Dow Dogs vs. Small Caps: Strategy for 1,000%
Apple, Microsoft, Chevron. Ugh!
These companies are all I see when I turn on the news.
The big blue-chip darlings of the Dow … but at Bold Profits we call them the “dogs of the Dow.”
These are America 1.0 companies that may get a lot of attention, but when you peel back all that glitz and glam…
You can see they’re destined for zero in America 2.0 — not where you want to invest your hard-earned dollars.
The best place?
And I believe it’s the best time for these stocks.
Right now, there’s an America 2.0 small-cap bull market that’s in full force.
And ultimately, this could lead to the new Dow’s surge to 100K.
Until that day comes, I’ll tell you why the small-cap bull market is the top place to invest today and how you can jump aboard to ride the gain train.
Small … But Packs a Big Punch
Small caps are stocks with a market cap under $1 billion.
Compare that to the big blue chips like Apple and Microsoft with market caps in the trillions!
Small-cap stocks seem tiny in comparison, but don’t count them out. Small caps are actually leading us into a massive bull market and can get you the biggest bang for your buck.
Many of these companies have disruptive technologies or business models that are revolutionizing the world around us — taking America into the Fourth Industrial Revolution.
I’m talking about electric vehicles, 3D printing, e-commerce, robotics, blockchain technology and much … much … more.
These new-world ways are stealing market share from the old-world dog companies — which in turn is pushing America 1.0 stocks lower. And bidding up the new America 2.0 tickers.
With markets at all-time highs, you may think it’s too late to participate.
That’s not true.
Small caps just started to break out setting this new bull market ablaze.
You can see what I mean by checking out the Russell 2000 Index — where most of the America 2.0 small caps currently live.
See, over the past 10 years the Dow Jones (the orange line) has mostly done better than the Russell 2000 (the white line):
Now, in 2021 alone the Russell 2000 has started to vastly outperform the Dow Jones in a big way:
Year-to-date the Russell is up 15%, while the Dow hasn’t even cracked 5%.
That tells you there’s stronger demand for smaller cap stocks that are looking to change the world around us.
So it’s definitely not too late to be bullish, optimistic and positive (#BOP) about small caps and start investing today to juice up your portfolio.
Buy the Small Caps for the BIGGEST Gains
Now, the Dow is making progress to our 100K prediction. But until it flushes out the old dogs weighing it down, it’s not there yet.
You could invest in the Russell 2000 Index to gain some exposure to America 2.0 small-cap players.
But to really get the most out of this bull market, here’s what I recommend:
Check out our small-cap strategy we use in our Extreme Fortunes research service. I work directly with Paul on this model portfolio. Its main goal is to search out the small stocks that are poised to pop in a big way.
Most of these companies are valued less than three billion dollars with amazing ideas to change the world.
What’s even better is we’re targeting ones with 1000%-gain potential in five years or less.
Our best closed position to date did just that — locking in a 1,142% win for our readers in 3.5 years.
And more are heading up in that direction. (One stock in the open model portfolio is sitting around 1,126% and another is up 930% both in just 11 months!) Of course, no stock will rise or fall in the exact same way, but that’s the chance you take any time you invest.
As I said, now is a great time to put small caps into your portfolio.
This small-cap bull market is really starting to heat up. Paul even calls it the “Super Bull Market!”
Ultimately these little players could help boost the Dow to 100K, but in the meantime you could profit on the way up!
Analyst, Bold Profits Publishing