Month: July 2023

 

Dear SPI-Club Member

Alerting Members to The Value of investing in LOW-PRICED Investments

Welcome to the latest edition of SPI-Club News! In this newsletter, we will explore the exciting potential of compounding when it comes to investing in under-priced investments that have become dislocated to market values.

In our everyday lives, we often search for bargains, when buying cars or homes. Surprisingly, a similar mindset is frequently over looked when it comes to building investment portfolios. Today, we want to shed light on this overlooked strategy and share one of many compelling examples we are monitoring, particularly after the recent savage Bear Market.

During this market downturn, many share prices have become oversold, and  are very significantly undervalued, therefore providing opportunities that we may never see again in our lifetime!

Let’s take a closer look at the power of compounding in the context of investing in undervalued equities.

Compounding is simply the process of steadily adding to your portfolio to compound gains over time. Although compounding can be applied to investments of any value, our focus today is on the value created during the Bear Market of the past two years, which is throwing up opportunities to buy at low values unlikely to be seen again in our lifetime.

I have created a list that is exclusively available to SPI-Club Members illustrating the potential of the most dislocated opportunities and firmly believe Savvy Fearless Investors have the potential to make significant fortunes in this environment.

There are 9 opportunities with an upside potential to their recent all time high ranging from 1,050% to 14,443%

These opportunities do not come around often. E.g., On 12th May, I sent a Trade Alert to SPI-Club Members when I personally added to my exposure in TuSimple Holdings at $0.80 per share. The stock reached its all-time highest price on 30/06/2021, approximately 24 months ago, around the time the Bear Market began its sell-off, leading to increased volatility. Volatility can be your friend if you have a personal strategy, stay committed, and equal weight your portfolio either quarterly, half yearly but at least annually by adding new money or taking from your top performers and adding to the bottom performers.

When it comes to building an investment portfolio, inexperienced investors often gravitate towards stocks with recent upward momentum. They assume that higher-priced stocks offer greater potential for growth. However, this approach overlooks the hidden opportunities presented by undervalued stocks, which can hold immense potential for compounding growth.

Another common mistake made by inexperienced investors is they sell when a share falls instead of taking a longer-term view and buying more shares reaping the benefits of discounted prices.  You should not buy a share that you are not prepared to add to if the market value reduces significantly.

The power of compounding should never be underestimated, especially when it comes to low-priced investments. By adopting a mindset that seeks out hidden opportunities with undervalued equities, investors can tap into the compounding effect and generate significant wealth. This is typically achieved over the long term, but sometimes, if a share or sector performs exceptionally well, luck of timing can come into play, and the timeframe can be much shorter.

For instance, in the above example, TuSimple has gained over 200% in value since the Trade Alert on 12th May, please note in the example above the up side potential when returning to its all-time highest price 24 months ago has reduced by 5,645% because the share price went up 273.75% in just under 6 weeks!

You should not “bet the Farm” on the strategy of buying undervalued stocks, but a % of your portfolio, with a sensible spread, just may produce some staggering winners.

We hope this edition of our newsletter has provided you with valuable insights into the potential of compounding with low-priced investments.

Warmest regards

Stuart Langan

SPI-Club Founder

 

 

Dear SPI-Club Member

Investing in Therapeutic & Bioscience Innovators

SPI-Club Model Portfolio Analytics

There are 9 investment picks in the Bioscience and Therapeutics sector and the average upside across the 9, based on their all-time highest share price, is plus 1,192.42%.

It is worth noting that the all-time highest share price for 7 of the 9 Picks was achieved between December 2020 and November 2021.  The Bear Market struck around February 2022 and many believe we are now at the beginning of an at least 10 year Super Bull Market, the like we have never seen before, due to the pace of innovation, and I concur.

However, you have to be in to win!

Go to the SPI-Club Innovative and Disruptive Model Portfolio in the Members Area. I have changed the analytics to help members in their selections for their portfolios. See for yourself, if you need help, email me.

Investing in new innovations comes with risk, but if you are financially ambitious with the goal of becoming Financially Independent of the need to generate further earned income, the greatest risk is not taking a risk, as cash and deposits will disappoint.

My Question for you is;

Does Artificial Intelligence Technologies reduce investment risk and speed-up the development of innovation in Therapeutics and Biotech?

I say absolutely yes!  Let us know what you think after reading below.

Artificial Intelligence (AI) plays a significant role in adding value to research and development (R&D) in the Therapeutics and Bioscience industry. Here are some key areas where AI contributes:

Drug Discovery and Design: AI enables the identification and design of potential therapeutic compounds. Machine learning algorithms can analyse vast amounts of data, including biological, chemical, and clinical data, to predict the properties and behaviour of molecules. This accelerates the process of screening and identifying promising drug candidates, reducing the time and cost involved in traditional methods.

