Pre-retirement checklist: 10 tasks to complete

If you want to do retirement right, you'll need a checklist. But what tasks should be on your pre-retirement checklist? Here's what experts had to say.

Are you sure you want to retire? First, revisit your retirement date. "For some, making a decision to stay on the job an extra year or two beyond your planned retirement date will enable you take advantage of your company's match in your 401(k) plan, delay triggering Social Security to maximize monthly payouts later, and accumulate more money in your savings," says Sandra Timmerman, a nationally recognized gerontologist.

Can you afford to retire? Dead set on your retirement date? Determine whether you can afford to retire — whether you'll have sufficient income and assets given your household's retirement expenses and liabilities.

To do that, create a financial plan, and stress test it. What will your sources of income will be in retirement; how much can you expect from each source and for how long? The average retiree has income from Social Security, wages, retirement accounts such as IRAs and 401(k)s and, for some, a pension.

Visit the Social Security Administration's "my Social Security" website to get your benefit estimate and earnings statement, says Stuart Michelson, a finance professor at Stetson University and editor of the Financial Services Review. Review, too, your company's retirement benefits, including your pension, 401(k) or other retiree benefits.

Figure out not just your gross income, but your after-tax income and whether you can live on that. "I've seen so many situations where people look at the amount of their retirement benefits and compare that to their take-home pay," says Larry Frank Sr., a financial adviser with Better Financial Education in Roseville, Calif. "Big mistake since the retirement benefits, be they from a pension, Social Security, and/or their 401(k), 403(b), 457 and the like are in gross dollars."

Create an investment plan. "Make sure your portfolio is designed around the rest o! f your lives, and not just hitting the retirement date," says Carl Richards, director of investor education for the Bam Alliance in Park City, Utah. "Because the goal for so long has been to retire, and most people have been so focused on that goal, they fail to realize that life goes on, and the whole point of saving and investing over decades is so there will be enough money in retirement to live."

Do a dry run. Determine whether you'll have enough income to support your desired lifestyle in retirement — before you retire. "While you're still working, and it looks like you will have less to spend in retirement from all sources compared to working, then practice the transition first," says Frank. "You do this by saving more, which equals spending less."

If you can successfully live on less, then you've shown yourself you can retire as planned. "If you can't, then you need to work longer," says Frank.

What will your expenses be in retirement? Visualize and price what retirement will mean and determine an appropriate income-replacement ratio. "This might include doing mundane things such as figuring out the cost of living for small items in a new city or costing out leisure-time activities," says John Grable, professor of financial planning at the University of Georgia and co-author of The Process of Financial Planning.

New retirees can expect a U-shaped expense pattern in retirement. "During the early years expenses may be near pre-retirement levels," Grable says. "Over time, expenses should drop as the routine of retirement kicks in, but at some point, health care costs may drive expenses back up," says Grable. "Be prepared for this now is a sign of prudent planning."

Evaluate whether you need to replace some or all of your employee benefits in retirement. "For those who are Medicare-eligible, it's important to make sure the transition is seamless, and to figure out supplemental insurance options and pricing," says Timmerman. "To many people's surprise, health care and d! ental car! e costs are higher in retirement than they anticipated."

If you have an employer-sponsored retiree health care plan, consider the possibility that your employer might cancel or trim this benefit in the future.

On average, retirees spend anywhere from 11% to 16% of their after-tax income on expected health care expenses. And don't forget to plan to pay for unexpected health care expenses, too.

Plan for two eras in retirement. For couples, there are two general eras in retirement for which to plan, says Frank. One, when both are living, and two, when either one is the survivor.

Pension choices range along a spectrum of 100% to survivor and 0% to survivor, with the maximum benefit today being 0% to the survivor. "If people stopped to think about this for a moment they'd realize their retirement choice has a big effect on the second retirement era," Frank says.

Ditto the decision around when to claim Social Security benefits. . "Claiming Social Security should also factor how to maximize benefits for the survivor era," says Frank.

Work with a financial planner. Would you benefit from hiring a financial planner who can build a retirement plan or who could vet your plan? "Work with a financial planner or actuarial adviser to get a good feel for life expectancy," says Grable. "How long one will live is the key factor driving savings requirements for a pre-retiree along with assumed rates of return pre- and post-retirement."

Do you have flexibility? If you're unsure whether you want to retire full time or part time, give yourself some options. "Set up your life so you can be flexible and test things out without making major commitments, says Joe Tomlinson, a financial planner with Tomlinson Financial Planning in Greenville, Maine.

Where will you live? Revisit your housing options in retirement. "Most of us plan to stay in our current homes and communities when we retire, but there might be practical reasons to move," says Timmerman. "If your home is too big, too h! ard to ma! intain and not suitable should you become impaired, you might consider downsizing to a newer, more accessible home in a less-expensive area, and use the money to supplement your retirement nest egg. Even if moving is not on the radar, it's helpful to think through your changing housing needs as you age."

What will you do? What you want to do with your life in retirement once the honeymoon period is over? "Traveling and playing golf isn't enough for most people who have had an interesting, busy work life," says Timmerman.

Identifying the things you've always wanted to do and how you will get started — whether launching a new business, having deeper community involvement or developing new skills — will add fulfillment and excitement to your retirement planning process, she says.

Robert Powell is editor of Retirement Weekly, a service of MarketWatch.com. Email him at rpowell@allthingsretirement.com.

Top 10 Construction Material Companies To Buy Right Now

Top 10 Construction Material Companies To Buy Right Now: Ply Gem Holdings Inc (PGEM)

Ply Gem Holdings, Inc. (Ply Gem Holdings), incorporated on January 23, 2004, is a manufacturer of residential exterior building products in North America. The Company operates in two segments: Siding, Fencing, and Stone and Windows and Doors. These two segments produce a product line of vinyl siding, designer accents, cellular polyvinyl chloride (PVC) trim, vinyl fencing, vinyl and composite railing, stone veneer and vinyl windows and doors used in both new construction and home repair and remodeling in the United States and Western Canada. It also manufactures vinyl and aluminum soffit and siding accessories, aluminum trim coil, wood windows, aluminum windows, vinyl and aluminum-clad windows and steel and fiberglass doors, enabling it to bundle complementary and color-matched products and accessories with its core products. The Companys subsidiaries includes including Ply Gem Industries, MWM Holding, AWC Holding Company, MHE, and Pacific Windows. On July 30, 2012, Ply Gem acquired substantially all of the assets of Greendeck Products, LLC.

Siding, Fencing, and Stone Segment

In the Siding, Fencing, and Stone segment, its principal products include vinyl siding and skirting, vinyl and aluminum soffit, aluminum trim coil, J-channels, wide crown molding, window and door trim, F-channels, H-molds, fascia, undersill trims, outside/inside corner posts, rain removal systems, injection molded designer accents, such as shakes, shingles, scallops, shutters, vents and mounts, vinyl fence, vinyl and composite railing, and stone veneer. It sells its siding and accessories under its Variform, Napco, Mastic Home Exteriors, and Cellwood brand names and under the Georgia-Pacific brand name through a private label program. It also sells its Providence line of vinyl siding and accessories to Lowes under its Durabuilt private label brand name. Its vinyl and vinyl-composite fencing and railing product! s are sold under its Kroy and K roy Express brand names. Ply Gem Holdings stone veneer products are sold under its United Stone Veneer brand name.

The Company sells the siding and accessories to specialty distributors (one-step distribution) and to wholesale distributors (two-step distribution). Its specialty distributors sell directly to remodeling contractors and builders. Its wholesale distributors sell to retail home centers and lumberyards who, in turn, sell to remodeling contractors, builders and consumers. In the specialty channel, it has developed a network of approximately 800 independent distributors, serving over 22,000 contractors and builders nationwide.

