Why investing in gold ETFs is a good option

Gold ETFs will attract more investors ahead: Goldman Sachs

Below is the verbatim transcript of Mashruwala's interview with CNBC-TV18.

Q: Gold prices are now at nine month lows of below Rs 30,000 per 10gm; silver too is sitting at 15 month lows. Would you advise small investors to begin allocating higher investments in these precious metals? And will you advise buying physical gold or via exchange-traded funds (ETFs)?

A: I understand that the prices are falling and when prices fall the panic increases. Ideally it should be on overall asset allocation. Therefore, if one has decided that 75 percent of his allocation would go to equity, 20 percent into debt and 10 percent into gold then keep allocating that 10 percent amount to gold. Therefore, the only thing is an investor will end up buying more gold. This is as far as new investment is concerned.

As far as existing is concerned, the portfolio would have skewed, which means with gold valuations falling, the percentage of gold in portfolio would have gone down. In the last couple of days one has seen some panic and fast fall. Therefore, just hold back but if deviation is more than 10 percent of overall allocation -- so, had it been 10 percent of overall portfolio should be in gold and it has come down to 7-8 percent, it is time to hike it up.

Check out the performance of Gold ETF

Hence, lower levels, one need to hike it up and if there is a panic, wait for sometime. However, it's not a time to stop investing; investor can continue investing; he will increase because he is allocating the amount but it should not be a kneejerk reaction. It is not time to move out because investment was not based on valuation; it was based on overall portfolio allocation.

In terms of buying; should one buy in terms of physical or ETF? If it is from investment perspective obviously ETF because it is easier to hold on to it in demat form and there are tax benefits; one gets long-term benefits after a year and when one do not want to readjust, readjusting gold ETF is psychologically easier than physical gold. So, if one has physical gold and if either prices fall or rise and if one has to sell that then it hurts. Therefore, I always encourage gold ETF from investment perspective.

Q: Is silver an asset to allocate for investment purpose?

A: It is. The only thing is one has to buy silver physically because there is no silver ETF as yet and to that extent people can go slow because beyond a point in time storing becomes an issue. Where to store that and then if one has to rebalance it.

Therefore, purely from asset allocation it is a brilliant asset class, one more that you need to have but when it comes to rebalancing, liquidating while it's a  liquid asset, it is difficult because one will do physically. So, to that extent one can go slow and gold is still all-weather kind of asset and Indians love it so gold should get a priority over silver.

Amerisafe Pulled Down to Neutral - Analyst Blog

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On Jul 5, we downgraded our recommendation on Amerisafe Inc. (AMSF) to Neutral based on its consistently higher expense trend and lower yield from investments that limit earnings upside from current levels. Yet, improved underwriting performance instills confidence.

Why the Downgrade?

Amerisafe reported first-quarter 2013 operating earnings per share of 47 cents on May 2, exceeding 2 cents recorded in the year-ago quarter. However, results came in line with the Zacks Consensus Estimate. While total revenue of $86.5 million rose 9.9% year over year, it lagged the Zacks Consensus Estimate of $89 million. Higher premiums were partially offset lower investment income and higher loss and loss adjusted expenses.

Although underwriting profits surged over 50% during the reported quarter, underwriting expenses also grew about 29%, leading to deteriorated expense ratio and return on equity (ROE). Overall, Amerisafe delivered positive earnings surprises in 2 of the last 4 quarters with an average negative surprise of 10.7%.

Accordingly, the Zacks Consensus Estimate for both 2013 and 2014 stood intact at $2.04 per share and $2.48 per share, respectively, over the last 60 days. With the estimates of this specialty provider of workers' compensation insurance having witnessed no revisions, we see no clear directional pressure on the stock in the near term. Consequently, the company now has a Zacks Rank #3 (Hold).

While the pricing environment and industry demand has witnessed some improvement, the company is expected to face uncertainty in the upcoming quarters as the market weakness continues to hurt payrolls. Nevertheless, improved underwriting experience, prudent capital management, higher cash and investment portfolio, efficient capital deployment and affirmation of a strong financial strength rating augur decent lon! g-term growth.

Other Insurers to Consider

While we prefer to remain on the sidelines on Amerisafe for now, other stocks that are outperforming in the insurance sector include Hilltop Holdings Inc. (HTH), AmTrust Financial Services Inc. (AFSI) and HCI Group Inc. (HCI). All these stocks carry a Zacks Rank #1 (Strong Buy).

AT&T, Chernin Join Hulu Bid - Analyst Blog

Online video streaming company Hulu has attracted yet another bidder. This time, AT&T Inc. (T) and Chernin Group have submitted a $1 billion bid for the company.

Owned by Peter Chernin, a co-founder of Hulu, Chernin group had initially submitted a $500 million bid for the company. However, AT&T, which itself is looking to introduce its over-the-top (OTT) offering reinforced the company to submit a higher bid.

AT&T-Chernin Group and DIRECTV (DTV) are now believed to be the strong contenders for Hulu. In Jun 2013, DIRECTV, the largest satellite-TV operator in the U.S., offered $1 billion to acquire the online streaming company.

Since DIRECTV's initial bid for Hulu, the company has received a bid from Time Warner Cable Inc. (TWC) and a joint bid from Guggenheim Digital and private equity firm, Kohlberg Kravis Roberts & Co. L.P. (KKR). Guggenheim and KKR have since been eliminated from the bidding process. Time Warner Cable, on the other hand, wants to become a stake holder in Hulu. The owners could consider this as an option.

Hulu wants a buyer keen on investing in programming and maintaining its growth momentum. The company boasts a strong subscriber base of more than 4 million and has generated $700 million revenues last year through advertising and monthly subscriptions.

The U.S. pay-TV market is extremely competitive. In addition to the traditional cable TV and satellite TV operators, telecom giants are also offering fiber-based high-speed video services. In contrast, low-cost online video streaming services have also become very popular, especially when the economy is still reeling under fluctuations.

In order to survive, traditional pay-TV operators are diversifying in related fields. AT&T's major rival, Verizon (VZ), has invested in Redbox Instant, while Comcast Corp (CMCSA) acquired content developer, NBC Universal, and has deployed online video streaming service, Streampix.

AT&T's total U-verse TV subscribers reache! d 4.8 million at the end of the first quarter of 2013 with a net addition of 731,000 high-speed Internet users. However, growing saturation in the U.S. pay-TV market and increased competition from video streaming companies is affecting AT&T's market share.

We believe that acquiring Hulu will be profitable for AT&T, as it will be able to counter competition from other OTT companies like Netflix (NFLX) and YouTube. However, it has to be seen how things will shape up for AT&T's Hulu bid.

Currently, AT&T carries a Zacks Rank #3 (Hold).

Alcoa Limps Along the Neutral Path - Analyst Blog

We have retained our Neutral recommendation on aluminum giant Alcoa (AA). While healthy demand outlook across auto and aerospace markets is encouraging, we continue to tread with caution given the weak aluminum pricing.

Why Held?

Alcoa racked up a loss on a reported basis in second-quarter 2013, reported on Jul 8, hurt by hefty restructuring and legal charges. Weak aluminum pricing was masked by strong demand from aerospace and auto markets. Barring items, earnings matched the Zacks Consensus Estimate while sales beat. The Pennsylvania-based company reaffirmed its demand forecast for 2013.

Alcoa is seeing strength in the aerospace and auto markets. The company, which makes aircraft fasteners, is seeing improving airline fundamentals. It expects 9% to 10% growth in the aerospace market in 2013, backed by higher air travel demand, new aircraft orders (roughly 900 orders/commitments were signed in Paris Air Show), strong existing order backlog and a rebound in the jet segment.

The auto industry is also showing strength with new vehicle sales in the U.S. rising 9% year-over-year to roughly 1.4 million units in Jun 2013. Moreover, as per automotive original equipment manufacturers (OEMs), the use of aluminum in cars is expected to double by 2025 as automakers seek more fuel efficiency by reducing vehicle mass.

Moreover, Alcoa is pursuing strategies to move down its cost curves in its upstream businesses and drive profitability in its midstream and downstream businesses. The company is divesting underperforming assets through its restructuring program and is aggressively pursuing cost-cutting actions.

However, Alcoa continues to grapple with weak aluminum pricing. London Metal Exchange (LME) cash price fell 8% sequentially in the second quarter, hurting the company's sales in the process. Aluminum (for three-month delivery) traded $1,758 a ton in Jun 2013, a n! early four-year low.

In addition, Alcoa is still witnessing softness across building and construction and commercial transportation markets. It expects weakness in non-residential building and construction market to persist in Europe and expects a 4%-6% decline this year. Our view takes into account these factors.

Other Stocks to Consider

Other companies in the mining industry with favorable Zacks Rank are Impala Platinum Holdings Ltd. (IMPUY), Stillwater Mining Co. (SWC) and Avalon Rare Metals Inc. (AVL). While Impala Platinum and Stillwater Mining hold a Zacks Rank #1 (Strong Buy), Avalon Rare Metals retains a Zacks Rank #2 (Buy).

Will Costco Continue This Explosive Move?

