I 100% agree with Nirakar's post 20. I have not gone the non-US country specific mutual funds route he suggests, but is a good one, especially if you are busy working (not retired like I am). I have instead gone the ADR route for protection against the depreciation of the dollar. I also can add a second aspect for making you own investment decisions.
Buy companies that will do well even in a world economy spiraling downward in the depression I expect to follow any "run on dollar" - I.e. life saving essential drugs for the wealthy is my main focus for this. The early stage drug development companies are with greater risk, but I have sufficient funds to be diversified (about 34 companies now, approximately half are ADRs) and expect around half of the “early stage” drug developers to “go no where” a few to “totally fail” but some of the other to make 500 or more percent increases, especially now that "big pharma" has many drugs going "off patent" in the next few years and need to buy up the the new drug “winners.” It is already happening:
For example, on 15Dec06 Abbott bought my 500sh of KOSP and on 4Jan07 Merck bought my 3000 sh of RNAi, both by coincidence for the exact same payment ($39,000.00). It was just luck that this fell into two different tax years. The second main benefit of "early stage drug" developers is I must (and enjoy) doing the research into the mechanism of their action (learning a lot of biology) as well their market potential. I believe in the "efficient market" theory, so never look at the company books etc. which I find boring.
Buy companies that will do well even in a world economy spiraling downward in the depression I expect to follow any "run on dollar" - I.e. life saving essential drugs for the wealthy is my main focus for this. The early stage drug development companies are with greater risk, but I have sufficient funds to be diversified (about 34 companies now, approximately half are ADRs) and expect around half of the “early stage” drug developers to “go no where” a few to “totally fail” but some of the other to make 500 or more percent increases, especially now that "big pharma" has many drugs going "off patent" in the next few years and need to buy up the the new drug “winners.” It is already happening:
For example, on 15Dec06 Abbott bought my 500sh of KOSP and on 4Jan07 Merck bought my 3000 sh of RNAi, both by coincidence for the exact same payment ($39,000.00). It was just luck that this fell into two different tax years. The second main benefit of "early stage drug" developers is I must (and enjoy) doing the research into the mechanism of their action (learning a lot of biology) as well their market potential. I believe in the "efficient market" theory, so never look at the company books etc. which I find boring.
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