smart-money-report.com Blog

Welcome. My name is Larry Holmes and I’ve been a financial advisor for over 30 years. In more recent years, my focus has been on being a trainer, public speaker and business owner. I’ve presented well over 1500 financial seminars and keynotes in all 50 states in the U.S. as well as the United Kingdom and other parts of the English-speaking world. Originally trained on Wall Street, where I received a wonderful education in investment analysis, I’ve spent virtually my entire career helping people make money. The Smart Money Report is a continuation of that process.

Here are some things you may want to know about what I do:

• There are two Smart Money Report blogs: the free Smart Money Report Blog , which you’re on now and The SMR Members Web Site, which is accessible on a subscription basis.

• The SMR Members Web Site includes a managed hypothetical portfolio that began with $100,000 on April 25, 2005.

• The portfolio is updated weekly. Taxes and transaction costs are not considered.

• There are two parts to the portfolio. 90% is allocated to the SMR Portfolio and 10% is a “permanent” position in physical gold and silver (50% in gold and 50% in silver).

• The SMR Portfolio consists of positions chosen solely at my discretion. However, there are several consistent investment themes.

• One consistent theme is an emphasis on “hard assets” – gold, silver, copper, oil, and other commodity investments. I believe that a secular bull market in commodities began around 2002 and will last for many years. To understand the commodity bull, I recommend that you read the book, “Tomorrow’s Gold” by Dr. Marc Faber.

• Another consistent theme is the notion of buying shares of great businesses trading at a bargain price according to the Magic Formula as developed by Joel Greenblatt. He has a Web site, but you need to read Greenblatt’s book, “The Little Book That Beats The Market” to really understand the Magic Formula.

• And still another consistent theme is following the “smart money” through the free weekly Commitments of Traders (COT) reports that are released by the Commodities Futures Trading Commission every Friday. Here is an article I wrote to explain how to use the COT reports. I also use a COT Website that I call “Blees” (since it really doesn’t have a name) as a convenient way to track the smart money. I want to know when commercial traders have a bullish or bearish position in the markets I follow.

• And I use Point and Figure charts to help measure supply and demand and for entry and exit points. There are free educational resources on the Internet to help you understand Point and Figure charts, but if you want to really understand the history and use I suggest the book, “The Definitive Guide to Point and Figure” by Jeremy du Plessis.

• I also frequently use options in the SMR Portfolio. I usually buy deep in-the-money call options in the SMR Portfolio simply as a substitute for owning the underlying stock. There are many fee resources on the Internet that you can use to learn about options. Never trade options unless you thoroughly understand them and are comfortable with them. If options are not for you, shares of the underlying stock can be bought instead.

• Part 1 of the weekly Smart Money Report is posted during the weekend. And updates titled Part 2, Part 3, etc. are posted during the week. If there is a new transaction, members will receive an email that an update has been posted. Otherwise, members should visit the SMR Members Web Site periodically during the week for updates. There is a “Comment” section under each post. Please feel free to use it to make comments or ask questions.

Use the contact form if you have any questions or comments and I look forward to seeing you on the financial fast track!

Larry Holmes

Disclaimer: Investing in the financial markets can involve considerable risk. Past performance is not necessarily an indication of future performance. The information included in The Smart Money Report and The SMR Members Web Site has been prepared for educational purposes and is not a solicitation, or an offer to buy or sell any security. Information is based on historical research using data believed to be reliable, but there is no guarantee as to its accuracy. L. D. Holmes & Associates, Inc., Larry Holmes, or their assigns do not represent themselves as acting in the position of an investment adviser or investment manager for funds that are not under their direct control and fiduciary responsibility. L. D. Holmes & Associates, Inc., Larry Holmes, or their assigns will not provide you with personally tailored advice concerning the nature, potential, value or suitability of any particular security, portfolio or securities, transaction, investment strategy or other matter. From time to time, L. D. Holmes & Associates, Inc., Larry Holmes, or their assigns may hold positions in securities mentioned, but are under no obligation to hold such positions