. Here's a look at some broad issues and suggestions I have for changes in your portfolio in the second half of the year.

Real unemployment is close to 15%. This continues to be the biggest drag on any kind of sustained recovery, although there are tiny upticks in new jobs each month. Still, the Bureau of Labor Statistics shows that only a few hundred thousand net new jobs have been created since January of 2009. Unemployment compensation has been reduced by Congress, and states like California no longer qualify for the fifth tier of benefits. While some of these unemployment recipients will return to the workforce, others will not. All together, consumer spending will continue to lag, and therefore, keep a lid on revenue gains for consumer discretionary and other stocks. Wealthier folks, however, appear content with

I'm constantly on the hunt for solid dividend payers, but I really try to go off the beaten path to find stocks that don't make it onto various screens. I also try to hone in on dividends that exceed 5%, because inflation eats into wealth at a bit more than 3% annually over the long term.

Investors Real Estate Trust (IRET) is my latest find, buried in the earnings calendar by reporting on the last day of the quarter. Of course, I always raise an eyebrow at any company that dumps earnings on a Friday, but perhaps management likes flying under the radar. The company certainly has nothing to be ashamed of, with solid gains in FFO, net income, and a reduction in overall expenses. For those who aren't aware, the company owns 266 properties, over 9,000 apartment units, and over 12 million square feet of commercial buildings, primarily

Holding short positions in a few stocks is a great way to hedge a portfolio. I take shorting even more seriously than I do going long a stock, because I'm betting against the market's long-term positive expectation for stocks. The companies I choose really have to be in trouble for me to get interested.

I've examined the bull and bear cases on St. Joe Company (JOE), as presented by warring hedge fund managers David Einhorn and Bruce Berkowitz, a war going on for two years, and I'm coming down on the side of Mr. Einhorn. This real estate holding company held some 1 million acres of land in rural Florida, and the majority of its revenue came from sales of this land. Development of this land, according to Mr. Einhorn, has been a colossal failure and should result in massive write-downs the company has not taken.

I am starting a weekly series called, "The Forever Holds", in which I'll comb through the entire stock market looking for stocks you can literally hold forever. Well, maybe not forever, but for at least 30 years. I am doing this for a few reasons. The concept of the Forever Hold came to me when a friend's grandfather passed away, and she inherited her ancestor's assets. There were a few stocks in the portfolio that had been purchased in the 1950s and, after multiple splits, had cost bases of pennies a share. Despite 60 years of market turmoil, and even the financial crisis, all of these stocks had returned multiples of their original investment.

Yet not all stocks will behave like this. All of these stocks had certain things in common. They all produced products that somehow are wrapped up in human DNA. They are each an intrinsic part of

If you're building a portfolio geared towards generating regular income - whether it be to pump out cash for you to spend as a young pup or as part of a retirement portfolio - there are a few companies I think you must have as part of that portfolio. Companies that are long-term rocks that don't move too much are just fine, but I prefer solid performers in regards to total returns as well.

To that end, I'm suggesting Kinder Morgan Energy Partners, LP (KMP). This is known as a limited partnership, a structure that was created by Congress for "the exploration, production, mining, processing, refining, marketing or transportation of mineral and natural resources." This sounds all well and good but investors must remember that investing in these "pipeline MLPs" carry one big risk that can only be mitigated by really good management. That risk is that

Are there some stocks you can buy and literally hold forever, the ideal time frame according to Warren Buffett. Some critics will say one should never be wedded to a stock. However, there are a select few that, assuming the company isn't involved in any fraud, you can and should hold forever.

These are businesses fundamental to mankind. They are wrapped up in the DNA of not just the global economy, but the lives of every single person on the globe. You buy these companies, never sell them, accrue and reinvest their dividends, and pass them on to your kids.

By forever, do I really mean "forever"? Essentially. I mean a 30 to 60 year time horizon, and possibly longer, because no matter what headwinds these companies face, there is nothing they will not overcome.

I've written about a few of these before, and I took my time before

Unlike most retailers that are at the mercy of both the economy and the whimsical tastes of retail consumers, this company has been faithfully frequented by its core base since 1948. Investors must understand why this company was able to grow earnings during the recession - because that trend is going to continue and lead to solid returns.

