Seeking Alpha

yourwealthpia's  Instablog

Send Message
"It's Your Wealth at Platinum Investment Advisors, Inc." Voted Atlanta Magazine's top Wealth Manager for 2009 and 2010. With 19 years experience in the financial services industry, Kristine Suber Hanchar is Atlanta's premier Money Manager. At Platinum Investment Advisors, we believe in... More
My company:
Platinum Investment Advisors, Inc.
My blog:
Platinum Investment Advisors, Inc.
My book:
Investing in the new Era
View yourwealthpia's Instablogs on:
  • Still investing but Cautiously Optimistic.
    Happy Tax Day! Make sure to file by midnight tonight and cheer up you will only have to work until the end of April to pay your tax bill.
    Selling pressure is growing heading into the summer. June, July and August are always a very difficult time for the market.
    Historically, the worst six-month performance period for stocks is April through September, when the market has returned 1.3%, on average since 1945, according to Standard & Poor’s Equity Research -- hence the old Wall Street adage to “Sell in May and go away.”  The 3rd and 4th quarters of the year are typically historically better. Gold futures rose today and the CPI came in .2% higher for March and U.S. Consumer prices rose about .5%. The impending end of the Federal Reserve’s latest easy money program is causing the consumers to doubt this bull market as well because they are now wondering if stock prices have been artificially propped up by the excess liquidity and the U.S. printing press.
    Apr 15 1:57 PM | Link | Comment!
  • The 2011 Platinum Investment Advisors Outlook Report
    Seeking Alpha The 2011 Platinum Investment Advisors Outlook Report
    Cautiously, Optimistic is how I would like to describe my outlook for 2011. We have a lot of pros and cons going for us in our economic outlook. I will list these later in the articleRight now I wanted to highlight some of the sectors, themes, and stocks that my firm likes and why. I am so tired of talking about the jobless recovery and deficit spending issues that plague this country but that is still where we are and is still a problem even after the extension of the Bush Tax Cuts. We have a jobless recovery and some skepticism about spending on the part of all businesses not just small businesses. Certain states are faring better in  the housing market but certain others like Nevada for instance are hemorrhaging with foreclosures, with this in mind banks continue to hold these on their balance sheets. That being said I am avoiding banks this year, even though there will be some good money made bottom fishing and strategically picking the righttoo big to failinstitutionI do however own a position in (STD) Banco Santander one of the largest banks in SpainThey threw the baby out with the bathwater on this one since Spain is a member of the P.I.G.S. (Portugal, Italy, Greece, Spain) some of the hardest hit economic and housing markets in the world. Banco Santander continues to do business much of it outside of Spain and well across the developed European union and the United States.
    Natural Gas;
    According to the EIA, (The U.S. Energy Information Administration) “The projected decline in production in 2011 and increase in natural gas consumption in 2012 contribute to a strengthening of natural gas prices late in this year and nextAs natural gas prices begin to rise, forecast production rebounds in 2012, growing by 2.2 percent. “ Therefore, because of the dividends paid we are long KMP (Kinder Morgan Partners) and BPL (Buckeye Partners)
    Kinder Morgan is one of the largest pipeline transportation and energy storage companies in North America with approximately 37,000 miles of pipelines. They transport, store and handle energy products like natural gas, refined petroleum products, crude oil, ethanol, coal and carbon dioxide (CO2). These products are essential for generating electricity, heating homes, powering cars and much more.
    Almost all of our assets are owned by Kinder Morgan Energy Partners the largest publicly traded pipeline master limited partnership with a value of more than $30 billion dollars. The current yield on the stock is 6.14%  as of 01/18/2011
    Buckeye Partners, L.P. is a publicly traded partnership (BPL) that owns and operates one of the largest independent refined petroleum products pipeline systems in the United States in terms of volumes delivered, with approximately 5,400 miles of pipeline. The yield on this stock is 5.69%,  as of 01/18/2011
    We like (DOW) Dow Chemical and many of the other chemical companies that have been beaten up most recently in 2009.
    Commodity Pricing;
    While we are a little nervous that gold has had its day in the sun and is getting a little toppy, we do still like a small portion of a commodity play in a clients portfolioWe like the Permanent Portfolio (PRPFX), we like BHP Billiton both the British version of the company and the largest minor in Australia. (BHP) and (BBL).
    Drugs, Healthcare, and Big Parma;
    In this area of the market we continue to like (AZN) Astra Zeneca, (ABT) Abbot Labs and (JNJ) Johnson and Johnson for their consistent pipelines of drugs and commitment to R&DThe major risk to this arena is universal healthcare, pressure on margins primarily from Medicare/medicate one of the largest purchasers of drugs in the nation placing downward pricing pressures on the margins by asking for substantial discounts, drugs falling off of patent, not enough new drugs in the pipeline, a failure to commit to R&D due to costs and outsourcing drug productions to emerging markets where costs are a fraction of manufacturing them here in the US and the Government regulation is a lot less invasive.
    Fixed Income;
    We are shortening duration and maturity and adding inflation adjusted hedges to our fixed income portfolio. We are also underweight fixed income 5%-10% in clients portfolios and adding an overweight to US Large Cap Equities that pay a great dividend instead. The fear of interest rates rising is still looming in our minds and is a constant headache to us. We are neither in the Inflation camp or the deflation camp but want to be cautious in the fixed income arena in 2011. We feel like this is the year of the equity vs. bonds and we are much more optimistic about equity selection this year.
    In Summary;
    We have a jobless recovery, a terrible housing market, the lack of confidence both for businesses and for the individual investor. We have a huge budget deficit that will take a lot of discipline to get under control. If we dont do this our great nation will become like Greece or IrelandAsia, and specifically China are the gateway for growth in 2011, We think the appetite for commodities in the emerging markets are still viable and we feel like energy consumption still has enough demand to drive oil and energy prices higherRemember America is a great nation, our dollar is strong, and we dont have all the in cohesiveness of the Euro zoneWe have a lot to look forward to in 2011.

    Disclosure: I am long KMP, BPL, BHP, AZN, DOW, JNJ, ABT.
    Jan 18 12:48 PM | Link | 3 Comments
  • "Are we heading for a Bond Bubble in 2011?"
    "Is this a Bond Bubble"
    According to Ned Davis "There has been a lot of talk recently about bonds being a “bubble.” While I have a pretty good record of spotting bubbles, I still think they are difficult to define precisely in this case, where the evidence is very mixed. I did, however, want to feature the evidence, and let clients make up their own minds. The main evidence for a bubble goes something like this. The evidence shows that over the past three years,public inflows into bond funds have soared by $537 billion, similar to the three years before the “Bubble of 2000” in stock funds (+ $575 billion). Moreover, in the past 12 months, investors have chased low bond yields adding $327 billion to bond mutual funds, and pulling out $73 billion from stock funds." At Platinum Investment Advisors, Inc. We still feel that clients that are retired need to maintain a portion of their assets in fixed income portfolios but I have been selling long bonds, and intermediates and shortening up duration as well as taking some profit in bond portfolios. Even though we firmly believe whole heartedly in asset allocation now is probably a better time to buy stocks with new money vs. Placing it in a bond at an anemic rate and praying that you don't lose principal when the feds starts to raise interest rates. We don't have core inflation but if we get inflation in the US.... If inflation does return, bonds will feel as if they had indeed been in a bubble, particularly if foreigners dump their holdings. Almost 50% of Treasury securities are owned by foreigners. We may very well be in a stagnation period much like Japan has been for many years and we might not have high rates for two or three years down the road and we may not have to worry about inflation but it will eventually come. Call us soon if you have any questions about your investment portfolio 404-593-7707.

    Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.
    Jan 18 9:43 AM | Link | Comment!
Full index of posts »
Latest Followers


  • Gold Up today.Earnings season is on. We may just have a cpl weeks left of good positive market returns. "sell in May and go away".
    Apr 15, 2011
  • Oil futures push past $108 Middle East tensions again translate into higher prices -- now up about 19% for crude this year.
    Apr 4, 2011
  • It's like catching a falling knife. I am waiting on the entry point for my new cash into the market.
    Mar 16, 2011
More »

Latest Comments

Posts by Themes
Instablogs are Seeking Alpha's free blogging platform customized for finance, with instant set up and exposure to millions of readers interested in the financial markets. Publish your own instablog in minutes.