Your Million Dollar Portfolio

Today’s newsletter is about the reality of long term buying of stock and how long term investing is a way to assure financial freedom in your future. Long term investing is the goal of everything I am teaching and everything I have ever done in the stock market.

WHY?

Because owning quality growing companies is the most time tested way to build lasting wealth in the capitalist system.

Imagine if you had a $1.5 million dollar portfolio today, and you earned 60% a year off that investment just by managing that investment well. That is $600,000 almost passively! How would that change your life?

Today’s Goal: To Prove You Can Achieve This

Here is the truth, long term investing is not sexy. It will not make you rich quickly and that is why most people never start. But if you put your head down and do a few simple steps over and over again, then one day your stack of cash will be so big people will think you got rich overnight!

We are taught that the benefits of long term investing are to far off for us to enjoy, but I am about to cut that myth down like a hot knife thru butter!

The truth is that’s we are taught by a society that is more focused on looking the part than actually having the money. Have you ever heard the saying shirt sleeves to shirt sleeves in 3 generations?

Well that idea comes about because one generation makes the money, the next lives outrageoulsy rich lives, then the third is stuck rebuilding.

Do not believe me? Just study the Vanderbilts, once a family that built American commerce thru the ownership of railways, the second generation built the largest private residence in American history. The Biltmore estate, that is now visited by more people a year than the white house.

The third generation of Vanderbilts lived modest lives and somed died broke.

Instead of being the Vanderbilts and looking wealthy how about build a stock market business that is so simple you can hand down generation to generation and actually live wealthy.

Step 1: Where to Plant Your Wealth Tree

Where do you start? You start with a simple formula of buying stock in quality companies that are growing and have options. You also want a good portion of these companies to be paying dividends.

Where do you find these companies? Easy the reasearch is already done for you.

All mutual funds have their top 10 holdings listed and they would all love to have the entire fund invested in those 10 but they cannot. However you can!

So get a list of mutual funds that perform decent, find as many of the stocks on the top 10 lists that match across the board then do the a little reasearch to make sure that for the next 7 years or so you can reasonably assert that the product the company sells that gives it the competive advantage will be needed in our economy.

Example:

CAT - this company makes all kinds of massive equipment needed for construction and until someone invents a better way to accomplish the hauling of rocks from a mine, CAT tractors are going to be used. So I own CAT and I love my CAT stock!

The goal here is find 10-12 personally chosen stocks to build an investment portfolio around.

Step 2: How to Plant the Tree

This is not as simple but the good news is you do not have to be perfect when you buy your stock.
You are buying the stock for long term holding so the entry does not have to as selective as with options trading.

We are right now ending the summertime for the stock market. In the next 2 months the summer will be over and with the end is usually a place where you see the lows of the year for the market.

Generally the lows are hit historically sometime between late September and October because the best consecutive 5 months of the year for rise are October/November- February. That being said, a little chart reading can help find the lows for a particular stock and you can reasonably build a buy point for the stock during that time.

Now you will want to own alot of the stocks you pick so you can look for other buy points through out the year but the place to get the biggest chunk purchased is during the early fall of the year.

Now this is only historical data I am going by here. So current economic situations can effect these buy points and that is what I am here to do with this newsletter is keep you informed.

What Causes the Lows in October?

We have to go back to the Mutual Funds for this one because it is a tax issue that causes funds to want to sell off their losses by the end of October every year which in turn puts major selling pressure on the market.

In fact most major crashes that have happen, if you go back historically happen around October. Now after the selling pressure subsides the market takes a big breather which is why many Novembers see upside lifts in the market.

If no crash happens in October then the market usually rises in November and sometimes substainally! Just take a look at October- November 2023.

Now the goal here is to build a huge amount of ownership in these shares so that eventually your 1000 or more shares of stock you own will be worth $1.5 million.

Just look at buying a stock like AZO back in 2017 and what 500 shares would be worth today? Yes that is right about $1,500,000 and you can easily earn a nice 5% a month on that stock using covered calls.

Turning Your Stock Ownership into Income

If you only ever bought stock then you would need alot of discreationary income to build a portfolio of the size we are talking about in 10 years.

But when you put to work options stratgies that is how I get such huge returns in short time frames.

You can use covered calls to create more money from the stock you own and then buy more stock with that money.

This is what I have always called the print press because at that point you are printing money more reasonablly than our government.

You can also use puts to protect your downside when your stock falls in value and then pour that profit from those puts into owning more stock in that company!

Bottom line is we will talk about all this and more in newsletters to come and within an indepth webinar that I am creating to give all you stock market CEOs the blueprint for building your very own stock market.

All this is free to those of you who are part of our community. This is why I have this newsletter to teach the secrets that average retail investor is never taught about the market.

Our community is going to level the playing field for all investors out there. So share this with someone you know and I will be rewarding those who bring in new readers soon.

A list of stocks I have bought for long-term holdings

1. DE

2. BA

3. CAT

4. CMI

5. TSLA

6. AZO

7. CLX

8. PEP

• Look out for a detailed free webinar on the ends and outs of building your stock market business. My team and I are putting the finishing touches on the outlines now

• Be aware that the market is ready to decline into August and September, more on that later this week

• This week I will be releashing 2 new stock market videos on The Rob Review Channel:

  https://www.youtube.com/@TheRobReview

I want to personallly welcome everyone that is new since last week’s edition.

Welcome to the Investor Family!

For those of you that came over to this newsletter from Chrystal’s Interview with me. All I would like to add is that if you take the discipline from your time in Amway and put that same effort into building a stock market business then I see no reason why you cannot eventually obtain the Diamond Lifestyle you were after. Bonus to you, you can get that and build real portfolio income. Which is by far more lucrative than passive income that is not really passive. LOL!

Your Friend in Success,

Robert M Morris

Please note this is not financial advise as I am not a financial advisor and honestly not sure I want to be.

Give this information to your own financial advisor before acting on it in your own voliation.