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The Dow and the S&P are on track for their fifth day of losses fifth in a row and for the S&P would be the longest losing streak since December but.
It's just an opportunity to buy before stocks had a higher -- James is James advantaged funds CEO and president.
His -- right now year to date looking very good up 17% over the past year -- up 22%.
Let's rewind a bit -- -- -- back to a year ago.
Where everybody was worried about all kinds of headwinds and and what -- what was the most strategic bet you made one year ago that makes your performance look as good as it does today.
Well we were out looking just after the election that we thought they -- it'd be pretty good for the stock market.
Everyone was afraid of it but the -- were actually very low.
We didn't think that the government would shut down -- that people would wind up out on the streets you know no government jobs.
And that proved to be true and that proved to be very -- profitable for.
For what we saw the economy bounce back we saw housing market do well.
Car sales do well and we've seen energy production just take off in this country and that's a huge benefit to us here in the united place.
Since you were so correct on all those points which.
What do you see ahead because many people are concerned about all kinds of headwinds including hitting the debt ceiling.
October 1 with different metrics of obamacare kicking in what do you see for the stock market as it pertains to those issues.
Well obviously the government can have a major impact and people are you know sitting on.
On the the -- the fence rails trying to figure that out but one thing we know about politicians.
Is a very get a compromise and shifting away from their deep set principles area they don't want to save the economy shut down -- wanted to blame -- so we think they'll come to a compromise.
We think the Federal Reserve is maybe the bigger piece.
It's the elephant in the room that's been kicking things around.
And we we did a study of sequestration.
And the history shows that thirty times that the government cut spending from one quarter to the -- The economy improved over the next year the stock market went up unemployment fell disposable income rose and inflation didn't get to didn't go up very much so.
It's not the -- now I can't say causes those things.
But certainly it worked and it worked this year to.
Woman what are the sector opportunities that you see right out there -- got a lot of people listening to say find this Scott's right I wanna listen I want to make at least one or two moves on his suggestions.
We'll start with sectors.
It was sure this is what we're doing we're actually -- some energy stocks today but the price above a hundred it's kind of a dirty little secret.
Above a hundred you wanna be focusing more on the production humane enough drug company's -- -- above -- hundred dollars a barrel.
And that's exactly right yes thank you and him and as below 100 -- mourn the refiners they tend to be more profitable one as below -- hundred so.
A couple of names that we like where the Chevron and the Cimarex both and that production area one worldwide and one focus right in the middle of our country.
Both -- and good production good earnings and the things that we like as if they're relatively cheap.
Compared to the market have good earnings and they've been gone up in price that's always important when you buy stock you want one that's going up and -- What you want a little momentum but Cimarex up 62%.
We're looking at that well that's Chevron actually can we show.
We -- Cimarex up 62% over the past year ticker symbol XEC.
Not too expensive at this point.
It's a little more expensive then that Chevron is but still it has the earnings due to make it go forward.
And they've had very strong increases in production.
And that of course at a high oil prices very very good for the bottom line.
So we're not afraid of final stop its resident that setting new highs we think that's that's generally a good course to go.
-- are do you select dividend plays and if so what's your favorite one right now.
Well Chevron's got that three point 8% dividend they just raise that again.
Successes Cimarex doesn't have a lot.
But we also like in the finance area because -- low interest rates in the like Horace -- they focus on educators giving them multi line insurance.
About a two point 82 point 9%.
The dividend yielding just raised it and we would think that there's there's real opportunities and horse -- small company.
But they were they were noted as one about the top 100 trustworthy companies by force.
Trustworthy is good until it isn't until until somebody gets caught doing something.
It's great to see -- very thank you and for those you don't know James mid cap fund JA MDX as -- set up 22% over the past year.
We'll see you next time thank you Barry.
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