The answers to the success of The Buckle (BKE) are located in its annual report. The first place to look is on page 7, where investors learn that the vast majority of stores are located in Middle America. Page 4 tells investors that 43% of company sales are denims, 37% are tops, and 29% is private (i.e. unknown) label. This means that The Buckle serves up simple, no-frills clothing that is not reliant on the latest fashion fad. The Buckle doesn't try to be Abercrombie & Fitch (ANF), and

You might have thought that I'd learned my lesson regarding shorting precious metals after I suggested the time had come to short silver 18 months ago. Had I not been stopped out with my trade, I would be proven right….barely….18 months later. Ahem. Cough cough.

So what about gold? I entered into a short trade recently and I'll tell you how that's working out, but first let's look at a few issues regarding gold and see if we can detect a bullish or bearish bias as to what may happen next.

As readers probably know by now, gold moves in the reverse direction of the dollar's strength. The reason gold is considered a hedge is because it is perceived to have intrinsic value as a precious metal whereas the dollar's value decreases due to inflation. So anything that causes inflation reduces the dollar's value and increases gold's.

When the

I'm all for grabbing distressed stocks when they are distressed for the right reasons. In the case of financial stocks, there is still so much uncertainty in the sector that I am very leery of getting involved with most of them. That's why the big money is not to be made in big financial stocks, but in financial stocks that are off everyone's radar and are not exposed to any of their peers' threats. These stocks just reported blockbuster earnings yet inexplicably sold off, and are vastly undervalued.

Why stay away from the big boys? There is a huge threat facing banks as the Consumer Financial Protection Bureau (CFPB) is investigating overdraft fees. Most people don't understand how critical overdraft fees are to the banks. In 2008, the consulting firm Bretton Woods did a study regarding overdraft programs. The results showed that without overdraft fees, banks would essentially have

There will be a day historians will look back on and call "The Day The Retail Store Died." I don't know when that day will come, but it will come. I'm not talking about great American institutions like Wal-Mart (WMT) or department/grocery stores like Target (TGT) or even clothing stores. I'm talking about stores like Best Buy (BBY), RadioShack (RSH), Fry's Electronics, and Samy's Camera. The reason these sticks 'n bricks locations will die is not only because of Amazon.com (AMZN) -- although that will be a major factor -- but also because of all the resources the Internet offers, combined with the long-term deterioration of the nation's economy.

Amazon is great, but Amazon alone is not the be-all and end-all of Internet retailing. When it comes to products (primarily electronics), the real agents of

You know about the endless speculation - the $100 billion question - "What will Apple do with all that cash?" Will they pay an ongoing dividend? Will they pay a special dividend? Will they buy a major company? Will they buy Rhode Island?"

It isn't just Apple (AAPL) that's stuck with all that cash. There is more money on the sidelines parked in cash, in both private and public companies combined, than at any other time in the past half-century. It's north of $2 trillion. Here's a few big non-financial cash hoarders as of the most recent quarter:

• Apple (AAPL): $97 billion
• Microsoft (MSFT): $51.7 billion
• Google (GOOG): $45 billion
• Amazon (AMZN): $9.5 billion
• Berkshire Hathaway (BRK): $37.5 billion
• Dell Computer (DELL): $13.8 billion
• EMC (EMC): $6.3 billion
• eBay (EBAY): $5.93 billion
• General Electric (GE): $137 billion
• Verizon (VZ): $10.8 billion
• Cisco (CSCO): $44.3 billion
• IBM (IBM): $11.3 billion
• 3M

Just admit it. You're in love. You know because little butterfly hearts twirl out of everything you pass by. You do cartwheels down the street but nobody seems to mind. Nuclear reactors melt down and instead of a mushroom cloud, you see a gigantic heart in the sky. There's a stock for every occasion, so while you are overcome with good feeling and warm fuzzies, here are five stocks that should improve your outlook even more.

Jewelry is always popular this time of year. Actually, jewelry is popular anytime of year. If you haven't had the good fortune of seeing a woman's eyes light up at the sight of a blue box from Tiffany and Co. (TIF), then you are missing one of life's better moments. You also have more money in your pocket than the fella who has shelled out the bucks for said blue box. Tiffany