The Sunny Side of the Financial Crisis. Investing in Obama's Clean Energy Plan.

by Natalie Pace.

Includes a Solar Energy Stock Report Card.

In the past, I've had a distinct preference for Chinese solar companies over U.S. companies for a few major reasons.  The Chinese companies had strong support and subsidies from the Chinese government, cost-efficient labor and were manufacturing and innovating at a rapid pace -- as a result of those competitive advantages.  Because they were well-funded, companies like Suntech Power Holdings and Trina Solar were also able to secure polysilicon at a time when it was in short supply and extreme demand, even while two major U.S. Companies, namely Sunpower and Evergreen, weren't fulfilling orders because they were short on supply of silicon.

That was yesterday's story, but thanks to Obama's 2010 Budget and 2009 Recovery and Reinvestment Act, at least two cherry-picked U.S. companies could begin to catch up to our rivals on the other side of the Pacific Rim.

Obama on Clean Energy (U.S. Companies) from the 2010 Budget

1st Place: University of Colorado 2002 DOE Solar Decathlon

According to the 2010 Budget, President Obama is committed to "spark the creation of a clean energy economy."  In the next three years, his Administration will modernize Federal buildings, improve energy efficiency, and put Americans to work in solar and wind energy and in creating fuel-efficient cars. Two companies that are poised, in my view, to benefit most from the new governmental focus on solar energy are Hoku Scientific and Sunpower Solar, and here's why.

Both companies are outpacing their peers in sales growth, with HOKU expected to turn in an increase of 81% or more this year in revenue and Sunpower turning in an 85% increase.  Hoku has the added benefit of having pre-sold contracts of polysilicon from its brand new manufacturing facility to five solar manufacturing giants, including Suntech Power Holdings to the tune of $2.2 billion over the next ten years.  That means that when Hoku Scientific's Materials division does start produce silicon, expected to occur in the second half of 2009, their revenue should jump from the current $5 million per year range to the $221 million/year range relatively quickly.

Wall Street hasn't leaped on board with Hoku because the polysilicon manufacturing plant hasn't churned out its first wafer, but for the patient investor, having a company that is ramping up quickly to earn $221 million/year valued in the $42 million range is quite a deal.

Sunpower should be another undervalued American solar company.  Sunpower is the brainchild of Cypress Semiconductor engineers, which had an IPO in 2005.  Sunpower's panels are not only some of the top in terms of productivity and energy generation, they are also considered to be some of the most aesthetically beautiful.

In 2002 AND 2005, the University of Colorado won the Department of Energy's Solar Decathlon, using Sunpower solar panels.  (The German team Technische Universitat Darmstadt, won in 2007, with innovative, slim solar panels on their louvers, using a German product.)

1st Place: University of Colorado 2005 DOE Solar Decathlon

Which team (and solar manufacturing company) will reign supreme in the 2009 U.S. Department of Energy's Solar Decathlon? 

First Place: Technische Universität Darmstadt 2007 DOE Solar Decathlon

Who knows?  One thing for sure, however, is that Sunpower has an impressive competitive advantage in the U.S., beating out thin film providers, like Energy Conversion Devices and First Solar, in the generative power of the silicon based panels.  With the price of silicon coming down, Sunpower is also poised to begin increasing it's profit margins and generating some solid income.  Sunpower is equally dominant over Evergreen Solar, a silicon based panel manufacturer, in that the company is profitable and has ten times the sales, ringing up $1.43 billion in 2008, over $112 million for Evergreen.

Evergreen Solar has been struggling for years under heavy debt and the inability to keep a secure line of polysilicon, and as a result, is a laggard in sales, profits and sales growth potential. Their losses in 2008 were a whopping $-84.94 million, at a time when all of the other major solar panel providers were profitable.

Click here for a Solar Stock Report Card.

For more information on why silicon is a preferred source material over cadmium telluride and thin film technology, read "Solar Springs Up," from NataliePace.com April 2008 ezine, vol. 5, issue 4. 

Hoku Scientific and Sunpower were added to the Hot News on Cool Stocks list on March 2, 2009. 

Full disclosure: I own shares of Hoku Scientific. 

About Natalie Pace:
Natalie Pace, is the author of Put Your Money Where Your Heart Is, a featured teacher in the movie, Spiritual Liberation, and CEO of one of the most respected, independently owned financial news corporations in the U.S. She has been ranked as a #1 stock picker from TipsTraders.com and has partnered content with Forbes.com, Sohu.com, Kiplinger's Personal Finance and more.  She has appeared on Fox News, Good Morning America, CNBC, Time Magazine, More Magazine, USA Today, NPR and national radio shows. For more information please visit, http://www.nataliepace.com/.

Please note: NataliePace.com does not act or operate like a broker. We report on financial news, and are one of the most trusted independently owned and operated financial news corporations in the U.S. This article is intended to educate and inform individual investors, and, thus, to give investors a competitive edge in their personal decision-making. The publicly traded companies mentioned in this article are not intended to be buy or sell recommendations. ALWAYS do your research and consult an experienced, reputable financial professional before buying or selling any security, and consider your long-term goals and strategies.

Investors should NOT be using the Hot News on Cool Stocks list or the Cooling Off list to trade their nest eggs. Your retirement plan should reflect a long, safe strategy, which has been designed with the assistance of a financial professional who is familiar with your goals, risk tolerance, tax needs and more. The "trading" portion of your portfolio should be a very small part of your investment strategy, and the amount of money you invest into individual companies should never be greater than your experience, wisdom, knowledge and patience.

IMPORTANT DISCLAIMER: Information has been obtained from sources believed to be reliable however NataliePace.com does not warrant its completeness or accuracy. Opinions constitute our judgment as of the date of this publication and are subject to change without notice. This material is not intended as an offer or solicitation for the purchase or sale of any financial instrument. Securities, financial instruments or strategies mentioned herein may not be suitable for all investors.

China Bashing Once Again.

Dr. Gary Becker.

Dr. Gary Stanley Becker, Nobel prize winning economist (1992) University Professor, Dept. of Economics and Sociology Professor, Graduate School of Business University of Chicago

During his confirmation hearing before the United States Senate toward the end of January, Secretary of the Treasury Timothy Geithner accused China of "manipulating" its currency. This is not a statement that helps to further China-US cooperation on trying to stimulate the depressed world economy and on other issues. Secretary of State Hillary Clinton is now in China trying to mend some fences. Yet Geithner's statement is a correct evaluation of the Chinese policy of keeping the value of its currency, the yuan, low relative to the dollar and other currencies. It is far less clear, however, whether this and related Chinese policies harm the US and other countries.

By keeping its currency cheap, China encourages greater exports since that policy makes Chinese goods cheaper on world markets. This policy also discourages imports by Chinese consumers and producers since it raises the cost of foreign goods in terms of the yuan. Partly due to its manipulation of the value of the yuan, China has run large surpluses on its current account in recent years because the value of its exports has been significantly above the value of its imports. China has accumulated over $2 trillion of reserves. The world recession has sharply reduced China's exports, but surprisingly the recession has reduced China's imports by much more, so that its foreign trade surpluses have grown greatly during recent months.

Some American producers have had trouble competing with cheap Chinese imports, and have either gone out of business, or shifted production overseas, mainly to China itself. Since China mainly exports goods produced with low priced labor that is not available in richer countries, their exports have not had a major impact on production in the richer countries. Far more significant to developed countries are the reductions in the cost of imported clothing and many other goods from China. Consumers, especially low income consumers, now take for granted their ability to buy cheaply many everyday goods that would cost perhaps five times as much were they made in the US, Western Europe, or Japan.

The Chinese government holds most of its more than $2 trillion in official reserves in US Treasury securities. China gets a bad deal from selling goods made by Chinese labor and capital in exchange for a large amount of paper assets that yield low returns. China has accumulated far more reserves in the form of these assets than can be justified as a buffer against fluctuations in its imports and exports, or than is wise given its low standard of living. The US seems to have made the better bargain by exchanging low interest paper assets for a rich variety of consumer and producer goods.

Does China's ownership of large quantities of US government bonds give China the opportunity to "blackmail" the United States into more favorable policies toward China through threats to flood the international capital market with these assets? China has not made such threats, perhaps mainly because they would not be credible. Since China owns only a rather small fraction of US Treasury obligations, and an even smaller fraction of total liquid assets traded on world capital markets, a threat to sell their US governments would give China only a little leverage on world interest rates, including those paid by the United States government. Moreover, China, along with other governments, holds US Treasury assets because they are considered among the safest of all assets, especially during these turbulent times. By selling their US Treasury bonds, China would have to take on riskier assets at a time when China is trying to cut its exposure to risk.

To be sure, the high savings rates of China and other Asian countries during the past decade are partly responsible for the low world interest rates that contributed to the housing bubbles in the United States and other countries. To that degree, China bears some indirect responsibility for the financial crisis that is afflicting much of the world. However, China too is being badly hurt by the world recession. Moreover, excessive bank lending and borrowing, and government encouragement of sub prime loans, were much more important culprits in generating excesses in the housing market.