Windows and Doors Segment

In the Windows and Doors segment, its principal products include vinyl, aluminum, wood and clad-wood windows and patio doors, and steel, wood, and fiberglass entry doors that serve both the new home construction and the repair and remodeling sectors in the United States and Weste rn Canada. Its products in its Windows and Doors segment are sold under the Ply Gem Windows, Great Lakes Mastic by Ply Gem, and Ply Gem Canada brands.

The Company competes with Alsco, Gentek, U.S. Fence, Homeland, Westech, Bufftech, Royal, Azek., Eldorado Stone, Coronado Stone, Jeld-Wen, Simonton, Pella and Andersen, MI Home Products, Atrium, Weathershield, Milgard, Jeld-Wen, Gienow, All Weather and Loewen.

Advisors' Opinion:

• [By Matt Jarzemsky]

  Installed Building Products debut follows mixed performance from shares of some newly public building-products companies. Through Tuesday, siding manufacturer Ply Gem Holdings Inc.(PGEM)s shares were down 39% from the offer price in its $381 May debut. Wood-products maker Boise Cascade Co.(BCC) was up 46% from its $284 million February IPO.

• [By Traders Reserve]

  There hasnt been a January effect rally in shares of Ply Gem (PGEM). In fact, it has been quite the opposite. Shares are down a wh! opping 25! % during the month. For a stock I rated as on of the Top 10 Sizzling Stocks, such a move is painful, but not disastrous. Sizzling Stocks are meant to be held for the duration of the year and we have 11 months to go. Small-cap stocks like Ply Gem can move sharply one direction or the other.

• [By Lisa Levin]

  Ply Gem Holdings (NYSE: PGEM) shares reached a new 52-week low of $11.48 after the company reported wider-than-expected Q4 loss and issued a weak Q1 revenue forecast.

source from Top Stocks To Buy For 2015:http://www.topstocksforum.com/top-10-construction-material-companies-to-buy-right-now.html

Top Transportation Companies To Watch In Right Now

Top Transportation Companies To Watch In Right Now: Phillips 66 Partners LP (PSXP)

Phillips 66 Partners LP, incorporated on February 20, 2013, owns, operates, develops and acquires primarily fee-based crude oil, refined petroleum product and natural gas liquids (NGL) pipelines and terminals and other transportation and midstream assets. The Companys initial assets consist of the three systems, which include Clifton Ridge crude system, Sweeny to Pasadena products system and Hartford Connector products system. A refined petroleum product pipeline, terminal and storage system extending from Phillips 66s Sweeny refinery in Old Ocean, Texas, to its refined petroleum product terminal in Pasadena, Texas, and ultimately connecting to the Explorer and Colonial refined petroleum product pipeline systems and other third-party pipeline and terminal systems.

A crude oil pipeline, terminal and storage system located in Sulphur, Louisiana, that is the primary source for delivery of crude oil to Phillips 66s Lake Charles refinery. A refined petrol eum product pipeline, terminal and storage system located in Hartford, Illinois, that distributes diesel and gasoline produced at the Wood River refinery (a refinery owned by a joint venture between Phillips 66 and Cenovus Energy Inc.) to third-party pipeline and terminal systems, including the Explorer refined petroleum product pipeline system.

Advisors' Opinion:

• [By Monica Wolfe]

  Phillips 66 Partners LP (PSXP)

  Chairman and CEO Greg Garland made a significant buy during the companys IPO on July 26. Garland purchased 35,000 shares at $23 per share. This transaction cost him a total of $805,000.

source from Top Stocks To Buy For 2015:http://www.topstocksforum.com/top-transportation-companies-to-watch-in-right-now-2.html

Yellen's Biggest Early Challenge

Yesterday, New Federal Chairman Janet Yellen delivered her first congressional testimony, and while the financial markets liked what she said, MoneyShow's Jim Jubak feels there is still a big hurdle left for her to jump.

New Federal Reserve Chairman Janet Yellen delivered her first congressional testimony yesterday in front of the House Financial Services Committee.

And financial markets liked what they heard. As of 1:30 PM New York time yesterday, the Dow Jones Industrial Average (IX:INDU) was up 1.23% and the Standard & Poor's 500 (SPX) 1.03%. Germany's DAX Index (DAX) closed up 2.03% on the day and in Asia, where markets closed well before Yellen started to talk, Japan's Nikkei 225 Index (NKY) was up 1.77%, Hong Kong's Hang Seng (IX:HSI) was up 1.78%, and the Shanghai Composite (IND:SHCOMP) was ahead 0.84%.

Yellen stressed continuity with former Fed chairman Ben Bernanke's policies. The Fed would continue to reduce its purchases of Treasuries and mortgage-backed securities at a speed dependent on the economic data. The slow pace of job creation in December and January was certainly disappointing, but, Yellen cautioned, two months of data wasn't enough to bring a change in the central bank's taper policy. The Fed's Open Market Committee doesn't meet again until March, she noted, and that will give the bank another month of data to examine.

Most importantly, Yellen successfully—for the moment—addressed the market's anxiety about the falling unemployment rate. Remember that, once upon a time, the Fed had said it would keep short-term rates near zero until the unemployment rate hit 6.5%.

Well, in January, the unemployment rate hit 6.6%—near the mark—but most of the improvement in the unemployment rate has come from a big drop in the labor participation rate. The unemployed (and other workers) aren't finding jobs, so much as, they're leaving the workforce.

In recent months, the Fed has said that the unemployment rate isn't the only indicator that the central bank is watching. Yesterday, Yellen said that, besides the unemployment rate, the Fed was watching job creation, wages, and inflation.

That's reassuring to a financial market that has grown increasing comfortable with the assumption that the Fed will stick with current low short-term rates until, at least, the mid-point of 2015.

But Yellen's comments don't add up to a clear message to the market on what the Fed will be watching. And coming up with a formula that the Fed can clearly communicate to the financial markets, remains her biggest early challenge.

In the coming weeks, watch the derivatives market to see what it's betting on, as to when the Fed will start to raise short-term interest rates. Recent data showed the derivatives market pricing in a 50% chance of an interest rate increase by the Fed's July 2015 meeting.

Full disclosure: I don't own shares of any of the companies mentioned in this post in my personal portfolio. When in 2010 I started the mutual fund I manage, Jubak Global Equity Fund, I liquidated all my individual stock holdings and put the money into the fund. The fund may or may not now own positions in any stock mentioned in this post. For a full list of the stocks in the fund, see the fund's portfolio here.

Top Clean Energy Stocks To Buy Right Now

The leaders in hydrogen fuel cell technology, General Motors Company (GM) and Honda Motor Co. (HMC), entered a long-term agreement to collaborate on development of next-generation fuel cell vehicles in order to meet the fuel economy standard set in the U.S.

Both GM and Honda have more than 1,200 fuel cell patents between them, filed between 2002 and 2012, and experimental vehicle fleets. They are the top two companies in terms of total fuel cell patents according to the Clean Energy Patent Growth Index.

Both companies aim to develop the vehicles by 2020. The alliance will bring down their costs in building this expensive technology by sharing each other�� expertise and suppliers.

Why Fuel Cell Vehicles?

The U.S. mandate requires corporate average fuel economy of 54.5 miles per gallon by 2020 and there is no better competent than fuel cell vehicles. Why? Fuel cells have highly fuel-efficient technology compared to gasoline and electric batteries. Secondly, it has a longer driving range (up to 400 miles) than electric cars but pollutes less than gasoline vehicles.

