FAQ
Your Member’s-Only Benefits
What does Banyan Hill membership include? (click to expand)
Here’s what you can expect to receive as an exclusive member:
- Trade Alerts — The moment my strategy signals a crucial time to buy or sell, I will send you a trade alert to take advantage of this opportunity. In the alert, I will detail the precise action for you to take and why it should be taken.
- Updates — Every Friday, I’ll send you a written or video update where I update you on the stocks in our portfolio, the happenings of the stock market and respond to your questions. You’ll gain insights on what current events mean to you and your money, and you’ll get a glimpse of what’s coming down the pike in the weeks and months ahead.
- Special Reports — Whenever I have an exciting opportunity or a series of buys that need a more detailed explanation — I’ll send you a special report. This report will include my full analysis for exactly why I believe this stock has potential to surge.
- Winning Investor Daily — Six days a week, you’ll receive our very best intel on the hottest tech trends — and how to profit from them. Click here to make sure you’re signed up to receive your free e-letter articles!
Subscription and Account Information
WHO DO I CONTACT WITH ANY FURTHER QUESTIONS? (click to expand)
For help or information, you can send us an email by clicking here, or you can call us toll-free at 866-584-4096. We have a team of well-trained, highly knowledgeable customer service representatives ready to answer your questions about the service and your subscription. Our regular business hours are 9 a.m. to 8 p.m. EST, Monday through Friday.
HOW DO I SIGN UP FOR THE TEXT ALERT SERVICE? (click to expand)
Click here to sign up for our free Extreme Fortunes text-alert service. When you sign up, you’ll start receiving a text message on your cellphone each time I send out a trade alert.
Simply enter your name, zip code, email and phone number. Then respond to the text message you receive so we can confirm your registration.
General Questions
WHAT KIND OF INVESTING EXPERIENCE DO YOU HAVE? (click to expand)
I got my start in finance right after college. I worked at Salomon Brothers on the infamous mortgage bond trading desk.
I then went on to work with credit derivatives at Citigroup before spending a decade as the head trader at Peahi Capital. At that New York-based hedge fund, my team made a 339% total return in 2008 alone.
During that time, I spent over two decades developing a process for successful trading systems. It’s why I got into the market myself instead of simply reading about it.
WHAT KIND OF TRADING ACCOUNT DO I NEED TO GET STARTED? (click to expand)
You will only need a basic brokerage account to make our trades.
TRADING QUESTIONS
WHAT KIND OF COMPANIES WILL WE BE INVESTING IN? (click to expand)
In Extreme Fortunes, I’ll be recommending stocks in the $100 million to $3 billion market-cap range with major earnings potential.
These stocks tend to be the best performers coming out of a bear market.
According to the National Bureau of Economic Research, “Small caps have significantly outperformed large-company stocks in the first year following a recession.”
Anchor Capital Advisors says these small caps beat larger stocks coming out of the last 9 out of 10 recessions.
And the secret to their success … is growth.
More specifically, revenue growth.
Other popular metrics (like earnings) can be manipulated. They don’t paint a clear enough picture.
But when a small cap stock grows revenues by 10-20% per year, they’re on track to double incoming cash in just five years.
That’s the perfect recipe for soaring stock prices.
There are a few other key phases to my selection process.
Here are the four steps I use to evaluate potential investments:
Phase 1: Small cap selection. Like I mentioned, we’re after growth here. So we’re only working with stocks that have a market capitalization between $100 million and $3 billion.
Phase 2: Disruption analysis. This crucial phase establishes whether a stock is “disrupting” an existing market. Just like Netflix disrupted the video rental industry, Apple disrupted cell phones, and Amazon disrupted retail shopping. This is the pathway to the biggest possible gains for small-cap stocks.
Phase 3: Crunching the Numbers. This is where my research team does all the homework and heavy-lifting for you. We’ll analyze factors like revenue growth, return on equity, and other stats to ensure we’re looking at a stock with real runaway earning potential.
Phase 4: “S-3” indicator check. This is my team’s “secret weapon.” Since we have access to the same database as Wall Street’s top investors, we can actually look over their paperwork (specifically S-3 forms) to know when one of our target stocks has received a secret cash infusion from major players. selling for just $47 per share!
WHEN ARE THE BEST TIMES TO MAKE YOUR TRADE RECOMMENDATIONS? (click to expand)
The best time to buy, in general, is during the stock market’s regular hours: between 9:30 a.m. and 4 p.m. However, the best period for small investors is often between 11 a.m. and 3 p.m.
That’s because big-money investors tend to put their orders in at the open at 9:30 a.m., and then around the close at 4 p.m. When they crowd into these times, they tend to drive stock prices higher. By waiting until 11 a.m., you’re not competing with them to buy your stock — and often you’ll get lower prices.
The worst time to buy is during afterhours trading. This is between 4 p.m. and 8 p.m., when there are few transactions.
Since there are just one or two sellers during this period, they’re going to give you a horrible price, so stay clear of this time.
HOW MUCH SHOULD I BUY? (click to expand)
My rule of thumb is to diversify, diversify, diversify.
Many successful traders never put more than 3% in any given trade. This way, there are better odds of staying in the game. I suggest putting the odds in your favor.
The biggest mistake you can make when executing my trades is picking one of my recommendations and betting everything you have on that ONE company.
I urge you not to “bet the house” on a single stock. That’s an easy way to lose your money in one fell swoop. Instead, you should diversify and own a series of different holdings in your portfolio to limit your exposure to any one company.
Is there a way to test your strategy without risking money? (click to expand)
HOW WILL WE MANAGE LOSSES? (click to expand)
One option is to use a basic 25% trailing stop-loss on most of our positions.
For example, if we buy a stock at $10, you can have an immediate 25% stop-loss price of $7.50. If the stock fell to that point, you have the option to sell.
But as the stock rises, our 25% trailing stop will only rise on half of the position. This might sound odd, but this gives us a lot of room to work with.
Let’s say you bought two shares of that $10 stock. If the stock rises to
$20, congrats; you have a 100% gain! Now, half of your position will continue to have a baseline stop-loss at $7.50. But the other half will have a stop-loss at $15.
If the stock falls to $15, we will sell half of our position for a 50% gain. You can see how this process allows us to take some of our profits off the table — while still remaining in the game for future gains.
Another way is average true range (ATR). As an analyst, I prefer the 14-day ATR to track our portfolio positions.
This technical indicator better accounts for the stock’s volatility as it is an average move of the past 14-day period. My analyst and I will track the portfolio using ATR.
Don’t worry about the math or tracking your prices. When one of our stops is hit — and it’s time to preserve profits — I will send you an immediate alert.
FOR A NEW MEMBER, DO YOU STILL RECOMMEND ENTERING RECENT OPEN POSITIONS? (click to expand)
The “Action to take” for older positions will be set to “Hold” in the portfolio, while newer positions will be set to “Buy.”