The extensive protectionist policies practiced by the Chinese government do hurt the United States and other countries, including China itself. Chinese protectionism is especially common in the financial sector; while foreign banks are being allowed greater access to China markets, they are still subject to considerable discrimination. The general trend in China (and other nations) toward less protectionism has been set back by the global recession, as China has recently introduced various "buy China" programs in its steel and other industries.

China bashing during the past decade is reminiscent of the Japan bashing that occurred during the 1980s. It turned out that Japan's substantial export surplus with the US, its extensive accumulation of US Treasury bonds, and its purchases of assets in the US did not hurt the United States, but were for the most part foolish actions on the part of the Japanese government and businesses. I believe that similar conclusions will be reached about the parallel Chinese practices.

Dr. Becker is a University Professor, Department of Economics, and Sociology Professor, Graduate School of Business, The University of Chicago. He won the Nobel Prize in Economics in 1992 for his groundbreaking work in "human capital."

To keep track of Dr. Becker's continuing research and commentary, visit his web site and blog. To hear more of his research and recommendations for strengthening the U.S. economy, consider attending the 2009 Milken Global Economic Conference. Dr. Gary Becker has been a keynote speaker at the conference every year since it began!

Couch-Surfing and Other Creative Solutions for Distressed Americans.

by Natalie Pace. 

Learn how Steve Jobs, Gloria Allred and I turned our breaking points into “Tipping Points.”

It was during his couch-surfing days that Steve Jobs learned some of the coolest applications on the Apple computer, such as the beauty of calligraphy, which led to Apple's mastery of font styles.  It was during my house-sharing days - as a struggling single mother -- that I launched my financial news and education company.

Hardship, adversity, challenges, devastation — in other words having a big reason why we have to act fast and boldly — is often the fuel of our most important, lasting and positive change. So often, our finest moments are not born of our own doing, but life's hardships, that provide the inspiration, or even necessity, for the journey in the first place. "Tough times" are just that - a period of our life - not forever, and believe it or not, they provide the opportunity to reinvent ourselves, if we're willing to:

1. Reach out
2. Lend a hand
3. Pull together
4. Think partner, not competitor
5. Couch Surf!

You will be surprised, as you read below, of the VIPs who employed these ideals during the "tipping point" of their lives, and lived to enjoy new opportunities and achievements that are worthy of bragging rights.

Below is a list of eleven out-of-the-box solutions and resources to help stop the drama, and start the renaissance of your life and our world. So, think of these as temporary solutions to shelter us from the financial storms and bridge us to a better tomorrow, so that we might, as President Obama says, "Come together and lift this nation from the depths of this crisis and perform something worthy to be remembered."

1.  Couch-Surfing.  It may be hard to imagine, but some of our most beloved billionaires were once just couch-surfing college dropouts.  According to Steve Jobs, CEO and co-founder, Apple Computer, the seeds of Apple were quite humble!  In his 2005 Stanford Commencement Speech, Jobs said, "It wasn't all romantic. I didn't have a dorm room, so I slept on the floor in friends' rooms, I returned coke bottles for the 5¢ deposits to buy food with, and I would walk the 7 miles across town every Sunday night to get one good meal a week at the Hare Krishna temple. I loved it. And much of what I stumbled into by following my curiosity and intuition turned out to be priceless later on."  (You can watch Mr. Jobs' entire commencement address by clicking on the Stanford link above.)

Even if you don't invent the iPhone, and your couch-surfing period returns little more than drool on a pillow, let Steve's story give you just the inspiration (and humor) you need to meander your way into a better life.

Incidentally, the activist/attorney Gloria Allred and I both used house-sharing with another single mother when we had young children, in order to cut our expenses in half, have help with the parental responsibilities and to give ourselves a little time to think and breathe.  Check out CoAbode.org, if you're interested in finding another single mother in your area.  Don't overlook family members who might benefit from temporarily sharing their home with you.  Everyone needs a little extra dough these days!

2. Loan Modification:  HopeNow.com is an alliance between HUD approved counseling agents, mortgage companies, investors and other mortgage market participants that provides free foreclosure prevention assistance. FREE!  Hope Now has already helped over one million homeowners modify their loans and avoid bankruptcy.

3. Complaints about any Shady Business: FTC.gov. The Federal Trade Commission handles consumer complaints about scams from shady business owners.  There are plenty of untoward shysters in the "loan modification" business these days.  Learn how to avoid these scams by reading the consumer alerts on the FTC website.

4. Investing Strategies for Lifetime Wealth: Buy and hold doesn't work.  Mutual funds don't work.  The Blue Chip Index has become the Bailout Index.  What does work?  Modern Portfolio Theory.  Exchange Traded Funds.  Rebalancing twice a year.  Avoiding dying companies.  Investing in products and services of tomorrow.  It's as easy as pie - a pie chart that is (on page 92).  All this and more is outlined in my new book, Put Your Money Where Your Heart Is.  Access a link to buy the book by going to NataliePace.com.

5. Broker and Investor Education: FINRA.org FINRA is the regulatory authority for broker dealers.  They have a fantastic investor education center online, as well as Broker-Check, which allows you to see if your Certified Financial Partner has had any complaints in the past.  Get more information on bonds, stocks and brokers at FINRA.org.

Photo: Stacie Isabella Turk, Ribbonhead.com ©2008. Stylist: Arlene Hylton-Campbell, 818-710-0079.

6. Investment Education Seminar: Blind faith and buy and hold has lost you hundreds of thousands, if not millions of dollars, so why not spend $1300 and three days recession-proofing and resurrecting your nest egg in a plan that has worked for the last 10 years and will continue working for the rest of your life? The nest egg strategies you put in place at the Get Rich and Enrich Retreat allowed investors to capture the gains of NASDAQ 2000 (before the bust), real estate 2005 (before the bust), clean energy 2007 (before the bust in 2008) and more. Bill and Nilo lost nothing in their nest egg in 2008 and 2009, and the Green Goddesses earned top gains on Wall Street (40% and 150% in their last two trades) in 2008 and 2009, in a market that dropped over 46%! If these novices can do it, so can you.

Be one of just 14 people at the Memorial Day Retreat in Santa Monica, CA, on May 21-23, 2009 in an intimate boardroom setting learning directly from me.  Register before March 15, 2009 and receive EARLY BIRD PRICING and a FREE one-year Premium Subscription, valued at over $2000.  Get more information on the home page at NataliePace.com under the blue banner ad that says, "Buy and Hold Doesn't Work."

7.Recently unemployed?  One investment analyst has decided to volunteer her time at a local nonprofit organization. She is going to keep her skills sharp and learn some new chops, so that when she does go back to work, she can get a raise and a promotion to boot!  Think creatively for ways that you can use the extra time to benefit something or someone or some organization that you've always wanted to help, with the eye that you can also improve your skills in the process.  An investment in improving your skills, expanding your network of friends and helping humanity is an investment that pays off in ways you can never imagine, including on your resume, even if you must endure some time without a steady paycheck.

8. Stuck in a dead-end job.  I know of a very successful Chairman/CEO type who turned the most challenging time of his life into a springboard.  He exited an exciting, but low paying career. Moved back into his parent's house so that he could get training in a more lucrative profession, while still supporting his ex-wife and children.  In a short time, he exited the training program at the top of his class and then charged up the executive ladder to become CEO and Chairman of a company worth more than $7.5 billion today.  Sometimes the worst moment of your life is leading to the best - if you are willing to meet the challenge, humbly, even when those around you might think you're crazy.

9. Recently unemployed, home foreclosed, wife left with the kids.  Another father studied engineering through online courses and is now working at a dream come true job in aerospace!  His kids are all grown-up, living their own lives and have benefitted from having a dad who loves them and is willing and able to fly across the country to celebrate the birth of their kids.

10. Avoiding layoffs: Taking a forced day off for the team. There is a city in Connecticut where the staff has volunteered to take one day off every two weeks to cut costs.  This has reduced expenses across the board and prevented lay-offs.

11. The Currency of the Smile. Don't underestimate the value of your positive energy and willingness to give.  Mario, a waiter at a restaurant that I frequent, gets free L.A. Laker seats, avocados and hands to move, while his colleague goes empty-handed.  Learn more about the Currency of the Smile in my YouTube video.

As Steve Jobs says, “You have to trust in something--your gut, destiny, life, karma, whatever--because believing that the dots will connect down the road will give you the confidence to follow your heart, even when it leads you off the well-worn path.” .

Share your story of Hope and your seeds of wisdom on the Sharing Wisdom bulletin board, under the topic, Solutions for the Financial Crisis.  How are you turning today's crisis into a better tomorrow?

Foreclosure Rescue Scams: Another Potential Stress for Homeowners in Distress.

Facts for Consumers by the Federal Trade Commission.

The possibility of losing your home to foreclosure can be terrifying. The reality that scam artists are preying on the vulnerability of desperate homeowners is equally frightening. Many so-called foreclosure rescue companies or foreclosure assistance firms claim they can help you save your home. Some are brazen enough to offer a money-back guarantee. Unfortunately, once most of these foreclosure fraudsters take your money, they leave you much the worse for wear.

Fraudulent foreclosure "rescue" professionals use half-truths and outright lies to sell services that promise relief and then fail to deliver. Their goal is to make a quick profit through fees or mortgage payments they collect from you, but do not pass on to the lender. Sometimes, they assume ownership of your property by deceiving you, the homeowner. Then, when it's too late to save your home, they take the property or siphon off the equity. You've lost your home to foreclosure despite your best intentions.