With shares of Costco (NASDAQ:COST) trading around $112, is COST an OUTPERFORM, WAIT AND SEE or STAY AWAY? Let's analyze the stock with the relevant sections of our CHEAT SHEET investing framework:

T = Trends for a Stock’s Movement

Costco is engaged in the operation of membership warehouses in the United States and Puerto Rico, Canada, the United Kingdom, Mexico, Japan, Australia, and through majority-owned subsidiaries in Taiwan and Korea. Costco buys the majority of its merchandise directly from manufacturers and routes it to a depot or directly to its warehouses. The company’s typical warehouse format averages approximately 143,000 square feet and operate on a seven-day, 69-hour week. Many consumable products are offered for sale in case, carton, or multiple-pack quantities only. Consumers looking for competitive prices opt to shop at Costco because of the discounts seen on bulk items. As consumers continue to stock up and see fewer and less expensive trips to the grocery store, Costco is poised to see rising profits.

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T = Technicals on the Stock Chart are Strong

Costco stock has seen an explosive move higher over the last few years. This run has shot the stock up to all-time high prices and it doesn’t seem likely that it will stop just yet. Analyzing the price trend and its strength can be done using key simple moving averages. What are the key moving averages? The 50-day (pink), 100-day (blue), and 200-day (yellow) simple moving averages. As seen in the daily price chart below, Costco is trading above its rising key averages which signal neutral to bullish price action in the near-term.

(Source: Thinkorswim)

Taking a look at the implied volatility (red) and implied volatility skew levels of Costco options may help determine if investors are bullish, neutral, or bearish.

	Implied Volatility (IV)	30-Day IV Percentile	90-Day IV Percentile
Costco Options	20%	93%	90%

What does this mean? This means that investors or traders are buying a very significant amount of call and put options contracts, as compared to the last 30 and 90 trading days.

	Top 10 Investments For 2014 Put IV Skew	Call IV Skew
June Options	Flat	Average
July Options	Flat	Average

As of today, there is an average demand from call buyers or sellers and low demand by put buyers or high demand by put sellers, all neutral to bullish over the next two months. To summarize, investors are buying a very significant amount of call and put option contracts and are leaning neutral to bullish over the next two months.

On the next page, let’s take a look at the earnings and revenue growth rates and the conclusion.

E = Earnings Are Increasing Quarter-Over-Quarter

Rising stock prices are often strongly correlated with rising earnings and revenue growth rates. Also, the last four quarterly earnings announcement reactions help gauge investor sentiment on Costco’s stock. What do the last four quarterly earnings and revenue growth (Y-O-Y) figures for Costco look like and more importantly, how did the markets like these numbers?

	2012 Q4	2012 Q3	2012 Q2	2012 Q1
Earnings Growth (Y-O-Y)	37.78%	30.14%	29.13%	20.55%
Revenue Growth (Y-O-Y)	8.29%	9.65%	14.34%	8.25%
Earnings Reaction	1.27%	-0.6%	1.92%	1.4%

Costco has seen increasing earnings and revenue figures over the last four quarters. From these figures, the markets have generally been pleased with Costco’s recent earnings announcements.

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P = Average Relative Performance Versus Peers and Sector

How has Costco stock done relative to its peers, Target (NYSE:TGT), Wal-Mart (NYSE:WMT), Pricesmart (NASDAQ:PSMT), and sector?

	Costco	Target	Wal-Mart	Pricesmart	Sector
Year-to-Date Return	14.07%	18.29%	16.62%	17.48%	14.01%

Costco has been an average performer, year-to-date.

Conclusion

Costco provides essential products and services to a growing audience looking for efficient shopping trips and relatively inexpensive products. The stock has surged higher over the last few years and is now trading at all-time high prices. Earnings and revenue figures have been growing at an impressive rate which has really excited investors. Relative to its peers and sector, Costco has been an average year-to-date performer. Look for Costco to OUTPERFORM.

Asian Stocks Outside Japan Drop, Led by Emerging Markets

Asian stocks outside Japan fell for a third day as a retreat in emerging markets dragged the regional equities gauge to its lowest level in a week. Japan's Topix index gained amid low trading volumes.

Tokyo Electric Power Co. fell 3.6 percent after saying an alarm went off at its Fukushima Dai-Ichi nuclear reactor, indicating high radioactive concentration. BlueScope Steel Ltd. (BSL) fell 14 percent as sales missed analyst estimates and Australia's No. 1 steel producer forecast a weaker first half of the financial year. JX Holdings Inc. (5020) gained 4 percent after Mitsubishi UFJ Morgan Stanley Securities Co. advised buying the Japanese refiner's shares.

The MSCI Asia Pacific excluding Japan Index fell 0.5 percent to 444.71 as of 2:22 p.m. in Hong Kong. Eight of the 10 industry groups on the gauge dropped. The measure has lagged an increase in U.S. stocks this year as growth slows in China and speculation that the Federal Reserve will curb U.S. bond buying spurred investors to sell assets perceived as riskier across Asia and emerging markets. The Federal Open Market Committee's July meeting minutes are scheduled to be released on Aug. 21.

"The market's going to be watching the FOMC minutes this week to see if there's any more indication in regards to potential of tapering in September, which is what we're currently predicting," Martin Lakos, a Sydney based director at Macquarie Private Wealth, told Bloomberg TV. "There are still some concerns that a big move in QE will be disruptive."

The MSCI Asia Pacific excluding Japan Index slid 4.1 percent this year through Aug. 16, lagging a 16 percent surge on the S&P 500 Index.

Relative Value

The MSCI Asia Pacific Index, the benchmark regional gauge that includes Japan, slid 0.1 percent. It traded at 13 times estimated earnings on Aug. 16 compared with 15 for the S&P 500 Index and 14 times for the Stoxx Europe 600 Index, according to data compiled by Bloomberg.

Japan's Topix index rose 0.6 percent, reversing a decline of 0.4 percent, with trading volume 43 percent below its 30-day average. Japanese exports increased 12.2 percent in July from a year earlier, data showed today, less than the 12.8 percent estimated by economists. Imports jumped 19.6 percent.

The Topix gained 34 percent this year through Aug. 16, the world's best-performing developed equity market, amid optimism Prime Minister Shinzo Abe will push through reforms while the central bank provides record stimulus to spur an economic recovery. Daily trading volume on the gauge fell to the lowest this year on Aug. 12 and remained near that level throughout last week as investors took summer vacations.

Regional Gauges

Australia's S&P/ASX 200 Index was little changed. New Zealand's NZX 50 Index fell 0.2 percent and South Korea's Kospi index lost 0.1 percent. Singapore's Straits Times Index slipped 0.4 percent and Taiwan's Taiex Index slid 0.3 percent. Thailand's SET Index slid 2.1 percent and Indonesia's Jakarta Stock Exchange Composite Index slipped 3.8 percent. India's S&P BSE Sensex Index retreated 1.2 percent.

Top 10 Penny Companies To Watch In Right Now

Hong Kong's Hang Seng Index was little changed as property developers retreated. China's Shanghai Composite gained 0.6 percent.

Chinese stocks were roiled Aug. 16 by a trading error at Everbright Securities Co. that spurred a 53 percent surge in volume and a swing of more than 6 percent in the Shanghai Composite Index. Erroneous buy orders from Everbright's proprietary trading group sparked the early rally, the securities regulator said.

China Property

China's new home prices rose in July for a third month in all but one city, led by gains in the biggest metropolitan centers on anticipation the government will focus on a longer-term housing plan rather than immediate curbs.

Country Garden Holdings Co. dropped 3.6 percent to HK$4.86 in Hong Kong, pacing losses among Chinese developers.

"If prices rise too quickly, it does encourage the mainland authorities to come back with some policy measures to try to cool the market," Andrew Lawrence, a Hong Kong-based analyst at CIMB Group Holdings Bhd., told Bloomberg TV. "This rise in prices will concern investors with regards to policy responses."

Futures on the Standard & Poor's 500 Index (SPX) gained 0.1 percent today. The U.S. gauge lost 0.3 percent on Aug. 16, capping its biggest weekly drop in almost two months, as investors weighed data showing housing starts climbed in July while a gauge of consumer confidence fell.

Tokyo Electric Power retreated 3.6 percent to 622 yen. Two workers at the Fukushima Dai-Ichi nuclear plant were exposed to radiation today near a quake-resistant building, after the radioactivity alarm of a dust monitor went off, according to an e-mailed statement from the utility.

Bluescope tumbled 14 percent to A$4.70 after forecasting profit this half won't beat the preceding six months.

JX Holdings advanced 4 percent to 547 yen in Tokyo. Mitsubishi UFJ Morgan Stanley upgraded the shares to outperform from neutral

Funds to Watch: What Investors Are Eyeing Now

Another signal that the Great Rotation is at hand? Maybe not, but investors and advisors are at least looking into equity strategies.

Morningstar analyzed searches made on its three platforms—Morningstar Direct for institutional advisors, Morningstar Advisor Workstation and consumer-facing Morningstar.com—to see which funds were generating the most interest among individual and institutional investors, and financial advisors.

Across all three platforms, investors and advisors showed an increased interest in large-cap equities in the first part of the year, Morningstar found.

Individual investors were most interested in emerging market ETFs, while advisors preferred bond ETFs and large-cap strategies. The firm noted, however, that after showing limited interest in energy sector ETFs in the prior period, it topped the current list.

Similarly, after no bank loan strategies made the list of individual investors’ most researched funds in 2012, one was featured on both the top mutual funds and top ETFs list.