Best Tech Stocks To Own For 2016: Worlds Inc (WDDD.OB)

Worlds Inc., (Worlds.com), incorporated on April 26, 1994, was a three-dimensional (3D) entertainment portal, which leveraged its technology, which the Company retained through its portfolio, to offer visitors a network of virtual, multi-user environments which the Company calls worlds. On May 16, 2011, the Company transferred, through a spin-off to its wholly owned subsidiary, Worlds Online Inc., the majority of its operations and related operational assets. The Company designs and develops software, content and related technology for the creation of interactive, three-dimensional (3D) Internet Web sites. The Company used its technology to produce three-dimensional portals and Web sites. The Company's core technology includes WorldsShaper, WorldsServer, WorldsBrowser, WorldsPlayer and Worlds Gamma Libraries.

WorldsShaper is the visual authoring component of the Company's platform. It allows for quick assembly of pieces to create multi-user, shared state, virtual worlds. The WorldsShaper is an advanced compositing 3D building tool that integrates pre-existing or custom content, such as 3D models, textures or images created in Adobe's Photoshop, or midi or wave sound files, with architectural geometry and interactive behaviors and actions written in Java. WorldsServer is the scalable software that the Company uses to control and operates its on-line virtual communities. WorldsServer manages the registration and authentication of users, the locations of users within the 3D environment, the physical structure of the 3D environment, all information regarding objects that are shared by the participants and any of the interactions between the users such as text chat. This platform also integrates an HTTP server for the delivery of other content such as audio and video streaming and secure e-commerce applications.

WorldsBrowser is used to access the 3D environments. The browser is optimized for speed, delivering relatively fast frame rates per second in textured virtual 3D worlds. T! he WorldsPlayer allows users to view and experience the Company's multi-user, interactive technology. Any world created with the WorldsShaper will be viewable and navigable with the WorldsPlayer. The Worlds Gamma Libraries are consists of sample worlds, textures, models, avatars, actions, sensors, sounds, motion sequences, and other behaviors.

Advisors' Opinion:

• [By Markman Advisors]

  Public companies leveraging their patent portfolios, (aka "patent plays"), are getting the market's attention. Companies such as Vringo (VRNG), ParkerVision (PRKR), MGT Capital (MGT), Worlds Inc. (WDDD.OB) and others have presented trading opportunities due to their volatility while retaining the chance for a big payoff to those investors who stay the course. Yet there exist viable patent plays that are still undiscovered. Some of these so called "plays," which are not getting enough attention, are actually real companies making and selling real products or services in contrast to pure patent monetization companies. Some known examples are Single Touch Interactive (SITO.OB) and Blue Calypso (BCYP.OB). This article is focused on another one of these patent plays, On Track Innovations Ltd. (OTIV).

Top Clean Energy Stocks To Buy Right Now: Dell Inc.(DELL)

Dell Inc. provides integrated technology solutions in the information technology (IT) industry worldwide. It designs, develops, manufactures, markets, sells, and supports mobility and desktop products, including notebooks, workstations, tablets, smartphones, and desktop PCs, as well as servers and networking products. The company offers storage solutions, including storage area networks, network-attached storage, direct-attached storage, and various backup systems. It also provides IT and business services comprising transactional services, such as support, managed deployment, enterprise installation, and configuration services; outsourcing services, including data center and systems management, network management, life cycle application development and management, and business process outsourcing services; and project-based services consisting of IT infrastructure, applications, business process, and business consulting services. In addition, the company offers third-part y software products comprising operating systems, business and office applications, anti-virus and related security software, and entertainment software; and peripheral products, such as printers, televisions, notebook accessories, mouse, keyboards, networking and wireless products, and digital cameras. Further, it provides financial services, including originating, collecting, and servicing customer receivables related to the purchase of its products and third-party technology products. The company sells its products and services directly through its sales representatives, telephone-based sales, and online sales; and through retailers, third-party solution providers, system integrators, and third-party resellers. It serves corporate businesses, law enforcement agencies, small and medium businesses, consumers, and public institutions that include government, education, and healthcare organizations. Dell Inc. was founded in 1984 and is headquartered in Round Rock, Texas.

Advisors' Opinion:

• [By Sean Williams]

  Finally, price is important, but it's also not a breaking point if the higher-priced product can deliver added value to the consumer. Amazon's Kindle Fire, for instance, generates top-tier tablet loyalty because it's both a cheaper alternative to the iPad and possesses a strong brand name. However, in laptops, Apple and Samsung offer arguably the most expensive price points, but are generally regarded as the leading brands in terms of functionality and status. In contrast, Dell (NASDAQ: DELL  ) ranked dead last in laptops despite its cheaper price point, as its laptops are losing their brand identity and have failed to keep up with Samsung or Apple in design freshness.

• [By Alex Dumortier, CFA]

  The perfect crime
  In a few years' time, technology executives and investors will marvel at the deal Michael Dell and Silver Lake Partners put together to take PC manufacturer Dell (NASDAQ: DELL  ) private. I can't be certain of this, of course, but I think they will end up making out like bandits. The $13.65 per share they are preparing to pay is an insolent offer, yet the acquirers, particularly Michael Dell, are absolutely brazen, which is why I refer to the deal as a "heist." Where is the board, whose duty is to protect shareholders' interests, in all this?

• [By M. Joy Hayes]

  IBM and 3M aren't the only tech companies that want to limit shareholder access to their company proxy. Last year, Dell (NASDAQ: DELL  ) moved to exclude a shareholder proposal calling for Dell to list some shareholder-nominated directors on the proxy. The company argued that the shareholder proposal was "vague and indefinite" because, while it referred to the eligibility requirements in the SEC rule calling for greater proxy access, it failed to repeat those requirements explicitly.

Top Clean Energy Stocks To Buy Right Now: ICU Medical Inc.(ICUI)

ICU Medical, Inc. engages in the development, manufacture, and sale of medical technologies used in infusion therapy, oncology, and critical care applications. The company?s product line includes custom infusion systems, closed delivery systems for hazardous drugs, needleless infusion connectors, catheters, and cardiac monitoring systems. Its products enhance patient outcomes by preventing bloodstream infections, protecting healthcare workers and patients from exposure to infectious diseases or hazardous drugs, and monitoring the cardiac output of critical care patients. The company offers intravenous (I.V.) therapy lines consisting of a tube running from a bottle or plastic bag containing an I.V. solution to a catheter inserted in a patient?s vein for use in hospitals and ambulatory clinics; CLAVE product, a needleless I.V. connection device, which would be used with conventional peripheral or central vascular access systems for venous and arterial applications; custom infusion sets. It also provides critical care products that monitor vital signs and specific physiological functions of key organ systems, including disposable pressure-sensing devices, blood sampling systems, angiography kits, sensory catheters, pulmonary artery thermodilution catheters, and multi-lumen central venous catheters. In addition, the company provides TEGO for use in dialysis; a line of oncology products, including Spiros male luer connector device; the Genie vial access device; and custom I.V sets and ancillary products for chemotherapy. ICU Medical, Inc. sells its products to medical product manufacturers and independent medical supply distributors, as well as directly to the end customers worldwide. The company was founded in 1984 and is headquartered in San Clemente, California.

Advisors' Opinion:

• [By CRWE]

  ICU Medical, Inc. (Nasdaq:ICUI), a leader in the development, manufacture and sale of innovative medical devices used in infusion therapy, oncology and critical care applications, reported that Company management will be presenting at the UBS Global Life Sciences Conference to be held on September 19-20, 2012, at the Grand Hyatt Hotel, New York.

• [By Seth Jayson]

  ICU Medical (Nasdaq: ICUI  ) is expected to report Q2 earnings around July 16. Here's what Wall Street wants to see:

  The 10-second takeaway
  Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict ICU Medical's revenues will increase 8.0% and EPS will expand 4.8%.