If you think you may be facing foreclosure, the Federal Trade Commission (FTC), the nation's consumer protection agency, wants you to know how to recognize a foreclosure rescue scam. And even if the foreclosure process has already begun, the FTC and its law enforcement partners want you to know that legitimate options are available to help you save your home.

How the Scams Work
Foreclosure rescue firms use a variety of tactics to find homeowners in distress: Some sift through public foreclosure notices in newspapers and on the Internet or through public files at local government offices, and then send personalized letters to homeowners. Others take a broader approach through ads on the Internet, on television, or in the newspaper, posters on telephone poles, median strips and at bus stops, or flyers or business cards at your front door. The scam artists use simple and straightforward messages, like:

"Stop Foreclosure Now!"
"We guarantee to stop your foreclosure."
"Keep Your Home. We know your home is scheduled to be sold. No Problem!"
"We have special relationships within many banks that can speed up case approvals."
"We Can Save Your Home. Guaranteed. Free Consultation"
"We stop foreclosures everyday. Our team of professionals can stop yours this week!"

Once they have your attention, they use a variety of tactics to get your money:

Phony Counseling or Phantom Help
The scam artist tells you that he can negotiate a deal with your lender to save your house if you pay a fee first. You may be told not to contact your lender, lawyer, or credit counselor, and to let the scam artist handle all the details. Once you pay the fee, the scam artist takes off with your money.

Sometimes, the scam artist insists that you make all mortgage payments directly to him while he negotiates with the lender. In this instance, the scammer may collect a few months of payments before disappearing.

Bait-and-Switch
You think you're signing documents for a new loan to make your existing mortgage current. This is a trick: you've signed documents that surrender the title of your house to the scam artist in exchange for a "rescue" loan.

Rent-to-Buy Scheme
You're told to surrender the title as part of a deal that allows you to remain in your home as a renter, and to buy it back during the next few years. You may be told that surrendering the title will permit a borrower with a better credit rating to secure new financing - and prevent the loss of the home. But the terms of these deals usually are so burdensome that buying back your home becomes impossible. You lose the home, and the scam artist walks off with all or most of your home's equity. Worse yet, when the new borrower defaults on the loan, you're evicted.

In a variation, the scam artist raises the rent over time to the point that the former homeowner can't afford it. After missing several rent payments, the renter - the former homeowner is evicted, leaving the "rescuer" free to sell the house.

In a similar equity-skimming situation, the scam artist offers to find a buyer for your home, but only if you sign over the deed and move out. The scam artist promises to pay you a portion of the profit when the home sells. Once you transfer the deed, the scam artist simply rents out the home and pockets the proceeds while your lender proceeds with the foreclosure. In the end, you lose your home - and you're still responsible for the unpaid mortgage. That's because transferring the deed does nothing to transfer your mortgage obligation.

Fraudulent foreclosure "rescue" professionals use half-truths and outright lies to sell services that promise relief and then fail to deliver.

Bankruptcy Foreclosure
The scam artist may promise to negotiate with your lender or to get refinancing on your behalf if you pay a fee up front. Instead of contacting your lender or refinancing your loan, though, the scam artist pockets the fee and files a bankruptcy case in your name - sometimes without your knowledge.

A bankruptcy filing often stops a home foreclosure, but only temporarily. What's more, the bankruptcy process is complicated, expensive, and unforgiving. For example, if you fail to attend the first meeting with the creditors, the bankruptcy judge will dismiss the case and the foreclosure proceedings will continue.

If this happens, you could lose the money you paid to the scam artist as well as your home. Worse yet, a bankruptcy stays on your credit report for 10 years, and can make it difficult to obtain credit, buy a home, get life insurance, or sometimes get a job.

Where to Find Legitimate Help
If you're having trouble paying your mortgage or you have gotten a foreclosure notice, contact your lender immediately. You may be able to negotiate a new repayment schedule. Remember that lenders generally don't want to foreclose; it costs them money.

Other foreclosure prevention options, including reinstatement and forbearance, are explained in Mortgage Payments Sending You Reeling? Here's What to Do, a publication from the FTC. Find it at www.ftc.gov.

You also may contact a credit counselor through the Homeownership Preservation Foundation (HPF), a nonprofit organization that operates the national 24/7 toll-free hotline (1.888.995.HOPE) with free, bilingual, personalized assistance to help at-risk homeowners avoid foreclosure. HPF is a member of the HOPE NOW Alliance of mortgage servicers, mortgage market participants and counselors. More information about HOPE NOW is at www.995hope.org.

Red Flags
If you're looking for foreclosure prevention help, avoid any business that:

- guarantees to stop the foreclosure process - no matter what your circumstances
- instructs you not to contact your lender, lawyer, or credit or housing counselor
- collects a fee before providing you with any services
- accepts payment only by cashier's check or wire transfer
- encourages you to lease your home so you can buy it back over time
- tells you to make your mortgage payments directly to it, rather than your lender
- tells you to transfer your property deed or title to it
- offers to buy your house for cash at a fixed price that is not set by the housing market at the time of sale
- offers to fill out paperwork for you
- pressures you to sign paperwork you haven't had a chance to read thoroughly or that you don't understand.

If you're having trouble paying your mortgage or you have gotten a foreclosure notice, contact your lender immediately.

Report Fraud
If you think you've been a victim of foreclosure fraud, contact:

Federal Trade Commission
Your state Attorney General
Your local Better Business Bureau

For More Information
To learn more about mortgages and other credit-related issues, visit www.ftc.gov/credit and MyMoney.gov, the U.S. government's portal to financial education.

The FTC works for the consumer to prevent fraudulent, deceptive, and unfair business practices in the marketplace and to provide information to help consumers spot, stop, and avoid them. To file a complaint or to get free information on consumer issues, visit ftc.gov or call toll-free, 1-877-FTC-HELP (1-877-382-4357); TTY: 1-866-653-4261. The FTC enters consumer complaints into the Consumer Sentinel Network, a secure online database and investigative tool used by hundreds of civil and criminal law enforcement agencies in the U.S. and abroad.

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The Top Twelve Investing Mistakes.

by Natalie Pace.

Investing mistakes are easy to fall into because it's what everyone else is doing and it feels like a time-saver. In fact, these common mistakes are not time savers at all. They are money losers, stomach acid burners and often even relationship hell!

So, let wisdom be your path to prosperity instead.

The Top Twelve Investing Mistakes
Mistake # 1. Buy and hold mutual funds.  This strategy lost money over the last 10 years.  Exchange Traded Funds, Modern Portfolio Theory, emerging industries, avoiding dying industries and semi-annual rebalancing worked beautifully.  You were able to capture gains of NASDAQ 2000, real estate 2005, clean energy 2007, DOW 2007 and more, while avoiding the Bailout Index, which listed such losers as Fannie Mae, General Motors, Citigroup, Bank of America and Altria (Phillip Morris Tobacco Company).  The best way to get with this program is through my 3-day investor retreats, where you will build a pie-chart blueprint for your Buy My Own Island Plan that will work for the rest of your life. Get more information on the home page of NataliePace.com, under the blue banner ad that reads, “Buy and Hold Doesn’t Work.”

Mistake #2. Commission Based Brokers. They are paid to sell you things and most don't have the ability to offer you ETFs and no incentive to incorporate Modern Portfolio Theory.  Commission-free brokers are paid for "assets under management," meaning they want to keep you happy.  Ask how your investment professional is paid, and whether or not her company has contests on who the top salesperson is. 

Mistake # 3. Trading on Analyst Recommendations. Following analyst recommendations is a losing proposition. Researchers at the University of California and Stanford found that, in the year 2000, the stocks most highly rated by analysts lost 31 percent for the year. Even more incredible is this finding from the study: The stocks least favored by the major analysts soared 49 percent. This study examined 40,000 stock recommendations from 213 brokerages. This is mostly just a case of supply and demand, not dumb, corrupt analysts (though there are a few of those). Analysts are not all crooks, but they are definitely not fortune-tellers when it comes to returns.

Mistake # 4. Bankruptcy Buying. Think buying General Motors at $2.25 a share is a great idea because even if they file Chapter 11, they will come out of bankruptcy? Guess again. Reorganization plans commonly call for the cancellation of the existing common stock, with holders receiving nothing. Nada.  When the company emerges from bankruptcy, new stock is issued and the old stock becomes toilet paper.  Lawsuits are a difficult and costly way to try to recover losses.

Mistake # 5. Pet Rocks. It's very tempting to buy stock after shareholders have earned seven thousand times their investment, or real estate after the industry has posted intergalactic gains, but that is called chasing money. There were people, lots of them, who bought real estate at peak prices in 2005. Too bad losing weight isn't as easy as losing money.

Mistake # 6. Hot Tips. Hot tips are often merely "Pump and Dump" or Ponzi schemes.  Shysters and scam artists prey on you through this mechanism - from Madoff to the penny stock ads that you receive in your email.  Beware these days of loan modification scams.  If anyone demands money up front, money within 72 hours, money before you can do your due diligence, etc., just say no, even if they do hang out with Kevin Bacon (allegedly).

