Sunday, November 23rd, 2008

Why Investors Shouldn’t Fear The Conflict In Georgia

Aug 11th, 2008 | By Ben Traynor | Category: Financial News, Politics & Economics

Many investors will want to avoid Russia right now. And they’ll definitely want to avoid Georgia.

But, as you’ll see below, now could actually be the perfect time to invest in both of these countries.

Let’s take Russia first. The Georgian conflict helped wipe 6.5% off Russia’s stock market on Friday. It is the latest in a string of events that have damaged investor confidence recently.

One of these is the interminable TNK-BP saga. BP and a group of Russian oligarchs each own half the venture. The Russians have made life difficult for TNK-BP’s foreign employees. Visas have been refused. Chief executive Robert Dudley has quit the country. His finance director has resigned.

Understandably, this has spooked foreign investors.There was also Vladimir Putin’s comment about Mechel, the Russian coal and steel firm. In June, Putin denounced the firm’s pricing policy, and accused it of tax evasion. His comments helped wipe $60 billion off the stock market.

And now, of course, there is a war. So you’d expect us to advise investors to stay the hell away, right?

Wrong!

“Buy when you hear the gunfire” is a commonly-heard phrase in investment circles. When everyone else is panicking, cool heads can set themselves up for spectacular gains.

My colleague Manraaj Singh looks for investments where most others fear to tread. As it happens, his Profit Hunter service has previous in Georgia. Last year, Manraaj’s readers made a tidy profit on one Georgian investment.

As I write this, Manraaj is tucked away in his cubbyhole looking for a way to get back in!

Is he mad? See for yourself tomorrow when Manraaj reveals his latest thoughts on this prospective play.

Meanwhile, Garry White takes a look at Russia. He gives us the top five reasons why he likes the place — and tells you how you could get rich the Putin way…

Finding profits in an unpopular place

“Naturally, when people think of the Congo today, they remember the violence… the wars… the corruption… the extreme poverty,” writes Manraaj Singh in his latest investment report.

But, as Manraaj points out, it’s also one of the most mineral-rich places on earth. It is another example of a place most investors are scared by — much to their detriment.

Manraaj has found a unique mining company that could soon control nearly half the world supply of one critical metal.

“Investors are nervous because it operates in the Congo,” says Manraaj. “So its share price is still trading well below what it’s really worth.”

To make real money, you often have to completely ignore mainstream advice. If everyone knows about it, the opportunity has passed.

Manraaj’s latest report offers you the chance to buy against the grain. Read on to find out how much this one share could make you

Until tomorrow

Ben Traynor,

Editor

Source: Why Investors Shouldn’t Fear The Conflict In Georgia


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By Ben Traynor

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Ben Traynor is a contributor to Fleet Street Daily of Fleet Street Publications.

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Fleet Street Daily

The financial markets are currently going through their most turbulent period in years. The credit crunch continues to bite… the dollar is collapsing (and taking the pound down with it)… and a UK recession seems an inevitability. Commodities prices are going haywire… Asia's on the rise... there's a lot for investors to keep on top of! And it's changing every day! That's where the Fleet Street Daily comes in. A brand new, 100% FREE service that keeps you plugged into the financial stories that really matter.

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