Top Clean Energy Stocks To Buy Right Now: Bouygues SA (BOUYF.PK)

Bouygues SA is a France-based group that operates in two sectors: Telecommunications and Media, and Construction. The Construction division comprises three core subsidiaries: Bouygues Construction, specializing in building and public works activities, notably in the areas of electrical engineering, and facility maintenance; Bouygues Immobilier, a property development company, whose activities include the development of residential, corporate and commercial properties, and the execution of urban development schemes, and Colas, engaged in the construction and maintenance of transport, urban development and leisure infrastructure. The Telecommunications and Media division of the Group comprises two companies: TF1, specializing in audiovisual and cinema production, the acquisition and sale of audiovisual rights, and the publishing and distribution of compact discs, among others, and Bouygues Telecom, which offers mobile telephone and broadband Internet services. Advisors' Opinion:

• [By Mike Arnold]

  I normally don't look at charts much, but comparing Orange to its competitors in the French telecommunications market is quite fascinating. As one can see, incumbents Bouygues (BOUYF.PK) and Vivendi (VIVHY.PK) (owner of SFR) saw similar price declines. The market, on the other hand, rapidly bid up the price of new entrant Iliad SA (ILIAF.PK), as a result of forecasts for Iliad to capture significant mobile market share (which it did, around 10%). The wide divergence in price relative to changes in underlying value favor going long the incumbents, including Orange. Because this time it's different.

Top Clean Energy Stocks To Buy Right Now: Catamaran Corp (CTRX)

Catamaran Corporation (Catamaran), formerly SXC Health Solutions Corp., incorporated on June 27, 2007, is a provider of pharmacy benefit management (PBM) services and healthcare information technology (HCIT) solutions to the healthcare benefit management industry. The Company�� product offerings and solutions combine a range of applications and PBM services designed to assist its customers in reducing the cost and managing the complexity of their prescription drug programs. The Company�� customers include organizations in the pharmaceutical supply chain, such as pharmacy benefit managers, managed care organizations, self-insured employer groups, unions, third party health care plan administrators, and state and federal government entities. In January 2012, the Company completed its acquisition of HealthTran LLC (HealthTran). On July 2, 2012, the Company acquired Catalyst Health Solutions, Inc. On October 1, 2013, the Company acquired RESTAT, LLC.

The Company�� PBM services, which are marketed under the Catamaran PBM brand, include electronic point-of-sale pharmacy claims management, retail pharmacy network management, mail pharmacy claims management, specialty pharmacy claims management, Medicare Part D services, benefit design consultation, preferred drug management programs, drug review and analysis, consulting services, data access, and reporting and information analysis. The Company's PBM services include owning and operating a network of mail and specialty pharmacies. In addition, the Company is a national provider of drug benefits to its customers under the federal government�� Medicare Part D program. The Company�� HCIT solutions include RxCLAIM, an on-line transaction processing system that provides instant adjudication of prescription drug claims, RxMAX, the Company�� rebate management system, RxTRACK, the Company�� data warehouse and analysis system, Zynchros, the Company�� suite of on-demand formulary management tools, the Company�� pharmacy management system! for retail, chain, institutional and mail-order pharmacies, as well as a number of other software products for customers in the pharmaceutical supply chain. The Company�� HCIT solutions are available on a license basis with on-going maintenance and support or on a transaction fee basis using an application service provider (ASP) model.

PBM Services

The Company�� informedRx offering is a suite of customizable PBM services that provide an alternative to traditional PBM offerings typically employed by health plans, government agencies and employers. The Company provides a range of pharmacy spend management solutions and information technology capabilities to managed care organizations, self-insured employer groups, unions, third party health care plan administrators, and state and federal government entities. Formulary Administration provides support for customers��existing formularies and preferred drug lists or collaborate to create models supported by formulary predictive modeling and impact analysis. Pharmacist, physician and member-focused intervention protocols provide controls to drive generics, preferred drug products and appropriate use. Formularies are administered based on specific plan designs, or by enabling customers with the tools to maintain their own custom formularies online.

The Company specializes in applying data-driven insights to help customers understand the medical risk drivers within their population and take a strategic approach to plan design. The Company provides benefit design configuration and support to customers, in accordance with mutually developed processes. Benefit designs can be modified online, in real time, by the Company or by the customer�� staff. Pharmacy Network Management provides a range of retail network options, including supporting existing networks or assisting customers in developing networks that meet specific geographic access requirements, desired price discounts, or other service requirements. A national! retail n! etwork, which consists of pharmacies in all 50 states and in Puerto Rico, Guam and the Virgin Islands, provides access to the Company�� customers.

Drug Utilization Review (DUR) is pre-dispensing DUR edit checks are performed on an online, real-time basis between mail and retail pharmacies to encourage appropriate drug utilization, enhance member outcomes, and reduce drug costs. All prescriptions are checked for member eligibility and plan design features and are then compared against previous histories of prescriptions filled by the same pharmacy, by other participating retail network pharmacies and by the mail service pharmacy. Clinical Services and Consulting provides consultative and technical expertise to augment, develop, deploy, and support any additional clinical programs. Reporting and Information Analysis Solutions provides two levels of reporting: a reporting package (which includes a menu of reports), and an online analytical decision support tool, RxTRACK. The Company offers mail and specialty services to its PBM members, as well as other members of its pharmacy network. suite of Web-based services that enables customers to interact with the claims processing system using a standardized protocol in a secure environment. A member Website, RxPORTAL, invites members to learn more about their prescription benefit programs, medication histories, drug information and related industry news. RxPROVIDER PORTAL is a Web-based interface that allows pharmacists and physicians to obtain information from RxCLAIM on a member's plan to assist in providing more cost effective prescription medications.

Healthcare IT

The Company's HCIT offerings deliver applications on a license, ASP, or fee-for-service basis to customers who administer and manage pharmacy benefits. HCIT products and services serve a diversified group of payor customers that include health plans, federal, state and provincial government programs, pharmacy benefit managers, workers' compensation programs! , and lon! g-term and/or chronic care facility operators. In addition, SXC's technology serves as the engine for the Company's service PBM solutions.

Technology Products and Services

RxCLAIM is an on-line transaction processing system designed to provide instant on-line adjudication of third-party prescription drug claims at the point of service, including claims management, as well as payment and billing support and real-time functionality for updating benefit, price, member, provider and drug details. RxCLAIM is designed to provide the Company�� customers control by facilitating the real-time processing of pharmacy claims and payments against eligibility, plan benefits, formularies, price, drug utilization review, prior authorization, and rebates in addition to many other features.

Other products

Integrail Pathfinder PRO is a software application that enables a array of users to understand the impact of healthcare resource allocation and medical decision-making through the incorporation of risk prediction and episode profiling technologies. The application offers users an intuitive system for integrating disparate data sources to pinpoint variations in resource utilization and care. IntegrailRx features the ability to measure and predict both pharmacy and total risk using pharmacy claims. RxBUILDER is a Web-based interface for formulary creation and maintenance utilizing a Medi-Span based product file. RxPORTAL allows customers to interact with the patient's formulary and drug history in a secure environment allowing patients and health plans to access industry tools and up to date information. RxAUTH is a prior authorization (PA) management solution, which offers automating the PA process from end-to-end. RxAUTH is also available in a Web-based application. RxMAX is a rebate management system that is designed to assist health plans in managing their relationships with pharmaceutical manufacturers through contract management, record keeping, calculating market share! , and cre! ating billing details and summaries. Zynchros provides a suite of on-demand formulary management tools to help payors effectively manage their formulary programs, and to maintain Medicare Part D compliance in their programs. Enhanced Coordination of Benefits integrates external data sources with unique algorithms and eligibility data to identify beneficiaries with other coverage. This enables accurate identification of third party liability in real-time prior to the claim being paid.

Medicare Part D

The Company has offered an array of services to the Medicare marketplace, all compliant with Centers for Medicare and Medicaid Services (CMS) regulations. As a full-service PBM and a National Prescription Drug Plan, the Company supports a variety of Medicare Part D Plan Sponsors. The Company provides prescription benefit management support for Medicare Advantage Prescription Drug plans (MAPDs) and prescription drug plans (PDPs), including implementation of specific Medicare Part D plan designs, creation and maintenance of Medicare Part D formularies (including CMS submission), CMS reporting requirements and consultative, proactive account management.