Mistake # 7. Sure Shots. If someone promises to double your money in a set period of time, or to give you annual returns that are double or more of what the average person can achieve, assume that you're dealing with a novice or a scam artist.  This tip ALONE would have saved you from Bernard Madoff.  Even though he had a good pedigree on Wall Street (like other VIP scum bags before him), he was notorious for providing no backup documentation of how he achieved his astronomical gains.  Beware anytime someone wants you to hand over money before you have a chance to read between the lines and look at the details of their business plan.

Mistake # 8. Buying on Headlines. Headlines are written by editors to catch your eye. If you don't read the fine print, you could be missing the most important information, and sometimes the story itself is so poorly written that is little more than a company press release (see below for mistake #9).  Stocks trading beneath their cash or other technical screens masked as headline stories rarely do the kind of forensic, investigative analysis required to determine if a stock is really a worthwhile investment.

Mistake # 9. Press Releases. Press releases are written by professional writers, who are employed by the company they are writing about. A company can talk about an increase in revenue without ever mentioning that increased revenues don't mean the company is profitable or that, due to cash constraints, the company's fiscal health is on the ropes. If you read anything that is from PRNewsWire or BusinessWire - services that distribute press releases written by corporate PR people - ask yourself, "What aren't they telling me?" Press releases can have valuable data and information, but they are designed to give you a snapshot of something newsworthy, not to draw out the full picture.  Press releases are all over the web these days and look quite a lot like articles, so be meticulous with determining the source of the writer.

Mistake # 10. Placing all your chips on one sector. Diversify with Exchange Traded Funds so that you can see and capture your gains, with your semi-annual nest egg rebalancing! The former Blue Chip Index has become the Bailout Index, so it is more important that ever that you know what you hold in your ETFs.  Mutual funds are too big to be diversified, which makes it impossible to know what you own and to take profits when one segment of the stock market - industry or size or style - has a rapid run-up in gains.

Mistake # 11. Keeping too much stock in your employer's company. Rule of thumb, according to ERISA guidelines: no more than 10 percent of stock in your own company. There's one exception to this rule: if you're the owner of the company, you may need a dominating percentage of the stock for voting/power reasons. In the early days of Apple Computer, Steve Jobs was booted out of the company he had co-founded.

Mistake # 12. Handing your investments over to a loved one, relative or friend. I've spoken with women executives who have commanded billion dollar corporations, and others who have multi-million dollar salaries, who turned over their personal investment portfolios to a husband, in order to make him feel like "more manly." With men, it's more likely to be the guy at the country club who convinces his poker partners to come in on a sure shot investment of his.  Interview your Certified Financial life partner as if your life depends upon it, because your lifestyle does!

This is an excerpt from Put Your Money Where Your Heart Is by Natalie Pace.  This book includes easy-to-read and implement pie chart strategies for Buying Your Own Island in your lifetime.  No matter where you are in life or how much money you have, if you start investing now and increase your financial wisdom daily (starting by reading this book), you will become more rich and you will enrich the world in the process. Come to a retreat, if you wish to set up your nest egg with a prosperity strategy that works for the rest of your LIFE!

Structural Issues.

by Paul Woods, President, CEO and CIO, Odyssey Advisors. 

Can Clean Energy Travel on Lines Built a Century Ago?

Paul Woods, President, CIO & CEO, Odyssey Advisors LLC.

In the U.S., one of the biggest differences between the private sector and the public sector is that when the private sector invests money, the goal is to produce a financial return on that investment.  When the public sector "invests" (spends) your tax dollars, their goal is to maximize the return at the ballot box.

One of the unintended consequences of this incentive system is a neglected infrastructure that's becoming increasingly congested because bridges, roads, and power lines don't vote.  Politicians are smart enough to know nothing good will happen if the infrastructure collapses, so they usually spend just enough to keep it maintained.  However, what passes for new in this country was mostly built after World War 2.

The Goal
Much of our infrastructure is overburdened, but the electricity grid may be the closest to running out of capacity.  This country would like to generate more power from clean sources, but generating electricity isn't the problem.  As an example, North and South Dakota are currently believed to have the equivalent of the Saudi Arabia of wind with the potential to generate half of our electricity needs from wind turbines.  The only small problem is getting it to the consumer.  At present, the only way to take advantage of this would be move half the people in this country to the Dakotas.

To help tackle these problems, there are several proposals in the works with a price tag that's a fraction of the amount wasted on bailouts.  In early January, President Obama announced plans to spend $150 billion over ten years to speed up the development of renewable energy and modernize the grid to help create jobs.  As usual, the specifics on how exactly this will be done are lacking but the stock market is starved for good news and stocks in some of the companies likely to benefit have begun to act better.

A Smart Grid
To bring our electricity grid into the 21^st Century, one of the goals is to produce a Smart Grid that builds two way communications systems, sensors, and diagnostic software into the transmission and distribution network.  This will allow utilities to have a better picture of demand so that supplies can be better coordinated.  A Smart Grid will also require smart meters that allow consumers to monitor their cost of electricity and respond appropriately.  This would allow incentives to be provided to reduce demand when the grid is under the most pressure and help to conserve the resources used to produce electricity.

The Challenges

The Electricity Generation and Delivery Process

The current electricity grid is based upon a system conceived 100 years ago to allow utilities to share the job of supplying electricity to consumers.  The current grid resembles a system of streets and country roads and is tremendously inefficient.  By some estimates, of all the energy used to produce electricity, only 30% reaches consumers in the form of electricity.  Transmission and distribution losses are currently valued at $25 billion per year.  In some areas, the electricity produced outweighs the transmission capacity by 65% and it makes no sense to add new production facilities, even if they're green.

Listening to the rhetoric from Washington leaves the impression that fixing this problem will be relatively simple.   However, in the real world, the challenges are daunting:

1. The roughly 300,000 miles of power transmission lines in this country are divided among approximately 500 owners.  Most of these are companies that wouldn't be characterized as streamlined or fast moving.  Assuming these private owners can agree and decide to upgrade their transmission lines, they have to start by obtaining multiple permits that usually require time consuming and expensive environmental impact studies.

2. Environmentalists are schizophrenic on this issue.  They claim to support clean energy but often end up opposing the steps necessary to bring the electricity it generates to the market.  Wind turbines kill migrating and endangered birds and environmentalists have the potential to destroy the economics of this technology through endless court challenges.  In California, that's already happening to wind farms in the Altamont Pass in Northern California.   Environmentalists are also opposing the upgrade of transmission facilities that would allow electricity produced by wind turbines in Tehachapi to reach Los Angeles. 

3. There is jurisdictional overlap as permits may be required from Federal, state, and local authorities.  The requirements of obtaining these permits aren't necessarily consistent and may be contradictory.  This jurisdictional overlap also creates confusion over whose responsibility it is to construct new facilities.  In addition, the Federal Government regulates electricity generated for interstate transmission while state and local authorities regulate intrastate power, making it possible to create uncertainty over which entity regulates each source of power.

4. There are usually competing land uses and opposition from property owners, NIMBYs (Not In My Back Yard) and environmental groups is almost certain.  Attempts to upgrade the grid are virtually guaranteed to provoke lengthy and expensive legal battles that create uncertainty for transmission line owners about cost recovery and when, if ever, there will be a return on their investment.

5. At present, there is little incentive for utilities to address problems with the current grid.  Making the grid more efficient would mean delivering the same amount of electricity to the consumer at less cost, which equates to selling the same output at a lower price.  Without adding some incentives, utilities will probably prefer to retain the current inefficient system to maintain profit margins.

6. In most states, the rules used by public utility commissions to evaluate transmission investments discourage multistate projects.  Some states with low electricity rates fear that that new transmission lines will export their cheap power and drive electricity costs up.

7. With President Obama and the democrats in control of Congress comes the very real threat of carbon emissions legislation.  If passed, a cap and trade system or a carbon tax will result in significant costs for this industry.  That will leave less capital available to invest in modernizing the grid and is likely to further discourage private investment here.

The result is while electricity demand has increased by about 25% since 1990, the construction of transmission facilities decreased about 30%. Annual investment in new transmission facilities has actually declined over the last 25 years.  The result is an increasingly congested and unreliable grid and a relatively small amount spent on transmission.

The Energy Policy Act of 2005
In an attempt to overcome some of these obstacles, Congress gave the Energy Department the authority to approve new transmission lines if states failed to act.  Two areas, one in the Middle Atlantic and another in the Southwest were designated as national priorities.  The result was that 14 Senators from both sides of the aisle signed a letter stating that the Energy Department was being too aggressive, and Congress subsequently backed off.

Getting Realistic
Overly zealous politicians have already created the expectation that several million jobs will be created from modernizing the electricity grid.  However, since the grid is privately owned, the government won't be able to hire millions of workers to do this unless they nationalize every company involved.  The only way to help the private sector do this quickly would be to streamline the permitting process, eliminate jurisdictional turf wars, keep land owners and NIMBYs out of court, put a choke chain on environmental lawyers, change the mindset of regulators, and provide tax incentives for grid upgrades.  Of these, the only thing government is likely to help with is providing tax incentives for investment.

