Stock market volatility gets a bad rap.
The media typically portrays it as the financial world’s evil villain personified, saying things like…
“Volatility reared its ugly head on Monday.”
Or…
M&M Chief Investment Strategist Adam O’Dell
“Volatility is striking fear in the masses.”
You can almost picture the CGI monster Hollywood would create — the “Volatility Viper” — with its 10 snake heads and blood-dripping fangs, snapping at Wall Street suits as they run for their lives.
And after reading enough of this fear-laden commentary on volatility, it’s easy to understand why ordinary investors have become conditioned to fear and avoid it — at any cost!
We’re told to worry about volatility when it’s too low, since that suggests investors are being too complacent — aka, idiots with our heads in the sand.
We’re also supposed to worry when it’s shooting higher, almost as if volatility itself is the cause of the stock market’s drop that day.
(Spoiler: Volatility is never the cause!)
And even though traders having been clamoring for smooth-sailing investments for years now — as evidenced by the huge amounts of money flowing into low-volatility stock exchange-traded funds (ETFs) — I’m going on record today, to say:
You should put your money to work in high-volatility investments if you want to grow your nest egg into a small fortune.
Controversial? You bet.
But it won’t seem so once I expose the three biggest lies you’ve been told about volatility. They’re lies that, if you believe them, are already costing you a fortune.
Volatility Lie No. 1: Volatility Is ‘Bad’
Volatility is neither “good” nor “bad” — it just “is.”
It’s a simple number that describes to what magnitude a stock or ETF typically moves — either up or down.
But for some reason, you never hear the financial media talk about upside volatility.
A few years ago I shared this story with my readers…
When shares of grocery retailer Kroger Co. (NYSE: KR) fell 26% in two days… you read about volatility “rearing its ugly head.”
But when Whole Foods Market (NYSE: WFM) jumped 20% higher over the same two days … I bet you couldn’t find a single headline that read: “Volatility Praised for Boosting Whole Foods 20%!”
My point is … volatility gets all the blame when it strikes on the downside, and none of the credit for above-average-sized moves on the upside.
And that’s why investors have been conditioned to fear high-volatility investments — even though upside volatility has helped this strategy beat the market by a 40-to-1 margin since we launched it.
Bottom line: you need some high-volatility investments in your portfolio if you want to earn big profits.
Now, let’s turn to the biggest lies told about one of the two positions I’ll be revealing in my big event.
Lie No. 2: 10X Switch Position One “Hedges” the Risk in Stocks
On Thursday, May 14, during my live broadcast, I’m going to reveal the two specific positions I recommend using in the 10X Switch.
One of them is designed to go higher when volatility goes higher. And since volatility tends to rise when the stock market falls … it was billed as an easy way for everyday investors to buy “portfolio insurance.”
But it didn’t work out the way the talking heads on the financial media thought.
In fact, not only has it not worked well as a “hedge…”
It’s been an incredibly powerful wealth destroyer … completely duping unsuspecting investors who thought they were being prudent by buying and holding it.
But here’s the thing, neither of the positions I use are meant to be buy-and-hold positions.
They’re meant to be held only when the market conditions are appropriate for it.
That’s where my 10X Switch signals come in.
Which leads me to the third lie…
Lie No. 3: Volatility Positions Are Worthless… Don’t Touch Them With a 10-Foot Pole
Like I said at the top, volatility is not inherently “good” or “bad.”
And neither are any of the various positions you can use to “trade” volatility.
Some are certainly better than others…
And it all depends on how, and when, you use them.
That’s exactly why I designed the 10X Switch…
To show you how to invest in volatility in an intelligent way…
To show you that market volatility isn’t to be feared…
And to prove to you that taking advantage of these chaotic markets can actually be incredibly profitable…
With my system data showing average annual gains of 56%…
A 99% success rate of generating profits over multiyear periods…
And five-year gains of 817% … 1,131% … 2,127% … and even 2,281%!
My research tells me right now we’re entering a period of above-average market volatility.
The months and years after a crash routinely take a while to calm down…
And given everything in the news these days, that’s probably truer now than ever.
Tune in over the next few days and I’ll show you why that’s a great setup for those who decide to start using the 10X Switch strategy today.
Regards,
Adam O’Dell
CMT, Chief Investment Strategist, Money & Markets
• Using his unique blend of technical and quantitative analysis, Adam’s sole focus is to find and bring you investment opportunities that return the maximum profit with minimum risk.