The Company competes with Express Scripts, Inc., CVS/Caremark Corporation and OptumRx.

Advisors' Opinion:

• [By Keith Speights]

  Pharmacy benefits managers, or PBMs, specialize in this very thing. Leading PBMs include Express Scripts, CVS Caremark, UnitedHealth Group's (NYSE: UNH  ) OptumRx subsidiary, Catamaran (NASDAQ: CTRX  ) , and DST Systems' Argus Health Systems. Several of these stocks have performed very well over the last three years.

• [By Sean Williams]

  What: Shares of Catamaran (NASDAQ: CTRX  ) , a pharmacy-benefits management and health care information technology services provider, jumped as much as 15% after the company announced a long-term deal with CIGNA (NYSE: CI  ) .

• [By Monica Gerson]

  Catamaran (NASDAQ: CTRX) shares fell 4.42% to touch a new 52-week low of $40.04. Catamaran's trailing-twelve-month profit margin is 1.77%.

  Posted-In: 52-Week LowsNews Movers & Shakers Intraday Update Markets

• [By Keith Speights]

  Express Scripts isn't alone in experiencing improved generic utilization. CVS Caremark (NYSE: CVS  ) saw its overall rate increase from 76.5% in its first quarter of 2012 to 80.5% in the same quarter this year. UnitedHealth didn't report detailed numbers for OptumRx last quarter, but noted that it was seeing improvements in its generic mix that helped drive earnings higher. Catamaran (NASDAQ: CTRX  ) also experienced a solid 3% year-over-year jump during the first quarter to 83%.

Top Clean Energy Stocks To Buy Right Now: Ishares Trust S & P Global * (IXJ)

iShares S&P Global Healthcare Sector Index Fund (the Fund) seeks investment results that correspond generally to the price and yield performance of the Standard & Poor�� Global Healthcare Sector Index (the Index). The Index is a subset of the Standard & Poor�� Global 1200 Index, and measures the performance of companies that Standard & Poor�� deems to be a part of the healthcare sector. Component companies include healthcare providers, biotechnology companies, and manufacturers of medical supplies, advanced medical devices and pharmaceuticals.

The Fund invests in a representative sample of securities included in the Index that collectively has an investment profile similar to the Index. The Fund�� investment advisor is Barclays Global Fund Advisors.

Advisors' Opinion:

• [By MONEYMORNING.COM]

  Consider the iShares S&P Global Healthcare Sect. (ETF) (NYSE: IXJ). While not a pure European play, it has one of the highest non-U.S. exposures in healthcare, most of which is European, and trades at a more reasonable P/E of 19. The fund is up 8.44% year to date and recently set a new all-time high, so it's definitely got momentum on its side.

Top Clean Energy Stocks To Buy Right Now: Marriott Vacations Worldwide Corp (VAC)

Marriott Vacations Worldwide Corporation, incorporated on June 21, 2011, is a developer, marketer, seller and manager of vacations ownership and related products under the Marriott Vacation Club and Grand Residences by Marriott brands. The Company is also the global developer, marketer and seller of vacations ownership and related products under the Ritz-Carlton Destination Club brand, and the Company has the non-exclusive right to develop, market and sell whole ownership residential products under the Ritz-Carlton Residences brands. The Ritz-Carlton Hotel Company, L.L.C. (Ritz-Carlton), a subsidiary of Marriott International, generally provides on-site management for Ritz-Carlton branded properties.

As of December 28, 2012, the Company had 64 vacation ownership resorts in the United States and nine other countries and territories and approximately 421,000 owners of its vacation ownership and residential products. The Company offers the majority of its products through two points-based ownership programs: Marriott Vacation Club Destinations(MVCD) and Marriott Vacation Club, Asia Pacific.

The Company designs , build, manage and maintains its properties at upscale and luxury levels in accordance with the Marriott and Ritz-Carlton brand standards that the Company must comply with under the License Agreements. The Company offers its products under four brands: Marriott Vacation Club, Grand Residences, Ritz-Carlton Destination Club and Ritz-Carlton Residences.

The Marriott Vacation Club brand is the Company's signature offering in the upscale tier of the vacation ownership industry. Marriott Vacation Club resorts typically combine many of the comforts of home, such as spacious accommodations with one, two and three bedroom options, living and dining areas, in-unit kitchens and laundry facilities, with resort amenities such as feature swimming pools, restaurants and bars, convenience stores, fitness facilities and spas, as well as sports and recreation facilities appro! priate for each resort's location.

Grand Residences by Marriott is an upscale tier vacation ownership and whole ownership residence brand. The accommodations for this brand are similar to those the Company offers under the Marriott Vacation Club brand. The time period for each Grand Residences by Marriott vacation ownership interest ranges between three and thirteen weeks. The Company also offers whole ownership residential products under this brand.

The Ritz-Carlton Destination Club is a luxury tier vacation ownership brand. The Ritz-Carlton Destination Club provides luxurious vacation experiences commensurate with the legacy of the Ritz-Carlton brand. Ritz-Carlton Destination Club resorts typically feature two, three and four bedroom units that generally include marble foyers, walk-in closets and custom kitchen cabinetry, and luxury resort amenities, such as feature pools and access to full service restaurants and bars. The on-site services, which usually include daily maid service, valet, in-residence dining, and access to fitness facilities as well as spa and sports facilities as appropriate for each destination, are delivered by Ritz-Carlton.

The Ritz-Carlton Residences is a luxury tier whole ownership residence brand. The Ritz-Carlton Residences include whole ownership luxury residential condominiums and home sites for luxury home construction co-located with Ritz-Carlton Destination Club resorts. Owners can typically purchase condominiums that vary in size from one-bedroom apartments to spacious penthouses. Ritz-Carlton Residences owners can avail themselves of the services and facilities that are associated with the co-located Ritz-Carlton Destination Club resort on an a la carte basis. On-site services are delivered by Ritz-Carlton.

Advisors' Opinion:

• [By Michael Lewis]

  It may be surprising�to�hear that hospitality and tourism are the fastest-growing industries in the world. One of the biggest names in the industry, unsurprisingly, is Marriott, which represents a variety of names in hotels, motels, and resorts around the world. As a spin-off from Marriott In late 2011,�Marriott Vacations Worldwide (NYSE: VAC  ) �is a business that specializes in vacation ownership, otherwise known as timeshares. While thoughts of the quintessential timeshare salesman may bring a sting to your gut, this business offers investors bright prospects on the back of a booming industry. Here's what you need to know about Marriott Vacations.

• [By GuruFocus]

  Marriott Vacations Worldwide Corp (VAC): President and CEO Stephen P. Weisz Bought 8,000 Shares
  
  President and CEO of Marriott Vacations Worldwide Corp (VAC) Stephen P. Weisz bought 8,000 shares during the past week at an average price of $43.60. Marriott Vacations Worldwide Corporation is a Delaware Corporation. Marriott Vacations Worldwide Corp has a market cap of $1.54 billion; its shares were traded at around $43.60 with a P/E ratio of 30.67 and P/S ratio of 0.94.