Realistically, the obstacles aren't going away anytime soon and progress is likely to be slow even though the electricity grid in this country is a mess.  Upgrades are likely to continue to be done on a piecemeal basis, with the most urgent situations hopefully getting attention first.  There are some very interesting companies associated with bringing the grid into the 21^st century, but investors need to be prepared for the likelihood that modernization may take longer than expected.

The Pick of the Litter
While there are numerous companies involved in upgrading the electricity grid, one looks particularly interesting because it addresses the biggest problem on the grid.  For disclosure purposes, it should be noted that this company is in some of the portfolios managed by Odyssey Advisors, LLC.

American Superconductor (AMSC) produces high temperature, superconducting power lines that move electricity very rapidly and with very little loss over long distances.  Replacing old lines with this technology would allow more power to be moved through current transmission lines and reduce the need to build new ones.  In addition, by reducing transmission losses, this company effectively increases the amount of electricity that can be delivered to consumers without adding to production capacity.  AMSC also supplies electrical systems used in wind turbines and sells power electronic products that regulate wind farm voltage to enable their interconnection to the power grid.

Paul Woods is the President, Chief Executive Officer, and Chief Investment Officer of Odyssey Advisors. He has over 35 years of experience in the investment management and research analysis of common stocks. He manages the Odyssey Clean Energy Portfolio. Paul has done a great deal of independent research on clean energy and has written multiple articles on various segments of this industry. He can be contacted at pwoods@odysseyadvisors.com.

Information has been obtained from sources believed to be reliable however Odyssey Advisors LLC does not warrant its completeness or accuracy.  Opinions constitute our judgment as of the date of this material and are subject to change without notice.  This material is not intended as an offer or solicitation for the purchase or sale of any financial instrument.  Securities, financial instruments or strategies mentioned herein may not be suitable for all investors.

Is Your Nest Egg on Life Support?

by Natalie Pace.

Disease is a wakeup call that something is going wrong.  Those of us who hear the call and don't buy into the "diagnosis," can seize the opportunity to get healthy by making better choices and healing the damage that occurred largely as a result of unhealthy habits.  For instance, did you know that one of the easiest and best ways to lower high blood pressure is to exercise and eat right?

The same is true of the broken nest egg.  If you are over 50 and you lost more than 14 percent, your nest egg was cracked to begin with*.  (If you are 25, your maximum losses should be 25%.)  Bill and Nilo Bolden have not lost anything, using a pie chart that I drew up on a napkin. The Green Goddess Investment Club made almost 40 percent gains on their first investment in 2008, and just cashed in over 150 percent gains on their most recent trade last month.  They started their club less than a year ago, after the three founders attended my Investing Retreat, and have been cooking up profits during a time when the stock market lost 46% of its value.

If Bill and Nilo and the Green Goddesses are doing great and your nest egg is on life support, it's your plan - not just "the global meltdown" that needs some bailing out.   The dis-ease that you are currently experiencing is an invitation to learn better nest egg strategies and ensure that you are in the best position going forward to resurrect and heal your bottom line.

Whether you are an investor, a Certified Financial Planner, a hedge fund manager or a handyman (like Bill), there are cutting edge, time-tested products that can help you master a healthier fiscal life. Using some very tried and true strategies - like Modern Portfolio Theory, Exchange Traded Funds, semi-annual rebalancing, avoiding dying industries and investing in emerging economies - you can have a winning home for your money even during the worst financial storms we've seen since the Depression.  Yes, this is very different from what was practiced and touted over the last century - namely buy and hold mutual funds.  There does come a time when the airplane replaces the Pony Express and when Modern Portfolio Theory and semi-annual rebalancing is a better strategy than owning dying industries and the Bailout Index.

Just as you can't heal high blood pressure with the same old doughnuts, coffee and couch potato plan, you can't expect that the "blind faith, check off the box without knowing what you're doing" plan that lost you tens of thousand or hundreds of thousands or even millions of dollars is the best strategy for resurrecting your assets.  You are not going to get a better bottom line by sitting around, doing nothing and praying that things get better.

As Green Goddess Kavi Ladnier writes:

I understand feeling like a nest egg is something people with money can afford to do.  Last summer I was introduced to Natalie Pace and three women who were inspired by her to start an investment club. I was nervous to be involved, especially at a time when the minimum monthly contribution was not so minimum for me. But I joined and began a journey of understanding that I know will only grow with time. Ideas like Natalie's stock report card, sectors and how in the world to make sound decisions, especially in a time of economic instability was not something I would have even dreamed of being able to do year ago.

Even more poignant, Kavi told me that when she first tried doing my Stock Report Card™, it was so easy that she thought she was doing it wrong!  And you can see their results.  Obviously their group really gets it.

So have a little faith (not blind faith) that you can do this, if you just get the right tools and education.  Start with reading my book, Put Your Money Where Your Heart Is. If you want to recession-proof and resurrect your nest egg now, with a plan that will work for the rest of your life, come to my Memorial Day Get Rich and Enrich Retreat.

The book is available wherever books are sold.  More information on the retreat can be found under the blue banner ad on the home page at Natalie Pace.com that says, "Buy and Hold Doesn't Work."

It's that simple to start on the pathway to wisdom. It's as easy as a pie chart (found on page 92)*.

*In February 2008, I warned to overweight an additional 20% into safety, which means that a 50-year-old has only 30% at risk.  With losses of 46% in only 30% of her portfolio, the average 50-year-old would still be sitting on a relatively healthy foundation, having trimmed less than 14% from their holdings.  Additionally, if she was using semi-annual rebalancing, ETFs, emerging industries, avoiding dying industries and Modern Portfolio Theory for the last decade, she would have made a lot of money, while the average Buy and Hold Investor LOST money at a rate of -0.6% per year.

About Natalie Pace:
Natalie Pace, is the author of Put Your Money Where Your Heart Is, a featured teacher in the movie, Spiritual Liberation, and CEO of one of the most respected, independently owned financial news corporations in the U.S. She has been ranked as a #1 stock picker from TipsTraders.com and has partnered content with Forbes.com, Sohu.com, Kiplinger's Personal Finance and more.  She has appeared on Fox News, Good Morning America, CNBC, Time Magazine, More Magazine, USA Today, NPR and national radio shows. For more information please visit, http://www.nataliepace.com/.

Risks on the Road Between You and the Emerald City.

by Chellie Campbell.

"Perseverance is a great element of success. If you only knock long enough and loud enough at the gate, you are sure to wake up somebody."
- Henry Wadsworth Longfellow

If you aren't winning enough in your life, it's because you aren't losing enough. "What?!" you may be thinking. "I'm losing plenty, thanks. That can't be right."

It is right. You have to take risks to win. And you don't win every time you take a risk. Success is a percentage game - and it's not even a big percentage. The difference between successful people and unsuccessful people is that successful people are willing to fail more often than unsuccessful people. They are willing to hear "no" and get rejected. Millionaire baseball players bat .300 - that means they only hit three balls out of ten. But they make millions because most people can't even hit that many.

The difference is that winners have an intense, laser-focused attention on the goal - and on winning the goal. They don't see the goal as out of reach, they believe that they will attain it if they just do the right things. If they don't know exactly what the right things are, they are willing to experiment, pay for lessons, workshops, coaches, and try different things until they happen upon the things that work, and then they do those things over and over and over, ad infinitum, until the goal is achieved. They send out a ship, and then they send out another one. And another one. And another and another and another.

It doesn't matter how many ships sink, how many people say no to you; it only matters how many people say yes. So keep on going until enough people say yes. You have to have this kind of determination not to quit and to keep going until the yeses arrive like the next ship on the next wave. Or the one after that.

So how do you remain undefeated in the face of lost ships? How do you garner the strength - mental, physical, and spiritual - to build another? And the one after that? How do you face mounting losses, over and over again?

It takes passion, determination, and single-minded devotedness to purpose. When you're Dorothy and your goal is the Emerald City, you are willing to take any path to get there: your goal is all that matters. Determination is like an iron fist in your gut. You will not be dissuaded from your dream because there's a wicked witch on the road, or flying monkeys overhead, or a guard at the gate who denies you entrance to the Emerald City. You will never be one of those small people who are content to stay forever in Munchkinland. You will get to the Emerald City or die on the road to the Emerald City. And because you keep on moving down the road, life helps you out by sending you a Glenda, a Tin Man, a Scarecrow, and a Lion to give you encouragement and help you succeed.

Losing fires up winners. Their response when someone tells them they aren't good enough, they can't do it, or they're a loser, is "Oh, yeah? Watch this!" They use the rejection as an energetic launching pad to redouble their efforts, sharpen their creativity, and prove the naysayers wrong.

Photo credit: Mary Ann Halpin

Let me give you a tip: There's no "there" there. There is no place to get to where you stay put "happily ever after." Because after you reach your Emerald City, it isn't long before you're making plans for the Ruby City next. And the Diamond City after that. As soon as you get one goal, you just set another goal. Goals are not ends in themselves - they are just there to get you out on the road, meeting people, and experiencing life. Be passionate, follow your bliss and the worst that can happen is you live a life full of great adventures. It's all good.

It's a New Year. The yellow brick road beckons you onward. Where are you headed next?

Go for it! Do it! Yes, you can!