Morningstar also found that advisors’ interest in fixed income funds has slackened since 2012.

“Core equity and bond strategies largely remain the most-researched investments across our main product platforms, but changes to the number of searches in niche categories indicate that investors were switching gears in the first half of the year,“ Paul Justice, director of fund research for Morningstar, said in a statement. “In the institutional segment, we saw a dramatic increase in interest in international preferred stock and junk-rated domestic bonds, likely because of the rapid shift in interest rates in the United States.”

Investors’ Most Researched Mutual Funds

Investors' Most Interesting ETFs

Advisors' Most Interesting Mutual Funds

Advisors’ Most Interesting ETFs

Institutional Investors' Most Interesting Mutual Funds

Top 5 Insurance Stocks To Invest In Right Now

Institutional Investors' Most Interesting ETFs

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Top Penny Stocks To Own For 2014

On Wednesday, JPMorgan Chase (NYSE: JPM  ) shares were trading a penny shy of $50. Today, the superbank has broken through the $50 barrier, and is trading at $50.21 two hours into the day: up 1.09% since the opening bell after being up 0.13% in overnight trading.

JPMorgan stock hasn't traded at better than $50 per share since before the financial crisis. Given the trials and travails the bank has been experiencing lately, and truthfully, ever since the London Whale trading scandal broke last year, this is a bit of a shocker -- one that defies easy explanation.

Market roundup
And before we even attempt one, here's what JPMorgan's peers and the markets are up to so far:

Bank of America is already up a big 2.16%. Citigroup is also up big: 1.91%. Wells Fargo (NYSE: WFC  ) -- the low-drama, Steady Eddie of big banking -- is up a more measured 1.15%.

The markets are all in the green so far, as well:

Top Penny Stocks To Own For 2014: NRG Energy Inc.(NRG)

NRG Energy, Inc., together with its subsidiaries, operates as a wholesale power generation company. The company engages in the ownership, development, construction, and operation of power generation facilities. It also involves in the transacting in and trading of fuel and transportation services; the trading of energy, capacity, and related products in the United States and internationally; and the supply of electricity, energy services, and cleaner energy and carbon offset products to retail electricity customers in deregulated markets. The company operates natural gas- fired, coal- fired, oil-fired, nuclear, solar, and wind power plants. As of December 31, 2010, it had power generation portfolio of 193 operating fossil fuel and nuclear generation units with an aggregate generation capacity of approximately 24,570 megawatt (MW), as well as ownership interests in renewable facilities with an aggregate generation capacity of 470 MW. The company portfolio also includes appr oximately 24,035 MW generation capacity in the United States, and 1,005 MW generation capacity in Australia and Germany. In addition, it has a district energy business with steam and chilled water capacity of approximately 1,140 megawatts thermal equivalent. NRG Energy, Inc. was founded in 1989 and is headquartered in Princeton, New Jersey.

Top Penny Stocks To Own For 2014: Oneida Financial Corp.(ONFC)

Oneida Financial Corp. operates as the bank holding company for The Oneida Savings Bank that provides community banking services primarily in Madison and Oneida Counties in New York, and surrounding counties. Its deposit products include savings accounts, interest-bearing demand accounts, non interest-bearing checking accounts, money market accounts, certificates of deposit, and individual retirement accounts. The company?s loan products portfolio comprises one-to-four family residential and commercial real estate loans, consumer loans, and commercial business loans. It also offers trust and investment services, including fiduciary services for trusts and estates, money management, and custodial services. In addition, the company sells insurance; provides employee benefits consulting services; and offers risk management services to help mitigate and prevent work related injuries. It operates through 10 full service branch offices in Madison and Oneida Counties; and 1 full service branch office in Onondaga County in New York. The company was founded in 1866 and is based in Oneida, New York. Oneida Financial Corp. is a subsidiary of Oneida Financial MHC.

Hot Canadian Stocks To Watch Right Now: Qualstar Corporation(QBAK)

Qualstar Corporation designs, develops, manufactures, and sells automated magnetic tape libraries used to store, retrieve, and manage electronic data primarily in network computing environments worldwide. Its tape libraries consists of cartridge tape drives, tape cartridges, and robotics to move the cartridges from their storage locations to the tape drives under software control. The tape libraries also provide data storage solutions for organizations requiring backup, recovery, and archival storage of critical electronic information. The company also offers ancillary products related to its tape libraries, such as tape media, tape magazines, cables, bar code labels, and fiber channel adapters. In addition, it designs, develops, and sells switching power supplies that are used to convert alternate current line voltage to direct current voltages for use in electronic equipment, such as telecommunications equipment, servers, routers, switches, lighting, and gaming devices. Qualstar Corporation sells its tape drive products primarily to value added resellers and original equipment manufacturers, as well as switching power supplies primarily to original equipment manufacturers, contract manufacturers, and distributors. The company was founded in 1984 and is headquartered in Simi Valley, California.

Top Penny Stocks To Own For 2014: Coffee Holding Co. Inc.(JVA)

Coffee Holding Co., Inc. engages in manufacturing, roasting, packaging, marketing, and distributing roasted and blended coffees in the United States and Canada. The company offers three categories of products: wholesale green coffee, private label coffee, and branded coffee. The wholesale green coffee product category consists of unroasted raw beans imported from worldwide that are sold to roasters and coffee shop operators in approximately 90 varieties. The private label coffee product category includes coffee roasted, blended, packaged, and sold under the specifications and names of others. As of October 31, 2010, the company supplied private label coffee under approximately 34 different labels to wholesalers and retailers in cans, brick packages, and instants in various sizes. The branded coffee product category comprises coffee roasted and blended to the company's own specifications and offered under its seven brand names in various segments of the market. The company also offers other products, including trial-sized mini-brick coffee packages; specialty instant coffees; instant cappuccinos and hot chocolates; and tea line products. Its coffee brands include Cafe Caribe, S&W, Cafe Supremo, Don Manuel, Fifth Avenue, Via Roma, IL CLASSICO, and Entenmann. Coffee Holding Co., Inc. markets its private label and wholesale coffee through trade shows, industry publications, face-to-face contacts, internal sales force, and non-exclusive independent food and beverage sales brokers, as well as through its Web site, coffeeholding.com. The company was founded in 1971 and is headquartered in Staten Island, New York.

Top Penny Stocks To Own For 2014: L&L Energy Inc.(LLEN)

L&L Energy, Inc., through its subsidiaries, engages in the coal mining, clean coal washing, coal coking, and coal wholesaling businesses in the People?s Republic of China. It involves in producing, processing, and selling metallurgical coke used primarily for steel manufacturing; and crushing coal and washing out soluble sulfur compounds with water or other solvents. The company has four coal mines comprising the DaPuAn, SuTsong, Ping Yi, and DaPing mines; three coal washing plants; one coking facility; and coal wholesale and distribution facilities. It also has a financial interest in the Bowie mine, a thermal coal mine located in Paonia, Colorado. The company provides its products to customers in the steel and the electrical/utility industries, as well as to cement factories. L&L Energy, Inc. sells its products directly and through third-party wholesalers. The company was formerly known as L & L International Holdings, Inc. and changed its name to L&L Energy, Inc. in Jan uary 2010. L&L Energy, Inc. was founded in 1995 and is headquartered in Seattle, Washington.

Top Penny Stocks To Own For 2014: Crown Crafts Inc.(CRWS)

Crown Crafts, Inc., through its subsidiaries, offers infant and toddler products primarily in the United States. Its products include crib and toddler bedding, blankets, nursery accessories, room d

Bear of the Day: Taseko (TGB) - Bear of the Day

Best Bank Stocks To Buy For 2014

This year has been quite challenging for copper miners with declining demand for the metal and rising inventories. Disappointing results have in turn led to sharp downward estimates revisions, sending Taseko Mines to a Zacks Rank # 5 (Strong Sell).

About the Company

Headquartered in Vancouver, Canada, Taseko Mines Limited (TGB) owns and operates mining properties in Canada. The company currently produces copper and molybdenum.

Disappointing Results and Guidance

On May 2, 2013, Taseko reported it first quarter 2013 results. The quarter resulted in an adjusted loss of $2.9 million, down from net earnings of $3.1 million for the first quarter of 2013. On a per-share basis, the loss was $0.01 per share, below consensus.

Downwards Revisions

Due to disappointing results, quarterly and annual estimates have been revised sharply downwards in the past few weeks by analysts.

Zacks consensus estimate for the current quarter now stands at a negative $0.01 per share versus $0.04 per share, 60 days ago, while the full-year consensus estimate is $0.11 per share now, down from $0.21 per share.

The Bottom Line

While the company is trying to grow production and lower costs, lower copper prices resulting from high inventories and global slow-down continue to act as headwinds.

TGB is currently Zacks Rank # 5 (Strong Sell) stock and it has a longer-term recommendation of "Underperform". Further the Zacks Industry rank of 231 out of 265 also indicates weakness in the near- to mid- term. Thus we think investors should avoid this stock for the time being.

Better Play?

Investors looking for exposure to the mining industry could look at Avalon Rare Metals (AVL) or Stillwater Mining (SWC)--both Zacks rank#1 (Strong Buy) stocks with "Outperform' recommendation.