Hot European Stocks To Watch Right Now

Hot European Stocks To Watch Right Now: TotalFinaElf S.A.(TOT)

TOTAL S.A., together with its subsidiaries, operates as an integrated oil and gas company worldwide. The company operates through three segments: Upstream, Downstream, and Chemicals. The Upstream segment engages in the exploration, development, and production of oil and natural gas. It also involves in the transportation, trade, and marketing of natural gas and liquefied natural gas (LNG), as well as in LNG re-gasification and natural gas storage operations. In addition, this segment engages in the shipping and trade of liquefied petroleum gas (LPG); power generation from gas-fired power plants, nuclear, or renewable energies; production, trade, and marketing of coal, as well as in solar power systems and technology operations. As of December 31, 2010, it had combined proved reserves of 10,695 Mboe of oil and gas. The Downstream segment involves in refining, marketing, trading, and shipping crude oil and petroleum products. It also produces a range of specialty products, s uch as lubricants, LPG, jet fuel, special fluids, bitumen, marine fuels, and petrochemical feedstock. This segment holds interests in 24 refineries located in Europe, the United States, the French West Indies, Africa, and China, as well as operates a network of 17,490 service stations. The Chemicals segment produces base chemicals, including petrochemicals and fertilizers, as well as engages in rubber processing, resins, adhesives, and electroplating activities. TOTAL S.A. was founded in 1924 and is based in Paris, France.

Advisors' Opinion:

• [By Arjun Sreekumar]

  Total SA (NYSE: TOT  ) , one of the biggest European oil majors, took a $1.65 billion first-quarter loss after it decided to abandon a major venture in Canada's oil sands the Voyageur Upgrader project.

• [By Aaron Levitt]

  Three more rigs will delivered this year and next. Those rigs in operation are contracted out to energy giants C! hevron (CVX), Total (TOT) and Petrobras (PBR). And having three of the largest oil majors sending you checks every day has worked in PACDs favor.

• [By Robert Rapier]

  On Dec. 5, IOC issued an extensive press release trumpeting the sale to Total (NYSE: TOT) of an interest in its Papua New Guinea exploration. The IOC press release spun the sale as potentially worth billions to IOC, which has a current market cap of $2.6 billion. Indeed, that deal sounds like it could really make a huge impact on IOC, until you read the press release issued by Total. Total has indicated that its engineers will need to evaluate the prospects before any decision is made on payments. So the deal could be worth zero to IOC, and based on the company’s poor track record over the years in actually booking reserves many investors decided it was time to exit when it became clear that IOC’s spin on the deal was much different than Total’s. Shares fell 21 percent in pre-market trading on the day of the announcement, and are now down about 40 percent since the Total news hit.

source from Top Stocks To Buy For 2015:http://www.topstocksforum.com/hot-european-stocks-to-watch-right-now-3.html

Third Quarter 2013 Mutual Fund Commentary - RS Partners Fund

Philosophy and Process

We believe that company-specific value creation is frequently mispriced in the public markets. As a result, the RS Value Team employs an investment process that is driven by fundamental business analysis. Specifically, we are interested in understanding how companies create value, which by definition means dissecting businesses into their component parts to gain insights into how and where capital is being allocated, and into the cash flows and returns associated with these capital decisions. When we have identified situations where there is a visible path toward future value creation, and a management team is in place that we believe is capable of executing the business plan, a company qualifies for our Recommended List. In turn, Recommended List names are purchased in the portfolio when: a) we can clearly quantify a downside value for the company, b) the market provides us with an opportunity to purchase an interest in the company close to or, preferably, below that downside value, and c) the investment augments the existing positions in the portfolio from both a risk and a return perspective. This process reflects our belief that risk is not defined as share price volatility but rather as the permanent impairment of our client’s capital. While we expect, over time, that excess returns will be driven by superior stock selection, it is critical that we construct “all weather” portfolios—concentrated around our very best investment opportunities, but broadly diversified across the economy. We acknowledge that over short periods we may underperform our benchmark, but we believe that our philosophy, process and team structure will continue to provide us with the opportunity to generate excess risk-adjusted returns over a reasonable investment time horizon. 

Continue reading here. 

Also check out: RS Partners Fund Undervalued Stocks RS Partners Fund Top Growth Companies RS Partners Fund High Yield stocks, and Stocks that RS Partners Fund keeps buying

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Real Time Picks	Buffett-Munger Screener
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ETFs, Options	Low P/S Companies
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Why Forward Contracts Are The Foundation Of All Derivatives

Tweet 0 Disqus Email Print Feedback Share Tweet 0 Disqus Email Print Feedback 0 Disqus Why Forward Contracts Are The Foundation Of All Derivatives October 23 2013| Filed Under » Arbitrage, Currency Derivatives, Forwards The most complex type of investment products fall under the broad category of derivative securities. For most investors, the derivative instrument concept is hard to understand. However, since derivatives are typically used by governmental agencies, banking institutions, asset management firms and other types of corporations to manage their investment risks, it is important for investors to have a general knowledge of what these products represent and how they are used by investment professionals.

Forward Derivative Contract Overview

As one type of derivative product, forward contracts can be used as an example to provide a general understanding of more complex derivative instruments such as futures contracts, options contracts and swaps contracts. Forward contracts are very popular because they are unregulated by the government, they provide privacy to both the buyer and seller, and they can be customized to meet both the buyer's and seller's specific needs. Unfortunately, due to the opaque features of forward contracts, the size of the forward market is basically unknown. This, in turn, makes forward markets the least understood of the various types of derivative markets.

Many potential issues may arise. For example, parties that utilize forward contracts are subject to default risk, their trade completion may be problematic due to the lack of a formalized clearinghouse, and they are exposed to potentially large losses if the derivatives contract is structured improperly. As a result, there is the potential for severe financial problems in the forward markets to overflow from the parties that engage in these types of transactions to society as a whole. To date, severe problems such as systemic default among the parties that engage in forward contracts have not come to fruition. Nevertheless, the economic concept of "too big to fail" will always be a concern, so long as forward contracts are allowed to be undertaken by large organizations. This problem becomes an even ! greater concern when both the options and swaps markets are taken into account.

Trading and Settlement Procedures for a Forward Derivative Contract

Forward contracts trade in the over-the-counter market. They do not trade on an exchange such as the NYSE, NYMEX, CME or CBOE. When a forward contract expires, the transaction is settled in one of two ways. The first way is through a process known as "delivery." Under this type of settlement, the party that is long the forward contract position will pay the party that is short the position when the asset is delivered and the transaction is finalized. While the transactional concept of "delivery" is simple to understand, the implementation of delivering the underlying asset may be very difficult for the party holding the short position. As a result, a forward contract can also be completed through a process known as "cash settlement."

A cash settlement is more complex than a delivery settlement, but it is still relatively straightforward to understand. For example, suppose that at the beginning of the year a cereal company agrees through a forward contract to buy 1 million bushels of corn at $5 per bushel from a farmer on Nov. 30 of the same year. At the end of November, suppose that corn is selling for $4 per bushel on the open market. In this example, the cereal company, which is long the forward contract position, is due to receive from the farmer an asset that is now worth $4 per bushel. However, since it was agreed at the beginning of the year that the cereal company would pay $5 per bushel, the cereal company could simply request that the farmer sell the corn in the open market at $4 per bushel, and the cereal company would make a cash payment of $1 per bushel to the farmer. Under this proposal, the farmer would still receive $5 per bushel of corn. In terms of the other side of the transaction, the cereal company would then simply purchase the necessary bushels of corn in the open market at $4 per bushel. The net effect ! of this p! rocess would be a $1 payment per bushel of corn from the cereal company to the farmer. In this case, a cash settlement was used for the sole purpose of simplifying the delivery process.

Currency Forward Derivative Contract Overview

Derivative contracts can be tailored in a manner that makes them complex financial instruments. A currency forward contract can be used to help illustrate this point. Before a currency forward contract transaction can be explained, it is first important to understand how currencies are quoted to the public, versus how they are used by institutional investors to conduct financial analysis.