Love and blessings,

Chellie

Chellie Campbell is the creator of the popular Financial Stress Reduction® Workshops, and the author of The Wealthy Spirit and Zero to Zillionaire, both published by Sourcebooks, Inc. She is one of Marci Shimoff's "Happy 100" and 1 of 18 who wrote a story for Marci's current NYT bestseller Happy for No Reason . Chellie contributed stories to Jack Canfield's recent books You've Got to Read This Book! and Life Lessons from Chicken Soup for the Soul , and is featured in How to Run Your Business Like a Girl by Elizabeth Cogswell Baskin and Money, A Memoir: Women, Emotions, and Cash by Liz Perle. She is prominently quoted as a financial expert in The Los Angeles Times, Pink, Good Housekeeping, Lifetime, Essence, Woman's World and more than 35 popular books. For more information, visit her web site www.Chellie.com or email her at Chellie@Chellie.com.

Heart Thoughts: How to Identify and Prevent Heart Disease.

by Dr. Anna Walden, ND, DNM, MH, CNHP, HealthWalk™ Vital Hematology Department.

A shockingly large number of Americans succumb each and every day to cardiovascular disease. It tops the charts as the leading cause of death at an impressive 28% according to the Center for Disease Control, CDC. These deaths are largely from heart attacks (myocardial infarctions) but include other heart disease related conditions as well. Nearly half of the people who have had one heart attack suffer another within a year. Faced with these facts and statistics, it is no wonder that an entire month, February is designated as American Heart Month to promote education and awareness about heart health issues.

Modern society tends to gaze into the gene pool for explanations for the maladies of humankind but consider this: Paul Dudley White who was the cardiologist for President Dwight Eisenhower (who suffered several heart attacks), said that when he graduated from medical school in 1911, he had never even heard of a heart attack. The following year in 1912 the Journal of the American Medical Association published an article detailing four cases of an unusual event, which they called "coronary thrombosis." So in less than 100 years, heart disease has gone from an obscure occurrence to the leading cause of death. How did this happen?

Very simply, the 20th century happened. And by that I mean that the food supply became more processed (and increasingly more so), the environment became filled with more toxins and our means of transportation became more passive as riding in cars took the place of walking or riding horses. The consequence is that our bodies became more vulnerable to pathogens and our bodies' natural abilities to fight those pathogens were compromised by the environment, diet and lifestyle. With the introduction and widespread use of antibiotics, strains of microorganisms morphed into forms that we had less defense against.

Now in the 21st century, awareness and evidence is percolating that perhaps a return to more natural and holistic ways might give us possibilities for extended quality of health and life.

The first question we might ask ourselves is - "How can I tell if I am at risk for a cardiac event?" Many times, the first warning sign is a fatal heart attack-- which won't help much. There are some indicators of potential heart disease in traditional blood tests such as high Homocysteine levels and high LDL's and as early warning signs of heart disease they are better than nothing. A better indicator is the presence of C-reactive Proteins in your system; ask to include it in the test in addition to your basic blood panel testing for heart disease. High blood pressure can also be an indicator of heart disease.

At HealthWalk we utilize other techniques and technologies which often can reveal an energetic weakness before it has a chance to develop fully as a "red flag" in the body. We offer Digital Infrared Thermal Imaging, DITI, which can reveal arterial blockages and the presence of C Reactive Protein without an invasive procedure. DITI is an effective and FDA approved service to help diagnose pathology in the vascular, muscular, neural and skeletal systems. DITI can provide early detection of heart health issues and we can also offer the solutions, supplements and lifestyle recommendations to support your path to a healthy heart.

Through Galvanic Skin Response biofeedback testing, we can detect the energetic state of the internal organs and find the source of stress in the body. G.S.R. measures through the conductivity of the skin, the autonomic nervous system responses to stress. A stress profile is determined by looking at responses of the meridians, vertebrae, teeth, and organs. G.S.R. can also look at food, environmental, chemical, viral, bacterial, and fungal stressors. With HealthWalk's different modalities we can give you the information, suggested solutions and products to enhance your health.

"What is the number one cause for heart disease?" There is a mounting body of evidence that infection is the major reason for heart disease, with infection in the mouth leading the pack. Researchers have found that people with gum disease are almost twice as likely to suffer from coronary artery disease. Under the microscope, gum tissue and heart tissue are virtually indistinguishable.

Another aspect of this point is the teeth; beyond the gums, an additional risk is when there is infection or abnormalities in the teeth. Minor infections in the teeth can go on for years without much awareness or any action being taken. This creates a chronic inflammatory process in the body, which will ultimately take its toll on the heart. Although it may seem strange, one of the best things you can do for your heart is to take care of your teeth.

At HealthWalk™ we are dedicated to working with you to provide the most comprehensive picture of your health so that you are empowered with the knowledge and solutions to achieve and maintain vibrant health.

HealthWalk™, the leading edge, non-invasive integrated healthcare center and products company has specially priced Health and Wellness Products and Services for NataliePace.com subscribers. HealthWalk is offering 10% discount for NataliePace.com subscribers on all individual HealthWalk products and services. Please mention the discount code, HWNP upon ordering.

Call HealthWalk at 877-255-4703  or email info@healthwalk.com

www.healthwalk.com

HealthWalk, 5825Avenida Encinas suite 111, Carlsbad CA 92008
You can lose everything in life and make it all back - With one exception ... Your Health

HealthWalk™ offers customized, non-invasive and effective support to enable your body's own innate powers to regain and enhance health, performance and healing. HealthWalk is dedicated to supporting and empowering you to achieve and maintain vibrant wellness. HealthWalk is a non-invasive, integrative healthcare facility with a global umbrella of leading edge technologies, services, natural supplements and products backed by over 20 years of research. HealthWalk is based in Carlsbad, CA.

www.healthwalk.com              Phone 877.255.4703            info@healthwalk.com

Dr. Anna Walden practices at HealthWalk's Vital Hematology department which uses the science of viewing blood serum in its "live" state to analyze foreign biological activity (parasites, heavy metal, micro-plasma infections, fungus, bacteria, etc.), heavy metals, inflammation, and more. This live observation of the blood allows for a quick, comprehensive and accurate analysis of many health issues within the body, saving time and money and provides visual forensic evidence which is used in developing the optimal solutions to provide rapid resolution of the health challenges.

Please note: This article has not been evaluated by the Food and Drug Administration. The information herein is not intended to diagnose, treat, cure or prevent any disease.

HealthWalk is a separate entity from NataliePace.com and NataliePace.com offers no guarantees of, nor do we endorse, their products and/or services.

Save Your Energy and Money - Don't Fall for Energy Stock Scams.

FINRA.org Investor Alert.

If the traffic on fax machines and in email boxes across the nation is any indication, life is pretty easy. You can get a college degree without setting foot in a classroom, travel to popular vacation destinations for next to nothing, or make a quick and handsome profit investing in oil, gas, or alternative energy stocks.

A combination of factors - including global warming, a ravenous worldwide hunger for energy, rising gasoline and fuel oil prices, and instability in the Middle East - has sparked investor interest in energy and alternative energy stocks. But these same factors also appear to have fueled a rash of energy-related stock scams.

There are legitimate and not-so-legitimate ways to invest in companies that produce energy. We are issuing this Alert to warn investors about fax, email and even cell phone text message scams that promise high returns in exchange for little risk - and to provide information on how to invest wisely in this or any other sector.

Energy Scams Start with a Blast of Hot Air
Like so many other fraudulent schemes, energy stock scams typically involve the touting of a small unknown company, using a combination of baseless price predictions, misrepresentations, and hyperbole. The goal of these scams is not to make you money, but to pump up the price of the stock through false and misleading statements that create unwarranted demand for the company's shares. The con artists behind the scam can then sell off their shares, leaving investors with worthless stock.

"It is easy to conclude that everyone should have an alternative energy stock in their portfolio," reads one fax. "Put [company name] on your radar screen today, as it is about to take off!"

Tempting?

Well, get a magnifying glass and read the small print at the bottom of the page. "The securities discussed herein are for high-risk individuals only and not for the general public."

And, "[faxing company's name] was paid $500,000 for the distribution of this report."

In a spam message, another outfit trumpets that a certain Texas energy firm has "teamed up with China's $23 billion oil monopoly," and huge returns are in store for those with the wisdom and foresight to invest "RIGHT NOW!"

"If you have $5,000 in the S&P 500 and you ride it out for the rest of the year, you'll walk away with $5,700," the spam reads. "But put that $5,000 into this Texas dynamo and you'll stuff your pockets with $26,500 in as soon as four months."

Not all energy investment pitches are as over-the-top as this, and some are legitimate. We can't help you decide whether or how to invest in this sector, but we can help you sort the wheat from the chaff where unsolicited fax or email investment pitches are concerned.

How to Avoid Being Scammed
One sure-fire way to avoid being taken in by an unsolicited fax or email is to ignore it. To steer clear of potential scams, follow these tips.

- Consider the source. Never rely solely on information you receive in an unsolicited fax or email. It's easy for companies or their promoters to make glorified, unsubstantiated claims about new products, lucrative contracts, or the company's revenue, profits, or future stock price.