Virtual Screening and Target Identification: AI algorithms can efficiently analyse large databases of molecular structures and identify potential drug targets. This helps in prioritizing and selecting the most relevant targets for further investigation, increasing the efficiency of the drug discovery process.

Predictive Analytics and Modelling: AI techniques, such as machine learning and deep learning, can analyse complex data sets to identify patterns, predict outcomes, and model disease progression. This aids in understanding disease mechanisms, patient stratification, and treatment response prediction, facilitating personalized medicine approaches.

Clinical Trial Optimization: AI can optimize clinical trials by improving patient recruitment, selecting appropriate patient cohorts, and identifying potential safety issues. By analysing diverse data sources, including electronic health records, genomics, and real-world data, AI algorithms can enhance trial design, reduce costs, and expedite the development of new therapies.

Image Analysis and Medical Diagnostics: AI algorithms can analyse medical images, such as MRI scans, CT scans, and histopathology slides, to assist in disease detection, diagnosis, and treatment planning. Image recognition and deep learning techniques enable automated and more accurate interpretation of medical images, leading to improved efficiency and precision in diagnosis.

Precision Medicine and Biomarker Discovery: AI can aid in identifying biomarkers, molecular signatures, and genetic markers associated with specific diseases. By analysing patient data and molecular profiles, AI algorithms can assist in identifying patient subgroups, predicting treatment response, and guiding personalized treatment approaches.

Data Integration and Knowledge Management: AI enables the integration and analysis of diverse data types and sources, including genomics, proteomics, clinical data, and scientific literature. This integration facilitates the discovery of new insights, supports hypothesis generation, and enhances decision-making in R&D.

Overall, AI offers the potential to accelerate and optimize various stages of the Therapeutics and Bioscience R&D pipeline. It enables more efficient drug discovery, personalized medicine approaches, improved diagnostics, and data-driven decision-making, ultimately leading to advancements in patient care and outcomes.

What is Therapeutics & Bioscience?

Therapeutics is a branch of medicine that focuses on thetreatment and management of diseases, disorders, and injuries. It involves the use of various therapeutic approaches, such as medications, procedures, and interventions, to alleviate symptoms, promote healing, and restore health. Therapeutics encompasses a wide range of medical specialties and disciplines, including:

Pharmacotherapy: The use of drugs and medications to treat diseases. This includes prescribing, dosing, and monitoring the effects of drugs on patients.

Physical Therapy: The use of physical techniques, exercises, and interventions to restore physical function, mobility, and manage pain. Physical therapists may use modalities such as massage, heat, cold, and electrical stimulation.

Occupational Therapy: Focuses on helping individuals regain and improve their ability to perform daily activities and tasks, such as self-care, work, and leisure activities. Occupational therapists may use adaptive equipment and assistive technologies.

Speech Therapy: Also known as speech-language pathology, involves theassessment and treatment of communication disorders, including speech,language, voice, and swallowing difficulties.

Psychotherapy: The use of psychological techniques to treat mental and emotional disorders. Psychotherapists help individuals explore and address psychological issues through various therapeutic approaches, such as cognitive-behavioural therapy, psychodynamic therapy, and interpersonal therapy.

Radiation Therapy: The use of high-energy radiation to target and destroy cancer cells. It is commonly used in the treatment of cancer to shrink tumours and prevent their growth.

Gene Therapy: An experimental approach that aims to treat geneticdisorders by introducing or modifying genetic material within a person’s cells.It has the potential to correct genetic defects and restore normal cellularfunction.

Alternative and Complementary Therapies: Various non-conventional approaches, such as acupuncture, chiropractic, herbal medicine, and mindfulness-based techniques, which are used alongside or instead of traditional medical treatments.

These are just a few examples of the broad scope of therapeutics. The field continually evolves as new treatments and interventions are developed and refined to improve patient outcomes and well-being.

Bio Science; also known as life science or biological science, encompasses the study of living organisms, including their structure, function, behaviour, interactions, and processes. It includes various disciplines such as biology, biochemistry, genetics, pharmacology, and more.

Therapeutics, on the other hand, is the application of scientific knowledge and techniques from bioscience and other related fields to the treatment and management of diseases and disorders. It involves developing and utilizing therapies, medications, and interventions to improve health outcomes in patients.

While therapeutics relies on a strong foundation of bioscience knowledge, it also incorporates other aspects such as clinical research, drug development, and patient care. It combines the understanding of biological systems with clinical expertise to develop effective treatments and interventions for various medical conditions.

So, while therapeutics draws heavily from bioscience, it is a distinct field that focuses on the practical application of scientific knowledge to improve patient health and well-being.

Happy investing and best regards.

Stuart Langan

SPI-Club Founder

 

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