If a tourist visits Times Square in New York City, he will likely find a currency exchange that posts exchange rates of foreign currency per U.S. dollar. This type of convention is used frequently. It is known as an indirect quote and is probably the manner in which most retail investors think in terms of exchanging money. However, when conducting financial analysis, institutional investors use the direct quotation method, which specifies the number of units of domestic currency per unit of foreign currency. This process was established by analysts in the securities industry, because institutional investors tend to think in terms of the amount of domestic currency required to buy one unit of a given stock, rather than how many shares of stock can be bought with one unit of the domestic currency. Given this convention standard, the direct quote will be utilized to explain how a forward contract can be used to implement a covered interest arbitrage strategy.

Assume that a U.S. currency trader works for a company that routinely sells products in Europe for euros, and that those euros ultimately need to be converted back to U.S. dollars. A trader in this type of position would likely know the spot rate and forward rate between the U.S. dollar and the euro in the open market, as well as the risk-free rate of return for both the U.S. dollar and the euro. For example, th! e currenc! y trader knows that the U.S. dollar spot rate per euro in the open market is $1.35 U.S. dollars per euro, the annualized U.S. risk-free rate is 1% and the European annual risk-free rate is 4%. The one-year currency forward contract in the open market is quoted at a rate of $1.50 U.S. dollars per euro. With this information, it is possible for the currency trader to determine if a covered interest arbitrage opportunity is available, and how to establish a position that will earn a risk-free profit for the company by using a forward contract transaction.

Example of a Covered Interest Arbitrage Strategy

To initiate a covered interest arbitrage strategy, the currency trader would first need to determine what the forward contract between the U.S. dollar and euro should be in an efficient interest rate environment. To make this determination, the trader would divide the U.S. dollar spot rate per euro by one plus the European annual risk-free rate, and then multiply that result by one plus the annual U.S. risk-free rate.

[1.35 / (1 + 0.04)] x (1 + 0.01) = 1.311

In this case, the one-year forward contract between the U.S. dollar and the euro should be selling for $1.311 U.S. dollars per euro. Since the one-year forward contract in the open market is selling at $1.50 U.S. dollars per euro, the currency trader would know that the forward contract in the open market is overpriced. Accordingly, an astute currency trader would know that anything that is overpriced should be sold to make a profit, and therefore the currency trader would sell the forward contract and buy the euro currency in the spot market to earn a risk-free rate of return on the investment.

The covered interest arbitrage strategy can be achieved in four simple steps:

Step 1: The currency trader would need to take $1.298 dollars and use it to buy €0.962 euros.

To determine the amount of U.S. dollars and euros needed to implement the covered interest arbitrage strategy, the currency trader would divide the spot contract price of $1.35 U.S. dollars per euro by one plus the European annual risk-free rate of 4%.

1.35 / (1 + 0.04) = 1.298

In this case, $1.298 U.S. dollars would be needed to facilitate the transaction. Next, the currency trader would determine how many euros are needed to facilitate this transaction, which is simply determined by dividing one by one plus the European annual risk-free rate of 4%.

1 / (1 + 0.04) = 0.962

The amount that is needed is €0.962 euros.

Step 2: The trader would need to sell a forward contract to deliver €1.0 euro at the end of the year for a price of $1.50 U.S. dollars.

Step 3: The trader would need to hold the euro position for the year, earning interest at the European risk-free rate of 4%. This euro position would increase in value from €0.962 euro to €1.00 euro.

0.962 x (1 + 0.04) = 1.000

Step 4: Finally, on the forward contract expiration date, the trader would deliver the €1.00 euro and receive $1.50 U.S. dollars. This transaction would equate to a risk-free rate of return of 15.6%, which can be determined by dividing $1.50 U.S. dollars by $1.298 U.S. dollars and then subtracting one from the answer to determine the rate of return in the proper units.

(1.50 / 1.298) – 1 = 0.156

The mechanics of this covered interest arbitrage strategy are very important for investors to understand, because they illustrate why interest rate parity must hold true at all times to keep investors from making unlimited risk-free profits.

The Link Between Forward Contracts and Other Derivatives

As this article illustrates, forward contracts can be tailored as very complex financial instruments. The breadth and depth of these types of contracts exp! ands exponentially when one takes into account the different types of underlying financial instruments that can be used to implement a forward contract strategy. Examples include the use of equity forward contracts on individual stock securities or index portfolios, fixed income forward contracts on securities such as treasury bills, and interest rate forward contracts on rates such as LIBOR, which are more commonly known in the industry as forward-rate agreements.

Finally, investors should understand that forward contract derivatives are typically considered the foundation of futures contracts, options contracts and swap contracts. This is because futures contracts are basically standardized forward contracts that have a formalized exchange and clearinghouse. Options contracts are basically forward contracts that provide an investor an option, but not an obligation, to complete a transaction at some point in time. Swaps contracts are basically a linked-chain agreement of forward contracts that require action to be taken by investors periodically over time.

The Bottom Line

Once the link between forward contracts and other derivatives is understood, investors can quickly start to realize the financial tools that are at their disposal, the implications that derivatives have for risk management, and how potentially large and important the derivatives market is to a host of governmental agencies, banking institutions and corporations throughout the world.

Best Freight Stocks To Invest In 2016

Best Freight Stocks To Invest In 2016: PostNL NV (PNL)

PostNL NV is a Netherlands-based Company active in delivery sector. The Company is engaged in the delivery of documents, small packages and standard parcels. The Companys business is organized into three segments: Mail in the Netherlands, responsible for mail services in the Netherland, documents management, direct marketing and fulfillment services, and operating over 2,600 shop-in-shop post offices; Parcels, providing parcel services in the Netherlands and Belgium for both domestic and cross-border parcel distribution, and International, operating in the postal markets of the United Kingdom, Germany and Italy, and focusing on domestic addressed mail services. The Company also provides marketing and communication services, fulfillment solutions and e-commerce related solutions. Advisors' Opinion:

• [By Inyoung Hwang]

  PostNL (PNL) sank 11 percent to 2.48 euros, the biggest decline since Jan. 14. The Amsterdam-based company said sales in the second-quarter were 1.03 billion euros ($1.37 billion), falling short of the 1.04 billion euros predicted by analysts on average. PostNL forecast addressed mail volume in 2013 will drop as much as 11 percent, greater than its previous forecast of no more than 10 percent.

source from Top Penny Stocks For 2015:http://www.seekpennystocks.com/best-freight-stocks-to-invest-in-2016.html

FSI unveils advocacy website, social network

The Financial Services Institute Inc. today unveiled a website and social network intended to improve its own policy advocacy efforts and collaboration among its independent-broker-dealer and financial adviser members.

“We nuked our website and built a new one,” FSI spokesman Chris Paulitz told reporters at the FSI Financial Advisor Summit in Washington. “We are now trying to tell our story through our website.”

The goal for organization, which comprises 35,000 independent broker-dealers and financial advisers, is to make its lobbying efforts on the federal and local level more accessible to its members and to help them participate.

For instance, the site provides information on some 350 state bills that the FSI is following, including 70 social-media measures.

“We're delivering the tools necessary to create citizen advocates,” FSI chief executive Dale Brown told the conference audience of about 400. The organization has hired full-time lobbyists in Texas, Florida, New York and California, as well as Washington.

“Advocacy is the No. 1 benefit we give at FSI,” Mr. Paulitz said. “We're not just on the defensive. We're going on the offensive.”

The social network, FSI Social, is designed to give FSI's firm executives and financial adviser members a virtual platform in which to collaborate and share best practices.

Mr. Brown promised that it would be a “safe” place for FSI members to network.

“FSI Social is a no-recruiting zone,” he said.

FSI also unveiled two tools to help its members build their businesses — a one-minute video and a one-page infographic that tout the value of independence to clients and prospective clients. Both have been reviewed by Financial Industry Regulatory Authority Inc.

Top 10 Cheap Stocks To Invest In 2016

Within the next month, the FSI will unveil what it calls an “all-in-one app” for smartphones that will provide access to its website, conferences and advocacy initiatives. For instance, it will include “push text” capability that allows members to send messages to lawmakers, according to Mr. Paulitz.