- Always ask: "Why me?" Another tip-off that you're potentially being scammed is that the message is unsolicited, which raises the obvious question: Why would a total stranger tell you about a really great investment opportunity? The answer is that there is no such opportunity. In many email and fax scams, those who tout the stock are corporate insiders, paid promoters, or substantial shareholders who profit handsomely if the company's stock price goes up.

- Exercise some skepticism. Con artists are very adept at making their pitches appear real. Be extremely wary of any pitch that suggests immediate pay-offs, especially if the investment involves a start-up company or a product or service that is still in development. Even technologies that show promise might be years or decades away from entering the market.

- Find out where the stock trades. Most unsolicited spam recommendations involve stocks that cannot meet the listing requirements of a major national exchange, such as The Nasdaq Stock Market or the New York Stock Exchange. Instead, these stocks are usually quoted on the OTC Bulletin Board (OTCBB) or in the Pink Sheets. There are important differences between the OTCBB and the Pink Sheets and The Nasdaq Stock Market or a stock exchange.

There are no minimum financial and other quantitative standards that must be met by a company to have its securities quoted on the OTCBB or in the Pink Sheets, though OTCBB issuers must remain current in their filings with the SEC or applicable regulatory authority. Many Pink Sheet companies, on the other hand, have no obligation to file annual or quarterly reports or to publicly disclose current material information.

Many of the securities quoted on the OTCBB or in the Pink Sheets don't have a liquid market; they are infrequently traded and can jump up or down in price quickly. This can make it difficult to sell your security later.

- Read a company's SEC filings, if available. Most public companies file reports with the Securities and Exchange Commission (SEC). Check the SEC's EDGAR database to find out whether the company files with the SEC. Read the reports and verify any information you have heard about the company. But remember that just because a company has registered its securities or has filed reports with the SEC, it doesn't mean that it will be a good investment.

- Be alert to changes in the company's name and trading symbol, reported through SEC Form 8-K. Stock promoters often change a company's name and trading symbol in an attempt to align it more closely with a current event or issue.

- Check out the person touting the stock. A legitimate investment salesperson must be properly licensed, and his or her firm must be registered with the Financial Industry Regulatory Authority (FINRA), the SEC or a state securities regulator - depending on the type of business the firm conducts. To check the background of a broker, use FINRA BrokerCheck. For an investment adviser, use the SEC's Investment Adviser Public Disclosure Web site. Also, be sure to call your state securities regulator. You can find that number in the government section of your local phone book or by contacting the North American Securities Administrators Association (NASAA).

If you're suspicious about an offer or if you think the claims might be exaggerated or misleading, please contact us. You may also contact the FCC, which has jurisdiction over junk faxes, including investment-related faxes. The Telephone Consumer Protection Act of 1991 (TCPA) and FCC rules prohibit sending junk faxes to homes and offices.

Be cautious with limited partnerships. Instead of pumping individual energy stocks, some con artists tout interests in fraudulent oil and gas limited partnerships. Popular in the mid 1980s-and often resurging whenever oil prices rise-oil and gas limited partnerships can be legitimate investments. On the one hand, they offer tax advantages and the potential for periodic cash distributions or long-term capital gains. On the other, they tend to be highly speculative and illiquid, meaning you can't easily sell the investment to get your money back out.

If you are considering investing in an oil and gas limited partnership, be sure to read the alerts issued by the SEC and NASAA, listed in the additional resources below.

Additional Resources
* SEC Publication: Oil and Gas Scams: Common Red Flags and Steps You Can Take to Protect Yourself
* NASAA Alert: Oil and Gas Investment Fraud
* FCC Consumer Facts: Fax Advertising-What You Need to Know

FINRA.org is the financial services industry regulatory authority.  To receive the latest Investor Alerts and other important investor information sign up for Investor News.

Money Rehab.

by Natalie Pace.

Includes my Hot News on Cool Stocks List.

March 2, 2009

General Stock Market Performance

Market update:
Ouch. Investors were pretty startled by the Bureau of Economic Analysis report that GDP growth had declined a massive -6.2% in the 4^th quarter of 2008, revised sharply downward from the advance estimates of -3.8%.  This new low brings the market down to levels not seen in over ten years. 

If the past is any indication, then volatility will continue to plague the current low.  Though 2009 could still see further fallout, the trend over the past year and a half is that a bounce occurs after such a severe decline, providing investors with some recovery opportunity, in a very short window, before the down-trend continues.

What is clear is that those of you who were frozen into a losing plan should now heed the wake-up call and get protected.  I've been calling for investors to recession-proof their nest eggs since February of 2008.  You might think it is too late to recession-proof NOW, but today's losses should give you indication that a better blueprint for your retirement plan is ESSENTIAL and that the sooner you get a plan that works, the better.  Those who thought "not locking in your losses" was a good plan in 2009, after losing over 40% in 2008, have seen another 18-24% implosion in your nest egg implode since the beginning of this year alone, whereas those who came to my retreat and employed a recession-proofed Modern Portfolio Theory based ETF plan are protected against losses and positioned for gains in the industries that are in favor in 2009. 

Be sure to read all of my articles in this ezine to get essential information that will save and resurrect your nest egg.  Buying and holding mutual funds doesn't work.

Is your nest egg the town drunk? 
Do you have any idea what shenanigans your money is pulling while you were asleep all these years?  Is your nest egg the town drunk chatting up beauties in dark bars only to wake up with Bernie Madoff?  Did your money chase down teenagers and fry cooks to sell them houses they couldn't afford with liars' loans?  Was your 401(k) placing bets that Bear Stearns, Merrill Lynch, Citigroup and more could play hot potato with those liars' loans (now labeled the more respectable title of "subprime")?  While you slept and just filed the brokerage statements in the bottom drawer, was your money out smoking, sleeping with fat cats and Big Oil and throwing out dice on how many years in a row General Motors could lose $31 billion a year before the taxpayers had to bail it out?  

This "financial crisis" is a painful and stark jolt of reality for all of us. Wall Street is funded with Main Street dollars - with our pensions, 401(k)s and IRAs.  When Wall Street acts like the town drunk, they are driving your car with your gas. 

So, if you want to send Wall Street to rehab, it's time to lay down a new set of rules of how Wall Street can behave with your hard-earned dollars. Curfew your investments in the status quo.

Put a little heart and soul in your money. Every cent you own and every moment you spend is always an investment.  Buy and hold doesn't work.  You lost all of the gains that were made over the last decade.  There is no reason not to clean up your money's act right now.  Blind faith in Wall Street was as silly as giving the car keys to your teenager on prom night.

Odds are that your pension is still invested in the Bailout Fund (formerly known as the leading Blue Chip Index, aka the Dow Jones Industrial Average), cigarette companies and oil field services companies.  Exxon Mobil is the biggest company on Wall Street - funded with your retirement dollars - and is one of the 30 Dow Jones Industrial Average components.  Philip Morris Tobacco Company was a Dow Jones Industrial Average component in 2007 and is still one of the most popular holding in mutual funds (also known as Altria on Wall Street).  General Motors, Citigroup and Bank of America make up 10% of the 30 Dow components EVEN NOW - and have led the charge of companies that are being bailed out. 

You've lost thousands, if not hundreds of thousands or even millions of dollars.  Now's the time to spend three days and $1300 getting invested in a cleaner, greener world, with a new plan that will work for the rest of your life.  

So, please register NOW for my May 21-23, 2009 Get Rich and Enrich Retreat.  Get more information on the home page of NataliePace.com under the blue banner ad that says, "Buy and Hold Doesn't Work."  The early bird price of just $1,300 per person (or $2,300 per couple) includes a FREE premium subscription, valued at $2000/person.  Offer is good now through March 15, 2009 only.  Please note that there is limited seating at this retreat - only 14 people - and that prior retreats have all sold out, so act now to ensure your place in sunny Santa Monica, CA for Memorial Day!  If you act before Wednesday morning, you can even participate in our premium subscriber teleconference this month.  (See the calendar section for more details.)

Testimonials:
You can have a healthy nest egg, rock star returns and make gains while you sleep - once you have set up the parameters of a sober investment plan.  Clearly the drunks have had their field day.  Time for investors to sober up, take charge and co-create a healthier nest egg strategy. 

"Natalie Pace's sound strategies helped me avert a huge loss on my 401k plan. Moving my money to a safe place saved me thousands when the market plummeted."  - Nilo Bolden, Law Firm Administrator

Track Record of our Reporting
While the markets have fallen in 2008, the Hot News and Cooling Off lists below have a winning track record - in bear and bull market years.  47 positions listed below - 66% -- have delivered impressive gains this year, even while the Dow Jones Industrial Average is down almost -50% since this time last year!  Only twenty-four of our listings went in the opposite direction of the reporting, which is quite impressive given the horrible market drop of this fall.  Additionally, in 2008, nineteen out of 27 companies that were featured in our monthly articles and stock report cards posted strong gains.  That is also a 77% winning track record!  (We are really coming up with the winning 7s this year.)

See the article, "New Year.  New You.  New Nest Egg," in Vol. 6, issue 1, for the chart and more details.