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Top 10 Oil Stocks To Watch For 2014

In today's low-yield environment investors are scrambling to make up the paltry income found in bonds and are increasingly looking to higher-yielding stocks. In some cases investors are taking on too much risk for the reward of a few extra dollars of income. However, in the case of these three stocks to follow, investors can get their desired income by investing in companies with a secure future. That's why these three stocks are some the best dividend payers in the energy sector today.

BreitBurn Energy Partners (NASDAQ: BBEP  )
The oil and gas producer is structured like an MLP that most income investors have become well acquainted with these days. The only difference here is that BreitBurn produces oil and gas instead of transporting or storing it. That business�model�and structure has enabled the company to pay a very generous 10% distribution. Further, it strives to deliver best-in-class distribution growth which it recently delivered when it boosted the distribution by 4%.

Top 10 Oil Stocks To Watch For 2014: Transportadora de Gas del Sur SA (TGS)

Transportadora de Gas del Sur S.A. (TGS) is engaged in the transportation of natural gas and production and commercialization of natural gas liquids (NGL). TGS�� pipeline system connects major gas fields in southern and western Argentina with gas distributors and industries in those areas and in the greater Buenos Aires area. The Company also renders midstream services, which consist of gas treatment, removal of impurities from the natural gas stream, gas compression, wellhead gas gathering and pipeline construction, operation, and maintenance services. The Company operates in three segments: natural gas transportation services through its pipeline system; NGL production and commercialization, and other services, which include midstream and telecommunication services.

During the year ended December 31, 2009, the Company�� gas transportation represented approximately 42% of total net revenues. During 2009, its NGL production and commercialization segment accounted for 50% of the total revenues of the Company. During 2009, its other services segment accounted for 8% of total revenues of the Company. Its other services segment consists of midstream and telecommunications services. Through midstream services, TGS provides integral solutions related to natural gas from wellhead up to the transportation systems. The services consists of gas gathering, compression and treatment, as well as construction, operation and maintenance of pipelines, which are generally rendered to natural gas and oil producers at wellhead. The customers��portfolio also includes distribution companies, industrial users, power plants and refineries.

During 2009, the Company provided a range of technical services to different customers. The services consisted of connections to the transportation system, engineering inspections, project management and professional technical counseling. Telecommunication services are provided through Telcosur S.A. (Telcosur), who renders services both as an independent c! arrier of carriers and to corporate clients within its area. Telcosur has a digital land radio connection system.

Top 10 Oil Stocks To Watch For 2014: Weatherford International Ltd(WFT)

Weatherford International Ltd. provides equipment and services used in the drilling, evaluation, completion, production, and intervention of oil and natural gas wells worldwide. It offers artificial lift systems, which include reciprocating rod lift systems, progressing cavity pumps, gas lift systems, hydraulic lift systems, plunger lift systems, hybrid lift systems, wellhead systems, and multiphase metering systems. The company also provides drilling services, including directional drilling, ?Secure Drilling? services, well testing, drilling-with-casing and drilling-with-liner systems, and surface logging systems; and well construction services, such as tubular running services, cementing products, liner systems, swellable products, solid tubular expandable technologies, and inflatable products and accessories. In addition, it designs and manufactures drilling jars, underreamers, rotating control devices, and other pressure-control equipment used in drilling oil and nat ural gas wells; and offers a selection of in-house or third-party manufactured equipment for the drilling, completion, and work over of oil and natural gas wells for operators and drilling contractors, as well as a line of completion tools and sand screens. Further, the company provides wireline and evaluation services; and re-entry, fishing, and thru-tubing services, as well as well abandonment and wellbore cleaning services; stimulation and chemicals, including fracturing and coiled tubing technologies, cement services, chemical systems, and drilling fluids; integrated drilling services; and pipeline and specialty services. It serves independent oil and natural gas producing companies. The company was founded in 1972 and is headquartered in Geneva, Switzerland.

Advisors' Opinion:

• [By Tom Bishop]

  Weatherford International (WFT) is trading around $14. Weatherford is a leading provider of equipment and services to the oil and gas industry, based in Switzerland. These shares have traded in a range betwe en $10.85 to $26.25 in the last 52 weeks. The 50-day moving average is $15.46 and the 200-day moving average is $19.62. WFT is estimated to earn about 88 cents per share in 2011 and $1.67 for 2012. Analysts at UBS set a $28 price target for WFT share.

Top Dividend Companies To Own In Right Now: Apache Corporation(APA)

Apache Corporation, together with its subsidiaries, engages in the exploration, development, and production of natural gas, crude oil, and natural gas liquids. The company has exploration and production interests in the Gulf of Mexico, the Gulf Coast, east Texas, the Permian basin, the Anadarko basin, and the Western Sedimentary basin of Canada; and onshore Egypt, offshore Western Australia, offshore the United Kingdom in the North Sea, and onshore Argentina, as well as on the Chilean side of the island of Tierra del Fuego. Apache Corporation sells its natural gas to local distribution companies, utilities, end-users, integrated oil and gas companies, and marketers; and crude oil to integrated oil companies, marketing and transportation companies, and refiners. As of December 31, 2009, it had total estimated proved reserves of 1,067 million barrels of crude oil, condensate, and natural gas liquids, as well as 7.8 trillion cubic feet of natural gas. The company was founded in 1954 and is based in Houston, Texas.

Advisors' Opinion:

• [By Dennis Slothower]

  Apache Corp. (NYSE:APA): Down 1.15% to $82.73. Apache Corporation is an independent energy company. The Company explores for, develops, and produces natural gas, crude oil, and natural gas liquids. The Company has operations in North America, onshore Egypt, offshore Western Australia, offshore the United Kingdom in the North Sea (North Sea), and onshore Argentina, as well as on the Chilean side of the island of Tierra del Fuego.

Top 10 Oil Stocks To Watch For 2014: Sunoco Inc.(SUN)

Sunoco, Inc., through its subsidiaries, refines and markets petroleum products in the United States. Its Logistics segment operates refined product and crude oil pipelines and terminals; and acquires and markets crude oil and refined products. As of December 31, 2011, this segment owned and operated approximately 5,400 miles of crude oil pipelines and approximately 2,500 miles of refined product pipelines. It also operates 42 active terminals that receive refined products from pipelines and distribute them to third parties. The company?s Retail Marketing segment engages in the retail sale of gasoline and middle distillates; and operation of convenience stores. This segment operates outlets primarily in Connecticut, Florida, Maryland, Massachusetts, Michigan, New Jersey, New York, Ohio, Pennsylvania, and Virginia. Its Refining and Supply segment offers petroleum products, including gasoline and residual fuel oil, as well as middle distillates, such as jet fuel, heating oil , and diesel fuel; and commodity petrochemicals comprising propylene-propane, benzene, and cumene. This segment offers its products to wholesale and industrial customers. The company was founded in 1886 and is based in Philadelphia, Pennsylvania.

Top 10 Oil Stocks To Watch For 2014: Kodiak Oil & Gas Corp (KOG)

Kodiak Oil & Gas Corp. (Kodiak) is an independent energy company focused on the exploration, exploitation, acquisition and production of crude oil and natural gas in the United States. Kodiak has developed an oil and natural gas asset base of proved reserves, as well as a portfolio of development and exploratory drilling opportunities on high-potential prospects with an emphasis on oil resource plays. The Company�� oil and natural gas reserves and operations are primarily concentrated in the Williston Basin of North Dakota. As of January 31, 2012, it had approximately 169,000 net acres under lease, including 157,000 net acres in the Bakken oil play in the Williston Basin of North Dakota and Montana. In January 2012, the Company acquired Williston Basin oil and gas producing properties and undeveloped leasehold. On January 10, 2012, it acquired certain oil and gas leaseholds, overriding royalty interests and producing properties located in North Dakota.

Top 10 Oil Stocks To Watch For 2014: Western Refining Inc.(WNR)

Western Refining, Inc. operates as an independent crude oil refiner and marketer of refined products. The company operates in three segments Refining Group, Wholesale Group, and Retail Group. The Refining Group segment operates two refineries in Texas and Mexico; two stand-alone refined product distribution terminals in New Mexico; and four asphalt terminals in Texas, as well as operates crude oil transportation and gathering pipeline system in New Mexico. It refines various grades of gasoline, diesel fuel, jet fuel, and other products from crude oil, other feedstocks, and blending components; and acquires refined products through exchange agreements and from various third-party suppliers. This segment sells its products through its wholesale group and service stations, independent wholesalers and retailers, commercial accounts, and sales and exchanges with oil companies. The Wholesale Group segment distributes commercial wholesale petroleum products primarily in Arizona, California, Colorado, Nevada, New Mexico, Texas, and Utah for retail fuel distributors, as well as for the mining, construction, utility, manufacturing, transportation, aviation, and agricultural industries. The Retail Group segment operates service stations, which include convenience stores or kiosks that sell various grades of gasoline, diesel fuel, general merchandise, and beverage and food products to the general public. As of February 24, 2012, it operated 210 service stations with convenience stores or kiosks located in Arizona, New Mexico, Colorado, and Texas. The company was incorporated in 2005 and is headquartered in El Paso, Texas.

Advisors' Opinion:

• [By Roberto Pedone]

  Another stock that's starting to trend within range of triggering a near-term breakout trade is Western Refining (WNR), a crude oil refiner and marketer of refined products. It also operates service stations and convenience stores. This stock is off to a decent start in 2013, with shares up 10.8%.