He declined to reveal how much the organization has spent on its website overhaul and virtual tools but said that nearly its entire $7.2 million budget is dedicated to advocacy.

“That's the lens we look through for everything,” Mr. Paulitz said.

The Better Option: American Capital Agency or Annaly?

It's no secret that mREITs such as American Capital Agency (NASDAQ: AGNC  ) (NASDAQ: AGNC  ) (NASDAQ: AGNC  ) ,  Annaly Capital Management (NYSE: NLY  ) (NYSE: NLY  ) (NYSE: NLY  ) , and CYS Investments have gone through a very turbulent trading period, with all major players losing a sizable share of market value.

Mortgage REITs seem to be moving in an elastic inverse correlation to 10-year Treasury yields, and that's perfectly understandable. These leveraged investments are also reacting strongly to shorter-term developments such as the announcement that CYS CEO Kevin Grant purchased 34,000 shares of stock. This led to spectacular gains for mREITs -- CYS led the rally, shooting up a hefty 7.1%, American Capital rose 4.1%, and Annaly gained 3.2% after this news last month.

Prior to the announcement, CYS stock had lost close to 47% since March, and the gains must have come as welcome news for shareholders. The firm is one of the highest dividend-paying mREITs in the market with a 17.5% dividend yield.

Investors are now wondering which mREIT offers better investment value between the two behemoths of the space: American Capital Agency or Annaly Capital Management. Many mREIT investors not only need high income paying stocks but also those that offer a certain level of protection against loss of capital. To compare them, investors can use the following criteria:

Earnings Interest rates spread Dividends Book value

Earnings
Annaly's second-quarter results looked fairly impressive, comparatively. The firm earned net income of $1.6 billion, equivalent to $1.71 per share. Annaly's second-quarter numbers look even more impressive when you compare them to last year's second-quarter results, when the firm booked a $91 million loss, or $0.10 loss per share.

In sharp contrast, American Capital Agency's second-quarter results looked pretty ugly. The firm booked a nasty overall loss of $936 million, or $2.37 per share.

Interest rates spread
Interest rates fluctuated wildly in the second quarter, thus improving the interest rate spread for many mREITs. The cost of borrowing rose at a slower pace compared to the pace at which yields from investments rose. Annaly reported a 0.98% net interest spread, an improvement over 0.91% in the first quarter. The interest rates spread was, however, considerably lower than last year's second-quarter spread, which came in at 1.54%. The firm's asset yield for its interest-earning portfolio stood at 2.51%. Its average cost of funds shot up seven basis points to 1.53%.

American Capital Agnecy's interest rate spread for the second quarter came in at 1.86%; a marginal drop compared to 1.87% in the first quarter. If we exclude the firm's TBA dollar roll income, the net spread falls to just 1.49%, a slight drop from the first quarter's 1.51%. American Capital Agency's asset yield stood at 2.71% while its average cost of funds shot up 15 basis points to 1.43%.

The average yield on assets rose by a higher absolute amount than the cost to borrow, leading to improved interest rates spread for both mREITs. Although the spread for both firms was OK, American Capital Agency beats Annaly hands-down for a much larger spread. Annaly Capital Management, however, beats American Capital Agency to the tape when we consider interest rate spread growth. Growth in interest rates spread is more important for capital appreciation than larger, but stagnant, absolute spreads. Annaly takes this category.

Dividends
Annaly reported a $0.40 dividend per share for the quarter, a 2.25% sequential drop. The dividend is also considerably lower than 2012's second-quarter dividend of $0.55. Although Annaly's dividend for the quarter was quite low, it was well within the firm's estimated taxable income per share of $0.47. This means the firm had sufficient cash to pay out the dividend. At a share price of $11.50, the dividend is equivalent to an annualized yield of a respectable 14%.

American Capital Agency reported a second-quarter dividend of $1.05 per share, down 16% sequentially. Although the firm's dividend fell considerably, it still beat consensus estimates of about $1.00 per share. The $1.05 payment is less than the firm's dollar roll income and net spread of $1.15 per share. American Capital Agency, therefore, had sufficient cash to pay out the dividend. The dividend yield works out to be around 18.4%, based on today's price. This helps to buttress the firm's solid reputation as an all-weather mREIT dividend play.

Interest rates seem to have stabilized, and it is quite likely that dividends for both firms will remain around these levels for the rest of the year. Although American Capital Agency takes the cake for higher absolute dividend yield of 18.4% compared to Annaly's 14%, its dividend deterioration is outpacing Annaly's at 16% vs. 11%. If the deterioration in dividends continues at these rates, American Capital Agency's payout will eventually be lower than Annaly's.

Book value
Annaly's stock is currently trading 12% below the most recently reported book value. American Capital Agency is trading at 11% below book.

The volatility of mortgage-backed securities prices has led to both stocks declining considerably in the third quarter. In the previous quarter, Annaly's book valued declined roughly 18% while American Capital Agency experienced a nearly 20% decline. Annaly and its slightly more conservative strategy, therefore, lost slightly less book value and is the winner in this category.

The better value for investors
American Capital Agency reported far worse earnings in the second quarter than Annaly. Although the firm has a larger interest rate spread in absolute terms, its spread remains stagnant while Annaly's is expanding. Book values for both companies remain well above current stock prices. American Capital Agency pays a higher dividend than Annaly, but its dividend is falling at a faster pace.

At this point, Annaly may be the mREIT that offers the better value for investors. 

Dividend stocks, like well-managed REITs, can make you rich. It's as simple as that. While they don't garner the notoriety of high-flying growth stocks, they're also less likely to crash and burn. And over the long term, the compounding effect of the quarterly payouts, as well as their growth, adds up faster than most investors imagine. With this in mind, our analysts sat down to identify the absolute best of the best when it comes to rock-solid dividend stocks, drawing up a list in this free report of nine that fit the bill. To discover the identities of these companies before the rest of the market catches on, you can download this valuable free report by simply clicking here now.

BlueFire Drilling Technology Poised for Gains (OTCMKTS:BLFR, OTCMKTS:CLNO)

BlueFire Equipment Corporation (BLFR)

Today, BLFR has surged (+5.08%) up +0.030 at $.620 with 208,022 shares in play thus far (ref. google finance Delayed: 11:01AM EDT July 19, 2013).

BlueFire Equipment Corporation previously reported field testing of its proprietary polycrystalline diamond cutter (PDC) drill bits has exceeded company expectations.

BlueFire's exclusive technology provides the potential for higher rates of penetration (ROP) and longer bit runs in hard rock formations and shales.

BlueFire Equipment Corporation Chairman and CEO William A. Blackwell said, "U.S. drilling companies continue to seek out and employ new technologies to improve performance and effectiveness. Culminating years of research and development, BlueFire has taken a ground up approach to redesigning the PDC bit to help meet these needs."

BlueFire Equipment Corporation (BLFR) 5 day chart:

Best Semiconductor Companies To Invest In 2015

Cleantech Transit, Inc. (CLNO)

Cleantech Transit, Inc. (OTCMKTS:CLNO) (www.cleantechtransit.net ) through its Discovery Carbon subsidiary, develops emissions offset strategies for companies, municipalities, and countries. Today, CLNO has shed (-8.08%) down -0.021 at $.239 with 221,075 shares in play thus far (ref. google finance Delayed: 11:32AM EDT July 19, 2013), but don't let this get you down.

CLNO's daily range is at ($.26 – $.22) thus far and currently at $.239 would be considered a (+21627.27%) gain above the 52 wk low of $.0011. The stock is up +0.23 ( +10354.55%) since the concerning dates of January 22, 2013 – July 19, 2013. +10354.55% is the 6 month high and rightly so.

Cleantech Transit, Inc. (CLNO ) 5 day chart: