Mike’s note: Mike Merson here, Jeff’s longtime managing editor. Here in the Market Minute, our goal is to provide profitable trading ideas you won’t find elsewhere… and that you can act on as soon as the market opens each day.
But when an idea crosses my desk that’s outside the realm of trading… and could potentially have a life-changing impact on your wealth… I make sure to pass it along. And today’s essay, from Palm Beach Venture editor Teeka Tiwari, fits that bill.
He’s found a way for everyday investors to access the kind of pre-IPO deals usually reserved for the Wall Street elite. And, just as importantly, he explains how Wall Street has kept this a closely guarded secret.
Read on to learn how you can turn the tables on Wall Street – and fund your whole retirement with a $250 grubstake – using a specific, beaten-down market sector…
In 1991, I was the youngest vice president in Shearson Lehman history.
And for anyone who doesn’t know, Shearson Lehman was a key player in the initial public offering (IPO) market for a century.
The companies that kicked off the industrial revolution and the consumer electronics boom… Shearson Lehman took them public.
From Shearson Lehman, I went to Cowen & Co. And it was recently ranked the top IPO bank in the world.
I cut my teeth at the brokerage houses of Wall Street’s top investment banks. And what you quickly learn is – watch what Wall Street does, not what it says.
Here’s why I’m telling you this…
Over the next 12 months, Wall Street could unleash a mega wave of IPOs not seen since the internet boom of the 1990s. But this time, the boom won’t be in tech.
Instead, venture capitalists (VCs) are piling into tiny, private companies taking a new industry by storm… before they IPO and explode in value in 2020. At the same time, they’re spreading a lot of misinformation about this very same industry.
Friends, I’ve seen this blueprint before…
I saw it during the Great Crypto Conspiracy of 2017… when Wall Street elites like JPMorgan Chase CEO Jamie Dimon publicly bashed bitcoin as a “fraud.” Yet Dimon’s company was secretly one of the largest crypto buyers in London.
And I saw it during the ’90s tech boom… When firms like Morgan Stanley said publicly we were at the “end of cycle” of tech stocks. Yet privately they were investing in tiny private tech companies like Netscape – the Google before Google.
Today, we’re seeing the same playbook again – this time, in another unloved industry. If you can ignore what Wall Street is telling you and instead focus on where it’s putting its money, you’ll have a chance to make a fortune.
Smoke and Mirrors
Right now, the cannabis space is going through some tough times.
For example, the ETFMG Alternative Harvest ETF (MJ), which tracks the top cannabis companies, is down around 40% since this time last year.
And Wall Street is playing up the fear machine.
Look at the news. It says: To invest in legal cannabis, you need “a large appetite for risk… watch from the sidelines.” That’s the verdict from Morgan Stanley.
Or look at Merrill Lynch. Publicly, it’s said “growth is set to pause.”
But my team and I have reviewed an internal report that has a much different tone. It says Merrill Lynch believes this space will grow to a $2.6 trillion juggernaut.
And recent reports found financial services firm BNY Mellon is “thwart[ing] the efforts of Americans to invest in legal cannabis.” It’s literally preventing customers from trading popular cannabis stocks.
What else has BNY Mellon been up to recently?
Launching an exchange-traded fund (ETF), specifically to help the world’s largest funds invest in the cannabis space.
As you can see for yourself, Wall Street is trying to scare you away from cannabis – while it’s set to profit big time. Yet, it’s not buying public cannabis companies.
Sound familiar?
Like the 1990s tech boom, it’s piling into the private market…
Déjà Vu All Over Again
Wall Street has duped the public and even the media about the next big boom.
While it’s telling Main Street cannabis is terrible, it’s following the lead of top venture capital firms and buying into private cannabis deals.
Wall Street ran this same playbook back in 1995. Back then, it publicly shunned tech all while “secretly” loading up on private shares of today’s tech stalwarts like Amazon, eBay, and Priceline.com.
We know all of this because we tracked the numbers.
For instance despite last year’s sell-off, VCs pumped close to $2 billion into cannabis startups in 2019. That’s more than 100 times the $17 million raised in 2013. It’s the most
money ever put into the sector by venture capitalists before.
Here’s why that’s important…
The tech boom made a lot of money for a lot of people… even for folks on Main Street. But the real gains – the truly life-changing returns – came from investing before these companies went public.
Just take Netscape, for example. On the day it went public, Main Street’s return was 108%. But pre-IPO investors made 16,600% that day. That’s the difference between turning $1,000 into $2,080… and a windfall of $167,000.
Let’s take a more recent example like Uber. Silicon Valley firm Benchmark got pre-IPO shares for $0.07. When Uber went public, its shares traded for $45. That’s a 64,200% gain – in one day. Enough to turn $250 into about $161,000.
Public investors still have yet to make a dime on Uber. That’s the difference between pre-public investing and post-public investing.
That’s why I’ve been working my network of insiders for the past year – looking for the best “sweetheart deals” in the cannabis space for 2020.
And that led me to my No. 1 wealth-building opportunity of the year. It’s the chance to be in on a pre-IPO deal with a billionaire before it lists on the Nasdaq. Plus, you can get in for just 50 cents per share.
Now, if you want to play the turnaround in the cannabis space, you can consider an ETF like MJ. Or you can search through crowdfunding platforms like SeedInvest and MicroVentures. They list dozens of startups raising money from the general public.
But if you really want to make money in the private markets, you have to be connected to insiders who know where the smart money is flowing.
And that’s why I’m here with you. I want to be your go-to source of information for life-changing opportunities in the pre-IPO market.
Let the Game Come to You!
Teeka Tiwari
Editor, Palm Beach Daily
P.S. As I mentioned, VCs are loading into tiny, private companies taking the cannabis space by storm… before they IPO and explode in value in 2020. And one of them is my No. 1 wealth-building opportunity of the year.
Already, this company is drawing so much interest from heavy hitters… Global corporations are trying to acquire it before it goes public. And you’ll have a chance to be in on this pre-IPO deal with a billionaire before it lists on the Nasdaq.
Now, there’s limited space in this billionaire’s pre-IPO deal. And it closes forever at the end of the month. So don’t delay. Learn how you can get in on this deal for as little as $250 right here…