  If you look at the chart for Western Refining, you'll notice that this stock has been uptrending strong for the last month and change, with shares soaring higher from its low of $25.47 to its recent high of $32.09 a share. During that uptrend, shares of WNR have been consistently making higher lows and higher highs, which is bullish technical price action. This stock has also moved back above both its 50-day and 200-day moving averages, which is bullish. That move has now pushed shares of WNR within range of triggering a near-term breakout trade.

  Traders should now look for long-biased trades in WNR if it manages to break out above some near-term overhead resistance at $32.09 a share with high volume. Look for a sustained move or close above that level with volume that hits near or above its three-month average action of 1.96 million shares. If that breakout triggers soon, then WNR will set up to re-test or possibly take out its next major overhead resistance levels at $34 to $36.50 a share. Any high-volume move above $36.50 will then give WNR a chance to tag its 52-week high at $39.42 a share.

  Traders can look to buy WNR off any weakness to anticipate that breakout and simply use a stop that sits right below either its 200-day at $30.06 a share or its 50-day at $29.30 a share. One can also buy WNR off strength once it takes out that breakout level with volume and then simply use a stop that sits a comfortable percentage from your entry point.

  This is yet again another name that the bears are in love with, since the current short interest as a percentage of the float for WNR is crazy high at 39.7%. A monster short-squeeze could easily trigger here if that breakout hits soon, so make sure to put this name on your trading radar.

Top 10 Oil Stocks To Watch For 2014: Occidental Petroleum Corporation(OXY)

Occidental Petroleum Corporation, together with its subsidiaries, operates as an oil and gas exploration and production company primarily in the United States. The company operates in three segments: Oil and Gas; Chemical; and Midstream, Marketing, and Other. The Oil and Gas segment explores for, develops, produces, and markets crude oil, natural gas liquids, and condensate and natural gas. Its domestic oil and gas operations are located in Texas, New Mexico, California, Kansas, Oklahoma, Utah, Colorado, North Dakota, and West Virginia; and international oil and gas operations are located in Bahrain, Bolivia, Colombia, Iraq, Libya, Oman, Qatar, the United Arab Emirates, and Yemen. As of December 31, 2010, this segment had proved reserves of approximately 3,363 million barrels of oil equivalent. The Chemical segment manufactures and markets basic chemicals, including chlorine, caustic soda, chlorinated organics, potassium chemicals, and ethylene dichloride products; vinyls, such as vinyl chloride monomer and polyvinyl chloride; and other chemicals comprising chlorinated isocyanurates, resorcinol, sodium silicates, and calcium chloride products. The Midstream, Marketing, and Other segment gathers, treats, processes, transports, stores, purchases, and markets crude oil that includes natural gas liquids and condensate, as well as natural gas and carbon dioxide. This segment also involves in the power generation; and trades around its assets comprising pipelines and storage capacity, as well as oil and gas, other commodities, and commodity-related securities. Occidental Petroleum Corporation was founded in 1920 and is based in Los Angeles, California.

Advisors' Opinion:

• [By Jonas Elmerraji]

  The past quarter has been pretty so-so for shareholders in Occidental Petroleum (OXY). Despite a strong start to 2013, shares of the $70 billion oil and gas exploration firm have stalled out for the last few months, churning sideways since May.

  But that hasn't kept OXY off of fund managers' buy lists. All told, institutions picked up more than 3 million shares of the firm last quarter, upping their stakes by more than 15%. So does it make sense to follow that lead?

   

  Well, there's no question that OXY goes against the grain when it comes to finding growth in the energy sector. Unlike the bigger-names in the field, Occidental is a pure play on exploration and production, the more lucrative side of the oil and gas business. The firm doesn't own refinery assets, and it doesn't own gas stations. But in many ways, that's a good thing -- refining and retail are lower-margin components of the business for integrated supermajors. With oil prices quietly creeping their way higher this year, it's a mistake to count OXY out.

  Because OXY doesn't own the downstream assets that similarly-sized firms do, it's better able to scale down production when prices are less favorable -- that price elasticity means that OXY can react quickly to market conditions. The firm's financial wherewithal also means that investors can lay claim to a 2.9% dividend yield right now. OXY isn't the biggest or most visible name in the energy sector, but as oil and gas prices remain on the high end of their historic range, it makes sense to own it.

• [By Gordon Wilcox]

  Occidental Petroleum (NYSE: OXY) Occidental, the fourth-largest U.S. oil company by market value, announced earlier this year it would reduce its Bakken Shale footprint due to high operating costs. However, the California-based company emphasized Bakken is still part of its long-term plans. Additionally, it should be noted Occidental said it would shift resources out of the Bakken to other U.S. shale plays, such as the Monterey Shale and the Permian Basin in West Texas and New Mexico.

  As is the case with most oil equities, there are risks that must be acknowledged with Occidental. First, while the company does not drill offshore, it does operate in some politically volatile places, including Libya. Second, the company is the dominant producer in the Monterey Shale, but California has been slow to approve new drilling permits there. That could weight on Occidental’s output numbers over the medium-term.

  On the bright side, Occidental does compensate investors for their patience. The dividend has more than quadrupled since 2003.

Top 10 Oil Stocks To Watch For 2014: Pengrowth Energy Corp (PGH)

Pengrowth Energy Corporation (Pengrowth) is engaged in the development, production and acquisition of, and the exploration for, oil and natural gas reserves in the provinces of Alberta, British Columbia, Saskatchewan, Ontario and Nova Scotia. The Company�� producing properties include Lindbergh, Swan Hills Area, Greater Olds/Garrington Area and Southeast Saskatchewan. In February 2012, the Company commenced the injection of steam at its Lindbergh pilot project. On May 31, 2012, the Company acquired NAL Energy Corporation. In November 2012, the Company acquired additional Lochend Cardium assets with production capability of approximately 650 barrels of oil equivalent, weighted 95% to light oil. In March 2013, the Company completed the divestiture of its non-core Weyburn asset. Advisors' Opinion:

• [By Roberto Pedone]

  Pengrowth Energy (PGH) is engaged in the development, production and acquisition of, as well as the exploration for, oil and natural gas reserves in the provinces of Alberta, British Columbia, Saskatchewan and Nova Scotia. This stock closed up 1.6% to $5.69 in Thursday's trading session.

  Thursday's Range: $5.60-$5.75
  
  52-Week Range: $3.82-$7.49
  
  Thursday's Volume: 1.06 million
  
  Three-Month Average Volume: 1.62 million

  From a technical perspective, PGH bounced modestly higher here right above some near-term support at $5.57 with decent upside volume. This stock recently pulled back after a solid uptrend, from $6.06 to that $5.57 low. Shares of PGH now look ready to resume its uptrend and potentially trigger a near-term breakout trade. That trade will hit if PGH manages to take out some near-term overhead resistance levels at $5.88 to $6.06 with high volume.

  Traders should now look for long-biased trades in PGH as long as it's trending above support at $5.57 to more support at $5.40 and then once it sustains a move or close above those breakout levels with volume that hits near or above 1.62 million shares. If that breakout triggers soon, then PGH will set up to re-test or possibly take out its next major overhead resistance levels at 7 to $7.50.

Top 10 Oil Stocks To Watch For 2014: EQT Corporation(EQT)

EQT Corporation, together with its subsidiaries, operates as an integrated energy company in the United States. It operates in three segments: EQT Production, EQT Midstream, and Distribution. The EQT Production segment engages in the exploration, development, and production of natural gas, natural gas liquids, and crude oil in the Appalachian Basin. This segment?s properties are located primarily in Kentucky, West Virginia, Virginia, and Pennsylvania. As of December 31, 2010, it had 5.2 trillion cubic feet of proved reserves across 3.5 million acres. The EQT Midstream segment provides gathering, processing, transmission, and storage services for the independent third parties in the Appalachian Basin. It has approximately 10,900 miles of gathering lines and 770 miles of transmission lines. The Distribution segment distributes and sells natural gas to residential, commercial, and industrial customers in southwestern Pennsylvania, West Virginia, and eastern Kentucky. It also operates a gathering system in Pennsylvania; and purchases and delivers gas to customers. This segment serves approximately 276,500 customers consisting of 257,900 residential customers, and 18,600 commercial and industrial customers. The company was formerly known as Equitable Resources, Inc. and changed its name to EQT Corporation in February 2009. EQT Corporation was founded in 1925 and is headquartered in Pittsburgh, Pennsylvania.

Advisors' Opinion:

• [By Louis Navellier]

  EQT Corp. (NYSE:EQT) was formerly known as Equitable Resources, Inc. and is a natural gas producer in the Appalachian Basin. Potential investors might be nervous to buy in this market, but EQT is a standout buy, up 40% in 2011.

Top 10 Oil Stocks To Watch For 2014: Halcon Resources Corp (HK)

Halcon Resources Corporation (Halcon Resources), incorporated on February 5, 2004, is an independent energy company focused on the acquisition, production, exploration and development of onshore liquids-rich oil and natural gas assets in the United States. The Company has oil and natural gas reserves located primarily in Texas, North Dakota, Louisiana, Oklahoma and Montana. On August 1, 2012, the Company acquired GeoResources by merger. On December 6, 2012, the Company completed the acquisition of entities owning approximately 81,000 net acres prospective for the Bakken / Three Forks formations primarily located in Williams, Mountrail, McKenzie and Dunn Counties, North Dakota (the Williston Basin Assets), from Petro-Hunt, L.L.C. and Pillar Energy, LLC (the Petro-Hunt parties). As of December 31, 2012, the Company has working interests in approximately 128,000 net acres prospective for the Bakken / Three Forks formations in North Dakota and Montana.

