This ad about a “Donald Trump investment” is sending a lot of questions our way, so we’re going to take a look at it for you in today’s Friday File… and I’ve also got an update on Sandstorm Gold to share, plus a quick look at the idea of “protection” from market declines and how much that kind of protection costs.
But first, the Donald…. here’s how Bill Patalon’s ad for his $20/month Private Briefing opens…
“The $57 Trillion ‘Make America Great Again’ Profit Play
“Donald Trump is Talking Infrastructure — and We Show You How You Can Play It for Gains Up to 553%”
“Let me be clear: I don’t work for Donald Trump or his campaign. And I don’t care one iota whether you love – or loathe – him.
“I’m only reaching out to you today because I’ve looked into his financial records… and I’ve discovered a huge opportunity.”
(And, one gathers, because you know The Donald is in the headlines and that will make it more likely that your demographic — people who have some money to invest and who are old enough that they actually are likely to be voters — will read your email ad… lots of newsletters pitch the “secret” investing ideas of politicians mostly because those politicians are polarizing figures and give you a better chance of having your email read.)
But interestingly enough, it’s not just a “Trump” pitch here from Bill Patalon, it’s also an insider buying pitch … which might be a little bit more compelling. Here’s what he says:
“Trump has built a massive position in one company.
“It’s a firm that happens to be at the center of one of the biggest insider buying binges I’ve ever seen…
“One of its top directors recently dropped $20 million on 800,000 shares of his company’s stock.
“And he wasn’t alone.
“Four of the company’s C-level Suite directors acquired another $2.2 million worth of shares. Even the CEO himself spent $2 million buying nearly 105,000 shares last year.
“That’s more than $24 million worth of shares purchased by direct insiders of the firm. And there’s only one reason insider’s buy in massive quantities like that:
“They see a chance for huge profits.”
As we’ve noted many times in the past, there is good academic evidence that C-suite buying, particularly by three or more insiders, is ...