Yes, the majority, but not all, of our top performers were shorts, which is why we added options training to the retreat.  Remember that the trading portfolio should be equal to your experience, and should not be part of your nest egg.  (The nest egg is money you earn while you sleep, not while you day-trade.)  If you're new, you should be using education or fun money, not your nest egg, to learn on.  Take your profits early and often in this volatile, down-trending year. 

3 out of 6 Company of the Year selections more than doubled.  My 2003, 2004 and 2007 Companies of the Year have posted up to 9000% gains (Taser), up to 690% gains (Opsware) and up to 215% gains (Suntech Power Holdings), respectively.  MySpace, my 2006 Company of the Year, was a large part of News Corp's success with shareholders that year.   OSI Pharmaceuticals, my 2005 Company of the Year is back on track for gains and we still believe that Suntech Power Holdings, which is the market leader in solar panels and our 2008 Company of the Year (for the 2^nd year in a row), will be a big winner going forward!  (Sometimes it takes a few months for the news to get out to the rest of the world.)  So three out of six are superperformers, one performed well above the market and two are down (in a recession). Meanwhile the general stock marketplace over that same period has lost money! That's the kind of record that puts you on top on Wall Street.  (I launched my first publication on 11.15.02, and featured the first Company of the Year on 1.1.03.)

TipsTraders.com continues to list me as a Highly Recommended Stock Picker, with their independent ranking system, where I've repeatedly occupied the #1 position.  Some of our best picks include: Bioteq Environmental (BQE) +144%, Blockbuster Video (BBI) +82.5%, Genentech (DNA) +415%, Google (GOOG) +545%, Las Vegas Sands (LVS) +139%, LifeCell (LIFC) +180%, Macerich (MAC) +150%, Opsware (OPSW) +690%, Rio Tinto (RTP) +145%, Sohu (SOHU) +150%, Suntech Power Holdings (STP) +107%, Taser (TASR) up to 9000% gains.  (Some of the best picks in 2008 were put options - on the Cooling Off list.  Look there for details on the incredible gains options investors enjoyed on Wells Fargo, Fortress Investment Group, Sears Holding, Fannie Mae, Toll Brothers, KB Home, Novastar Financial and more there.)

Market Movers:
The Federal Open Market Committee and Monetary Policy
The Fed funds rate continues to be "0 to ¼ percent."  In the 1.28.09 press release, the Federal Reserve Board further elaborated on the reasoning behind the rock bottom rates, writing: "Industrial production, housing starts, and employment have continued to decline steeply, as consumers and businesses have cut back spending. Furthermore, global demand appears to be slowing significantly. The Committee anticipates that a gradual recovery in economic activity will begin later this year, but the downside risks to that outlook are significant."

The next meeting takes place on March 17-18, 2009.

Preliminary GDP growth rates for 4Q 2008 were revised on February 28, 2009 down to -6.2%, from the advance estimates of -3.8%.

Final GDP growth estimates for 4Q 2008 will be released on March 26, 2009 at 8:30 a.m. ET.  These release days tend to be very active on Wall Stree. For more BEA release dates, go to the BEA.gov website and be sure to visit the NataliePace.com calendar section often.

EDUCATIONAL OPPORTUNITES AND INFORMATION:
1.  FOMC Information: Interested in reading the minutes of the January 27-28, 2009 FOMC meeting for yourself?  You can.  The official Federal Reserve document is available online.  Click on FOMC, or go to FederalReserve.gov to read!

The tentative FOMC meeting schedule for the 2009 calendar is: March 17-18, 2009 (Tuesday-Wednesday), April 28-29, 2009 (Tuesday-Wednesday), June 23-24, 2009 (Tuesday-Wednesday), August 11-12, 2009 (Tuesday-Wednesday), September 22-23, 2009 (Tuesday-Wednesday), November 3-4, 2009 (Tuesday-Wednesday), December 15-16, 2009 (Tuesday-Wednesday), January 26-27, 2010 (Tuesday-Wednesday).

2.  Calendar Section: Conferences, Online Chats and more: Check out the Calendar section of NataliePace.com regularly.  There are many wonderful opportunities to chat one-on-one with millionaire money managers, life coaches, economists, respected money gurus, real estate veterans and CEOs!  Be sure to check out the dates of the mid-month Hot News on Cool Stocks Update and the publication date of our next ezine.  Get more information on how to best use our articles in the FAQs article, located under the Investor Edu link on the home page of NataliePace.com.

Don't miss the Premium and Book Buyers' teleconference with Natalie Pace on Wednesday, February 18, 2009 at 5:00 p.m. PT (8:00 p.m. ET).  Get call-in instructions on the Sharing Wisdom bulletin board. 

3.  Survey Results:  Academy Each month we have three new surveys so that we can stay in touch with your needs and desires.  This month, with the stock market taking yet another catastrophic dive, we’re asking the question, “Where will 2009 end up for real estate, stocks and gold?”  Cast your vote on our survey page!

4.  Euro interest rates:  ECB rates are at 2.00% (main refinancing), 3.00% (marginal lending) and 1.00% (deposit facility).  The next meeting and interest rate announcement is scheduled for February 19, 2009 at 2:30 p.m. CET.!

Hot Stocks List
Investors who "never pay retail," note that the BOLD highlighted stocks are trading at their 52-week lows or near the price featured in NataliePace.com's article. This may be a good buying opportunity.  (If the stocks are not highlighted, then in our estimation, this is not a good time to buy.  Reasons are explained in the news commentary.) The companies that are listed below which are not highlighted may not be in a good buying range, but they appear to be poised to continue performing well (if you have already purchased them). There are never any guarantees in life, and all stocks are risk-based investments. Consult your certified financial planner before making any changes to your investment strategy.  And remember that these "Stocks on Steroids" are not intended to be part of your nest egg strategy at all - not even for "pros."  If you've never traded individual stocks before, this is your "fun" or "education" money.  You should not stake your future on anything that you don't have mastery over.

Hot News List (highlighted).  Be sure that you are buying low.
Altair Nanotechnology (ALTI)
American Superconductor
Citigroup (C)
eBay (EBAY)
General Electric (GE)
HOKU (HOKU)
LDK Solar
MEMC Electronics (WFR)
Microsoft
PowerShares Wilderhill Clean Energy Portfolio (PBW)
Satcon (SATC)
Sunpower Solar (SPWRA)
Suntech Power Holdings (STP)
Trina Solar Ltd. (TSL)

DELETIONS (Take your profits early and often):
American Superconductor (AMSC).  65% gains between 12.1 and 2.13.09! 
MEMC Electronics: 26% gains between 2.1.09 and 2.13.09.
Sociedad Quimica y Minera (SQM) profits of 48% on 2.13.09.
Suntech Power Holdings.  69% profits between 12.1.08 and 1.15.09.
U.S. Gold soared 432% on 2.13.09. 
World Water and Solar (2.1.09)

HOT NEWS on COOL STOCKS LIST

Recently Deleted/2008 Companies featured: 
Echelon +20%, GE, +13% and +18%, Google, +15% and +31%, Johnson & Johnson +10%, LDK Solar +18%, Microsoft +12%, Satcon +13%, Suntech +35%, Trina Solar +22%, World Water & Solar +22%.  Genentech (8.1.08) +40%.  Altair (deleted on 8.7.08) posted gains of +3% and +57%.  Zoltek (deleted on 8.18.08) lost 30% before being removed.  LDK Solar was deleted on 9.2.08 with 46% and 29% profits.  U.S. Gold profit taking on 11.6.08 amounted to 72% gains.  Conergy gains of 51% were taken on 11.7.08. American Superconductor posted  50% gains between 12.1 and 1.14.09.  MEMC Electronics (WFR) had 21% gains between 12.1 and 12.15.08.  STP had gains of 69% between 12.1.08 and 1.2.09.  SQM profits 20% on 1.14.09.  WWAT was deleted on 2.1.09 with -62% losses.  On 2.15.09, AMSC had gains of 65%, MEMC Electronics 26%, Sociedad de Quimica y Minera 48% and U.S. Gold 432%. 

Recently Deleted from the Hot News list:
Short term gains on AMSC, MEMC, SQM and UXG on 2.15.09
World Water & Solar (now known as Entech Solar) on 2.1.09

Stocks to Watch
Some of these are great companies that we're thinking of adding to the Hot List and some are stinkers we're thinking of adding to the Cooling Off List.  Read carefully to identify which is which!  

Note that right now most of our favorite companies are on the Watch List, anticipating continued weakening of the stock market, and share prices.

Recent Additions:
Applied Materials (2.15.09)

Recent Deletions:
Citigroup (added to Hot News list)
Microsoft (added to Hot News list)

Cooling Off Stocks List (may be Poised for a Decline in Share Price).
Note:  The companies listed in bold have recently been added to this cooling off list and/or may be currently poised for a decline in value.  Investors who have them in their portfolio should read the recent news and consider whether it is time to sell and take profits, dump losses, short the position and/or simply weather the storms, while keeping the company in their long-term portfolio.  At any rate, always consult your certified financial partner before making adjustments to your portfolio.  (Again, note that the stocks on this chart are expected to go DOWN in price.)

Highlighted Companies (Cooling Off List):
None

DELETIONS:
American Express.  Short term gains on AXP of 35% on 3.2.09. (I'm not removing from the list because continued losses in share price are likely.)