The Company�� Woodbine / Eagle Ford acreage is prospective for the Woodbine, Eagle Ford and other formations, with targeted depths ranging anywhere from 7,000 feet to 10,400 feet. As of December 31, 2012, The Company has approximately 198,000 net acres leased or under contract primarily in Leon, Madison, Grimes, Brazos, and Polk Counties, Texas. The Company is the operator and has a 100% working interest in more than 12,000 net acres in Wichita and Wilbarger Counties, Texas that it is actively water flooding in shallow Cisco aged Pennsylvania sandstone and limestone reservoirs. As of December 31, 2012, the Company produced 484 million barrels of oil equivalent from approximately 700 active producing wells and approximately 230 active water injection wells.

The Company�� position in the La Copita Field covers 3,720 gross acres and 2,829 net acres in Starr County, Texas. As of December 31, 2012, the Company�� average net daily production was 623 barrels of oil equivalent per day. The Company operates 100% of this production a! nd its working interest ranges from 75% to 100%. The Company has various other oil and natural gas properties with varying working interests located across the United States, including the Austin Chalk Trend and Eagle Ford Shale in Texas, the Fitts-Allen Fields in Central Oklahoma, and various other areas across South Louisiana, Montana, North Dakota, New Mexico, and West Virginia.

Advisors' Opinion:

• [By Roberto Pedone]

  One energy player that insiders are active in here is Halcon Resources (HK), which is engaged in the acquisition, development, exploitation, exploration and production of oil and natural gas properties. Insiders are buying this stock into notable weakness, since shares are off by 22% so far in 2013.

  Halcon Resources has a market cap of $1.99 billion and an enterprise value of $4.71 billion. This stock trades at a premium valuation, with a trailing price-to-earnings of 112.50 and a forward price-to-earnings of 12.56. Its estimated growth rate for this year is 900%, and for next year it's pegged at 79.2%. This is not a cash-rich company, since the total cash position on its balance sheet is $3.06 million and its total debt is $2.71 billion.

  A director just bought 200,000 shares, or about $1.02 million worth of stock, at $5.10 per share. A beneficial owner also just bought 5.2 million shares, or about $26.44 million worth of stock, at $5.10 per share.

  From a technical perspective, HK is currently trending below both its 50-day and 200-day moving averages, which is bearish. This stock has been downtrending badly for the last six months, with shares moving lower from its high of $8.12 to its recent low of $4.92 a share. During that downtrend, shares of HK have been making mostly lower highs and lower lows, which is bearish technical price action. That said, this stock has started to find some buying interest off some previous support areas at $4.92 to $5.10 a share.

  If you're bullish on HK, then look for long-biased trades as long as this stock is trending above some key near-term support levels at $5.10 to $4.92 and then once it breaks out back above its 50-day at $5.67 a share with high volume. Look for a sustained move or close above that level with volume that hits near or above its three-month average volume of 5.14 million shares. If that breakout triggers soon, then HK will set up to re-test or possibly take out its next major overhead resistance levels at $6.11 to $6.54 a share. Any high-volume move above those levels will then give HK a chance to tag $6.75 to $6.84 a share.

6 Ways Mentors Elevate Your Career

Finance professionals looking for ways to elevate their careers have a variety of sources to turn to that provide career-enhancing information. These sources include television, websites, magazines, journals, newspapers, friends and colleagues. These various channels provide tips and insights on industry developments, the latest finance and accounting-related regulations, finance and accounting certifications, conferences, executive education courses, job opportunities and networking functions.

Unfortunately, the motivated finance professional can become overwhelmed with the diversity of information sources, the sheer volume of data and the constant stream of junk information that comes along with bits and pieces of good advice. Experienced, credible and trustworthy mentors can serve as a hub for ideas on elevating your career. Additionally, they can customize their suggestions based on your unique circumstances and professional interests. The following are six ways that mentors can help advance your career.

Gain Respect and Credibility by Association
You should select mentors that are widely respected by visible and influential members of your organization, not just the finance department. Because your mentor has earned a high level of respect, his or her credibility will rub off on you. People will hold you in higher regard simply by associating with these high-caliber individuals. When visible and influential members see that you are proactively seeking these mentors' advice and guidance, this increases your chances of securing coveted positions and opportunities within the company.

Ideally, these mentors should be at the executive level and have a strong track record of success. If you are at the analyst or associate level within your organization, managers could also serve as your mentors.

Get Practical Advice from a Tested Veteran
Executives walk the walk; they've done it, and they have the battle scars to prove it. One thing you can't argue against are results. You don't want to be in a position where you "buy" the advice of a talker, as it usually ends up being terrible advice. Finance is a competitive field, and if you value your career, then you should take it seriously enough to seek the advice of business sages.

Mentors can provide sound advice on approaches to delicate salary negotiations, how to succeed in a new job, dealing with difficult people or confronting unethical practices. You need high ROI advice, not contemplations, musings or armchair theorizing. Leave that for the unimpressive – they have a knack for blindly torpedoing their own careers.

Learn to Read Between the Lines and Deal with Organizational Politics
Are there business situations that confound you? There might be difficult people or adverse workplace situations that you frequently deal with. As an example, perhaps you did a great job on that division audit and recorded your findings in a solid-looking report. Oddly, your audit manager is acting "weird" and you feel that you are not getting the recognition (and bonus) you deserve. After all, you ended up putting in six-day weeks for the past three months. Mentors may be able to help you read between the lines in soft situations. Departments can be a fluid, dynamic and politicized entity.

Finance and accounting is composed of typical people with personal desires and shortcomings. Finance and accounting – in the real world – are not purely robotic exercises. Perhaps your manager has ambitions of taking over the CFO role for that particular division, and does not want to alienate the division president. Thus, he does not want the internal audit department to flag the division's operations with what he considers to be "gray area" audit findings. If someone did not point out this possible motivation to you, would you have figured it out yourself?

Secondly, throughout your career you will frequently come across especially difficult (or dysfunctional) people within your company. Understanding organizational politics and dealing with difficult (or dysfunctional) people, takes experience and wisdom. Your mentors may be able to provide you with effective (and often sensitive) strategies on dealing with these people. What you don't want to do is ruin your career by humiliating yourself in front of your team (i.e., by unnecessarily blowing up on difficult people) or embarrassing your manager by using ineffective methods and approaches. All it may take is a simple phone call from a key executive or senior manager to secure that person's cooperation.

Do a Professional SWOT (Strengths, Weaknesses, Opportunities and Threats) Analysis
Mentors can point out observations on your strengths and weaknesses, helping you to identify, understand and take action on areas that need improvement. They might also be able to suggest ways in which you can improve in a particular area, such as tact, communication skills and emotional intelligence. These "how to" suggestions come from experienced and wise professionals, and incorporating their advice into your daily life can help you reach the next level.

Find Career Opportunities and Expand Your Network
Mentors are often in the loop of current or future job openings within the company or industry. As they see your strengths and interest! s, they may forward you career opportunities that they come across, based on your skill sets and professional goals. You will also have the opportunity to expand your professional networks by way of introductions facilitated by your mentors. Referrals and introductions by widely respected individuals is the most effective way of getting in the door.

Determine Your Contributions and Value-Add
While it is critical for finance professionals to have confidence, unfortunately most people think too highly of themselves. Such inflated views on one's own skills distort perspectives on actual performance, contributions and value to the organization.

Let's say you're a newly minted MBA; you feel very proud that you were able to successfully yield attractive returns on the company's marketable securities while working in the treasury department. After a two-year stint with this group, you apply for a prestigious strategy position reporting directly to the vice president of strategy. Strategy is a highly visible and extremely respected role that requires immense industry and company insights. It is often a breeding ground for future CEOs. Unfortunately, you get blatantly turned down for the job. An experienced mentor will point out what you should already know: investment strategy has nothing to do with company-specific business strategy.

An objective appraisal by a wise mentor can bring finance professionals down from their high horses, especially recent grads. Succeeding in business requires constant reality checks and accurate appraisals, not wishful thinking.

The Bottom Line
Mentors can save you potentially costly mistakes and pitfalls throughout your career. Avoiding wasted time and effort, as well as elevating your career through savvy insights, is worth the investment of two to three hours a month garnering feedback from a mentor. Professional football players who earn millions of dollars a year typically have multiple mentors and coaches all attempting to elevate their level of contributions. The same approach can be used to elevate your career.

Will the iWatch Send Apple Higher?

Top 10 Small Cap Companies To Buy For 2014

With shares of Apple (NASDAQ:AAPL) trading around $409, is AAPL an OUTPERFORM, WAIT AND SEE or STAY AWAY? Let's analyze the stock with the relevant sections of our CHEAT SHEET investing framework:

T = Trends for a Stock's Movement

Apple designs, manufactures and markets mobile communication and media devices, personal computers, and portable digital music players, and a variety of related software, services, peripherals, networking solutions, and third-party digital content and applications. The company's products and services include iPhone, iPad, Mac, iPod, Apple TV, a portfolio of consumer and professional software applications, the iOS and OS X operating systems, iCloud, and a variety of accessory, service and support offerings. Apple also delivers digital content and applications through the iTunes Store, App Store, iBook Store, and Mac App Store.

Apple has been one of the most innovative companies of our time. Its products exist in many homes and companies around the world and continue to see significant demand domestically and internationally. With rumored Apple products, such as the iWatch and new iPhone devices, flooding the headlines as well as announced products such as iOS 7, look for Apple to continue to deliver. Check out the five products sitting in Apple's labs right now.

T = Technicals on the Stock Chart are Mixed

Apple stock witnessed an explosive move higher within the last decade. The stock has now pulled back from all-time highs but seems to be forming a base around these prices. Analyzing the price trend and its strength can be done using key simple moving averages. What are the key moving averages? The 50-day (pink), 100-day (blue), and 200-day (yellow) simple moving averages. As seen in the daily price chart below, Apple is trading below its key averages which signal neutral to bearish price action in the near-term.

(Source: Thinkorswim)

Taking a look at the implied volatility (red) and implied volatility skew levels of Apple options may help determine if investors are bullish, neutral, or bearish.

	Implied Volatility (IV)	30-Day IV Percentile	90-Day IV Percentile
Apple Options	29.77%	90%	88%

What does this mean? This means that investors or traders are buying a very significant amount of call and put options contracts, as compared to the last 30 and 90 trading days.

	Put IV Skew	Call IV Skew
July Options	Steep	Average
August Options	Steep	Average

As of today, there is an average demand from call buyers or sellers and high demand by put buyers or low demand by put sellers, all neutral to bearish over the next two months. To summarize, investors are buying a very significant amount of call and put option contracts and are leaning neutral to bearish over the next two months.

On the next page, let's take a look at the earnings and revenue growth rates and the conclusion.

E = Earnings Are Mixed Quarter-Over-Quarter

Rising stock prices are often strongly correlated with rising earnings and revenue growth rates. Also, the last four quarterly earnings announcement reactions help gauge investor sentiment on Apple's stock. What do the last four quarterly earnings and revenue growth (Y-O-Y) figures for Apple look like and more importantly, how did the markets like these numbers?

	2013 Q1	2012 Q4	2012 Q3	2012 Q2
Earnings Growth (Y-O-Y)	-17.97%	-0.43%	23.03%	19.64%
Revenue Growth (Y-O-Y)	11.27%	17.65%	27.22%	22.58%
Earnings Reaction	-0.16%	-12.35%	-0.90%	-4.31%

Apple has seen mixed earnings and rising revenue figures over the last four quarters. From these numbers, the markets have expected more from Apple's recent earnings announcements.

P = Weak Relative Performance Versus Peers and Sector

How has Apple stock done relative to its peers, Google (NASDAQ:GOOG), BlackBerry (NASDAQ:BBRY), Microsoft (NASDAQ:MSFT), and sector?

	Apple	Google	BlackBerry	Microsoft	Sector
Year-to-Date Return	-23.11%	25.99%	-13.06%	29.82%	7.24%

Apple has been a weak relative performer, year-to-date.

Conclusion

Apple provides technology products and services that continue to exceed expectations. With a number of innovative products being speculated for the company, look for these to possibly fuel a rise in the stock. The stock has been on a powerful move higher over the last several years, however, it has pulled-back and is still forming a base so it may need time before its next move. Over the last four quarters, earnings have been mixed while revenue figures have been on the rise, regardless, investors in the company have expected more. Relative to its peers and sector, Apple has been a weak year-to-date performer. WAIT AND SEE what Apple stock does this coming quarter.

Introduction to Treasury Securities

When it comes to conservative investments, nothing says safety of principal like treasury securities. These instruments have stood for decades as a bastion of safety in the turbulence of the investment markets - the last line of defense against any possible loss of principal. The guarantees that stand behind these securities are indeed regarded as one of the key cornerstones of both the domestic and international economy, and they are attractive to both individual and institutional investors for many reasons.

Basic Characteristics
Treasury securities are divided into three categories according to their lengths of maturities. These three types of bonds share many common characteristics, but also have some key differences. The categories and key features of treasury securities include: T-Bills – These have the shortest range of maturities of all government bonds at 4, 13, 26 and 52 weeks. They are the only type of treasury security found in both the capital and money markets, as three of the maturity terms fall under the 270-day dividing line between them. T-Bills are issued at a discount and mature at par value, with the difference between the purchase and sale prices constituting the interest paid on the bill. T-Notes – These notes represent the middle range of maturities in the treasury family, with maturity terms of 2, 3, 5, 7 and 10 years currently available. Treasury notes are issued at a $1,000 par value and mature at the same price. They pay interest semiannually. T-Bonds – Commonly referred to in the investment community as the "long bond", T-Bonds are essentially identical to T-Notes except that they mature in 30 years. T-Bonds are also issued at and mature at a $1,000 par value and pay interest semiannually. Auction Purchase
All three types of treasury securities can be purchased online at auction in $100 increments. However, not every maturity term for each type of security is available at every auction. For example, the 2, 3, 5 and 7-year T-Notes are available each month at auction, but the 10-year T-Note is only offered quarterly. All maturities of T-Bills are offered weekly except for the 52-week maturity, which is auctioned once each month. Employees who wish to purchase treasury securities may do so through the TreasuryDirect Payroll Savings Plan. This program allows investors to automatically defer a portion of their paychecks into a TreasuryDirect account. The employee then uses these funds to purchase treasury securities electronically. Taxpayers can also funnel their income tax refunds directly into a TreasuryDirect account for the same purpose. Paper certificates are no longer issued for treasury securities, and all accounts and purchases are now recorded in an electronic book-entry system.

Risk and Reward
The greatest advantage of treasury securities is that they are, of course, unconditionally backed by the full faith and credit of the U.S. government. Investors are guaranteed the return of both their interest and the principal that they are due, as long as they hold them to maturity. However, even treasury securities come with some risk. Like all guaranteed financial instruments, treasuries are vulnerable to both inflation and changes in interest rates. The interest rates paid by T-Bills and Notes are also among the lowest of any type of bond or fixed-income security, and typically only exceed the rates offered by cash accounts such as money market funds. The 30-year bond pays a higher rate because of its longer maturity and may be competitive with other offerings with shorter maturities. However, treasury securities no longer come with call features, which are commonly attached to many corporate and municipal offerings. Call features allow bond issuers to call back their offerings after a certain time period, such as 5 years, and then reissue new securities that may pay a lower interest rate.

The vast majority of treasury securities also trade in the secondary market in the same manner as other types of bonds. Their prices rise accordingly when interest rates drop and vice-versa. They can be bought and sold through virtually any broker or retail money manager as well as banks and other savings institutions. Investors who purchase treasury securities in the secondary market are still guaranteed to receive the remaining interest payments on the bond plus its face value at maturity (which may be more or less than what they paid the seller for them).

Tax Treatment
The same tax rules apply for all three types of treasury securities. The interest paid on bills, notes and bonds is fully taxable at the federal level, but is unconditionally tax-free for states and localities. The difference between the issue and maturity prices of T-Bills is classified as interest for this purpose. Investors who also realize profits or losses on treasuries that they traded in the secondary markets must report short- or long-term capital gains and/or losses accordingly. Each year, the Treasury department sends investors Form 1099-INT, which shows the taxable interest that must be reported on the 1040.

Who Buys Treasury Securities?
Treasury securities are used by virtually every type of investor in the market. Individuals, institutions, estates, trusts and corporations all use treasury securities for various purposes. Many investment funds use treasuries to meet certain objectives while satisfying their fiduciary requirements, and individual investors often purchase these securities because they can count on receiving their principal and interest according to the specified schedule without fear of them being called out prematurely. Fixed-income investors who live in states with high-income tax rates can also benefit from the tax exemption of treasuries at the state and local levels.

The Bottom Line
Treasury securities comprise a significant segment of the domestic and international bond markets. China has purchased hundreds of billions of dollars of treasury securities, which has resulted in significant interdependence between the economies of the two countries. For more information on treasury securities, visit www.treasurydirect.gov. This useful sight contains a wealth of information on T-Bills, Notes and Bonds including complete auction schedules, a system search for those who need to inquire whether they still own bonds, a list of all bonds that have stopped paying interest and a plethora of other resources.

Best Blue Chip Companies To Invest In Right Now

�While its two peer indexes finished the day essentially unchanged, the Dow Jones Industrial Average (DJINDICES: ^DJI  ) dropped 0.3% as AT&T (NYSE: T  ) Procter & Gamble (NYSE: PG  ) sank the blue chips following earning releases. Durable-goods orders for March were down significantly, falling 5.7% against an expected drop of 3.1%, and February's increase was also revised downward. It was the worst drop orders in seven months for products like cars, appliances, and furniture, and the category fell 1.4% excluding the more volatile transportation segments. Stocks were up Europe and Asia earlier, but concern about earnings and the durable-goods report seems to have dampened any carryover effect.

After reporting earnings last night, AT&T shares finished down 5% and fell another 1.5% after hours. Investors were disappointed that Ma Bell reported losing a net total of 69,000 cell phone subscribers. The country's No. 2 telecom made strong gains on tablet data plans, but that wasn't even to avert concerns that its bigger rival, Verizon, was leaving it in the dust. EPS were in line with estimates at $0.64, but revenue fell by 1% in the quarter, a bigger drop than expected.

Best Blue Chip Companies To Invest In Right Now: Apple Inc.(AAPL)

Apple Inc., together with subsidiaries, designs, manufactures, and markets personal computers, mobile communication and media devices, and portable digital music players, as well as sells related software, services, peripherals, networking solutions, and third-party digital content and applications worldwide. The company sells its products worldwide through its online stores, retail stores, direct sales force, third-party wholesalers, resellers, and value-added resellers. In addition, it sells third-party Mac, iPhone, iPad, and iPod compatible products, including application software, printers, storage devices, speakers, headphones, and other accessories and peripherals through its online and retail stores; and digital content and applications through the iTunes Store. The company sells its products to consumer, small and mid-sized business, education, enterprise, government, and creative markets. As of September 25, 2010, it had 317 retail stores, including 233 stores in the United States and 84 stores internationally. The company, formerly known as Apple Computer, Inc., was founded in 1976 and is headquartered in Cupertino, California.

Advisors' Opinion:

• [By David Eller]

  Apple (Nasdaq: AAPL) is loved by its customer base, but it remains a hardware company. After being disappointed by Dell and HP throughout 2012, professional investors have not been willing to acknowledge that Apple may be different, and that traditional hardware margin compression may not be in store for Apple. The fact is that Apple is selling a closed ecosystem of products, not commodity products that interact with third-party hardware. This is similar to IBM’s early days, but with one major difference: Apple provides a better user experience for its customers. Estimates as well as expectations have come down over the last two quarters, and Apple is now trading at less than 10x out year earnings. The company merely needs to execute on its current product line to meet estimates and see a dramatic increase in share price. If it executes on a revised Apple TV product or builds out a Netflix-like, on-demand content offering, these new revenue streams would dramatically increase Apple’s earnings potential. It seems strange but a combination of execution and new product offerings at a time when expectations (and valuation) are low could drive 50% upside to its existing massive valuation.

• [By Kevin M. O'Brien]

  Apple Inc. (AAPL) will reach $500.00/share at some point in 2012. I view Apple as trading at an extreme discount right now. I am expecting to see a run-up in price ahead of the company's next earnings call on January 17, 2012. I am also expecting that this earnings release is going to be absolutely fantastic. It would be a wise choice to block out all the negative rumors and sentiment surrounding Apple right now. This is a stock that is so attractively priced right now that it will not stay at this level for very long. Check back with me after January 17th next year.

• [By Kathy Kristof]

  Headquarters: Cupertino, Cal.
  
  52-Week High: $701.91
  
  52-Week Low: $362.02
  
  Annual Sales: $108.3 bill.
  
  Projected Earnings Growth: 23% annually over the next five years 
  
  Apple led Kiplinger’s list of top stocks back in January 2011, when its share price was a mere $330. And at more than double that price today, Apple shares still appear to be bargain-priced. 
  
  The stock has a number of additional catalysts. The company just won a patent suit against arch rival Samsung that is likely to force Apple’s key competitors to revamp their handsets. The verdict couldn’t have come at a more opportune time. Millions of Apple loyalists are ready to upgrade to Apple’s new iPhone, introduced on September 12. Moreover, Apple has barely cracked China’s market, which is likely to generate additional profit growth for years to come. 
  
  Of course, Apple can’t maintain an astronomical growth rate forever. But even if the company can simply achieve analysts' expectations for the next three to five years, you’ll want to have the stock in your portfolio for a long time to come.

• [By Roberto Pedone]

  Finally, we're revisiting Apple (AAPL) this week. Last week, Apple was just starting to break out above it's the downtrending resistance line that's held shares lower for months. And sure enough, in the sessions that have followed, Apple has quietly made a move to test its last swing high at $466.

  That price is the nearest important resistance level for the stock; traders should treat a move through $466 as a buy signal. If Apple's downtrend is truly broken, we'll want to see the stock make a series of higher lows and higher highs. Now, the $436 billion firm is finally in a position where it can start to do that. This week's price action could get interesting for Apple bulls.

  I'm still recommending buyers keep a protective stop on the other side of the 50-day moving average; it should start looking like a decent proxy for support when a move through $466 happens.

Best Blue Chip Companies To Invest In Right Now: McDonald's Corporation(MCD)

McDonald?s Corporation, together with its subsidiaries, operates as a worldwide foodservice retailer. It franchises and operates McDonald?s restaurants that offer various food items, soft drinks, coffee, and other beverages. As of December 31, 2009, the company operated 32,478 restaurants in 117 countries, of which 26,216 were operated by franchisees; and 6,262 were operated by the company. McDonald?s Corporation was founded in 1948 and is based in Oak Brook, Illinois.

Advisors' Opinion:

• [By ETF_Authority]

  McDonald’s Corporation (MCD), together with its subsidiaries, operates as a foodservice retailer worldwide. The company has raised distributions for 35 years in a row. The 10 year annual dividend growth rate is 26.50%/year. The last dividend increase was 14.75% to 70 cents/share. Analysts are expecting that McDonald's will earn $5.73/share in 2012. I expect that the quarterly dividend will reach 77 cents/share in 2012. Yield: 2.80%

• [By Quickel]

  McDonald's, is just such a solid stock with the combination of growth, safety and income. We believe that MCD should be headed to $110 this year, which will not be as strong as some of our other targets. Yet, we also will be picking up a solid 2.8% yield that is attractive. Further, MCD has done a great job dealing with currency issues and has not seen a slowdown despite issues in Europe and China. We believe that MCD will continue to offer growth and value this year, and we like it to offset value and growth plays with income investing.

  Entry: $99.58

  Allocation: $2500

  Target: $105, $110

Top 10 Financial Companies To Watch For 2014: International Business Machines Corporation(IBM)

International Business Machines Corporation (IBM) provides information technology (IT) products and services worldwide. Its Global Technology Services segment provides IT infrastructure and business process services, including strategic outsourcing, process, integrated technology, and maintenance services, as well as technology-based support services. The company?s Global Business Services segment offers consulting and systems integration, and application management services. Its Software segment offers middleware and operating systems software, such as WebSphere software to integrate and manage business processes; information management software for database and enterprise content management, information integration, data warehousing, business analytics and intelligence, performance management, and predictive analytics; Tivoli software for identity management, data security, storage management, and datacenter automation; Lotus software for collaboration, messaging, and so cial networking; rational software to support software development for IT and embedded systems; business intelligence software, which provides querying and forecasting tools; SPSS predictive analytics software to predict outcomes and act on that insight; and operating systems software. Its Systems and Technology segment provides computing and storage solutions, including servers, disk and tape storage systems and software, point-of-sale retail systems, and microelectronics. The company?s Global Financing segment provides lease and loan financing to end users and internal clients; commercial financing to dealers and remarketers of IT products; and remanufacturing and remarketing services. It serves financial services, public, industrial, distribution, communications, and general business sectors. The company was formerly known as Computing-Tabulating-Recording Co. and changed its name to International Business Machines Corporation in 1924. IBM was founded in 1910 and is based in Armonk, New York.

Advisors' Opinion:

• [By Paul]

  IBM. Emerging markets are a big growth driver for this computer systems and software provider. Not only that, Resendes says, IBM has "a bullet-proof balance sheet that will allow it to weather the current storm and position it for superior growth and profitability in the long term." He thinks the stock, which recently traded at $93, is worth $120 a share: ''There are some obvious companies that offer much bigger discounts, but you have to incorporate the safety factor. You're getting a premium company here that's a good spot to be in within the tech space."

• [By Jim Cramer]

  When this company talked about lofty EPS for 2015, initially the street was skeptical especially after IBM reported a blah quarter soon after the expectations were laid out. I now think the company has $20 earnings per share capabilities out three years and that $13 is doable for 2011. You keep the multiple the same and you get a $169 stock. I think it does just that. This one's cheap, way too cheap and it will be cheap next year, too, but on a bigger earnings base which is how it can get to my price target.

• [By Peter Hughes]

  International Business Machines (IBM) -- our aggressive pick for the year -- is one of the world's most dominant technology companies, with annual revenues of $105 billion and net income of $16 billion.

Best Blue Chip Companies To Invest In Right Now: Philip Morris International Inc(PM)

Philip Morris International Inc., through its subsidiaries, engages in the manufacture and sale of cigarettes and other tobacco products in markets outside of the United States. Its international product brand line comprises Marlboro, Merit, Parliament, Virginia Slims, L&M, Chesterfield, Bond Street, Lark, Muratti, Next, Philip Morris, and Red & White. The company also offers its products under the A Mild, Dji Sam Soe, and A Hijau in Indonesia; Diana in Italy; Optima and Apollo-Soyuz in the Russian Federation; Morven Gold in Pakistan; Boston in Colombia; Belmont, Canadian Classics, and Number 7 in Canada; Best and Classic in Serbia; f6 in Germany; Delicados in Mexico; Assos in Greece; and Petra in the Czech Republic and Slovakia. It operates primarily in the European Union, Eastern Europe, the Middle East, Africa, Asia, Canada, and Latin America. The company is based in New York, New York.

Advisors' Opinion:

• [By Stephen]

  Philip Morris (PM, $75.92). Cigarette maker has strong free cash flow, pricing power, a yield of roughly 4% plus dividend growth. Share bu ybacks a plus.