Harry Newton's In Search of The Perfect Investment
Newton's In Search Of The Perfect Investment. Technology Investor.
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8:30 AM EST, Tuesday, May 1: April
showers bring May flowers. And Mayflowers? Why Pilgrims. The problem with "investing"
is that you're playing someone else's game. Someone else runs it. Someone else
makes all the decisions. And even though you own it, they don't listen to you,
the "activist" shareholder.
I
instance this because I'm fascinated with Verizon. Here's a company with everything
going for it -- except imaginative management. It supplies communications to
the most communicative cities in the country, including New York. Yet its profit
for the first quarter fell 8% and its landlines are collapsing.
The
company's problem is that in the old days, marketing was regulation.
You wanted more money, you simply asked the state regulatory commissions to
bump your rates. And your customers paid them. But these days I make phone calls
via my cable company. I get fax calls on my computer over the Internet. And
lots of people -- my son included -- don't see any reason to have a landline
from Verizon.
I
wish I were in charge of Verizon marketing. (I've suggested the idea.) I'd introduce
Verizon FiOS into Manhattan. FiOS is TV/Internet/phone faster and better than
Time Warner. Yet I can't get it. Why? Who knows. I don't exactly live in Podunk.
I've begged everyone in Verizon for it, to no avail. Yet Verizon keeps advertising
it nationally, pissing off all the people (like me) who can't get it.
I do have some
Verizon landlines and I have a Verizon cell phone. Wouldn't it be nice if Verizon
integrated them so I could have one voice mail box, so I could get my messages
on my computer.... Wouldn't it be nice if Verizon sold a phone that would synch
with my Outlook -- for contacts and calendar? Wouldn't it be nice? I could play
this game for weeks.
Japan's NTT DoCoMo
has thousands of outside partners who provide services to enhance DoCoMo cell
phones. Verizon basically has none. Once I tried to work a deal with NTT. I'd
provide a service for Verizon phones. If someone used my service, they'd pay
extra for it and Verizon would automatically add a small charge to their monthly
bill. Great idea! It was such a nightmare dealing with Verizon's people that
I never pursued it. Verizon people were not responsive, not interested, overly
bureaucratic
. They clearly didnt understand startups. Their only
motivation was to study my idea, not to do it -- even though it would have cost
them absolutely nothing.
How bad is Verizon's
lack of imagination? I cant even lengthen the number of rings before my
Verizon cellphone dumps my callers into voice mail. And since my Verizon BlackBerry
rings so quietly, that means everyone gets dumped into voice mail, while I'm
still fumbling to get it out of my pocket.
Verizon is
spending big money on FiOS (though not to me). And Cramer thinks you can benefit
by owning Ciena, Corning, JDSU and Tellabs -- the usual suspect telecom suppliers.
Don't waste your money. I wish I could point to a new boom in telecom. I can't.
Commodities
are up, but weird ones: There are people who
gamble on individual commodities. Not me. I'm still with my commodities fund
because of its broad holdings. Diversification is the only free lunch in investing.
And so far this year, I'm up 9.23% before fees. This is not a brilliant
return, but better than 2006 when the fund was flat.
Cast your eye down the list. It's amazing how much these things fluctuate in
such a short time. And it's amazing which ones are up. Nickel is the big winner,
which is another reason I like Australian miners, especially the ones with big
nickel deposits.
|
YTD
|
Start Date |
12/31/06
|
End Date |
4/27/07
|
|
|
Corn |
-8.82
|
Soybeans |
1.70
|
Wheat |
-2.58
|
Soybean Meal |
-10.60
|
AGRICULTURE |
-2.44
|
|
|
Crude Oil |
-1.16
|
Heating Oil |
10.88
|
Natural Gas |
15.40
|
Unleaded
Gas |
40.78
|
ENERGY |
7.99
|
|
|
Aluminum |
2.42
|
Copper |
22.40
|
Nickel |
56.47
|
Zinc |
0.53
|
INDUSTRIAL
METALS |
17.27
|
|
|
Live Cattle |
3.29
|
Lean Hogs |
-1.24
|
Feeder Cattle |
8.45
|
LIVESTOCK |
2.83
|
|
|
Gold |
4.61
|
Silver |
2.63
|
Platinum |
11.95
|
Palladium |
8.37
|
PRECIOUS
METALS |
5.02
|
|
|
Cotton |
-14.32
|
Sugar |
-23.40
|
Coffee |
-19.15
|
Orange Juice |
-22.49
|
FOODS & FIBERS |
-19.98
|
|
|
Total |
9.23
|
For
the plane, for the tennis court: These are
the best-tasting "power" bars. I use them for tennis and traveling.
Apparently, your body is meant to be fueled every four hours. Doing vigorous
exercise you need fuel more often. These are good fuel.

Don't buy them individually. They're much cheaper in "bulk". They
come in cartons of 6 and 16. NationwideCandy.com
has them.
Loyalty,
not talent: Paul Wolfowitz, present head of the World Bank, bumped
his girlfriend's salary a huge $60,000. In my brain, this was not ethical. He
doesn't own the bank. It's not his money to give to his girlfriend. He also
has not been good for the bank, causing dissension among the ranks. There is
now huge pressure for him to resign. This morning, the news carried a story
saying he would resign if the board cleared him of misconduct!
I wonder the "logic" of all this. He gets cleared of misconduct and
resigns. Like it never happened. John F. Kennedy is reputed to have once said,
"Washington is eight square miles surrounded by reality."
How
to determine the scientific basis
I know that everyone needs a job, but there are some places where
yo' cuzzins should not be allowed to work.
There was a case
in West Virginia in one hospital's Intensive Care ward where patients always
died in the same bed, on Sunday morning, at about 11 a.m., regardless of their
medical condition.
This puzzled the
doctors and some even thought that it had something to do with the supernatural.
No one could solve the mystery... as to why the deaths occurred around 11 a.m.
on Sundays.
So a world-wide
team of experts were assembled to investigate the cause of the incidents. The
next Sunday morning, a few minutes before 11 a.m., all doctors and nurses nervously
wait outside the ward to see for themselves, what the terrible phenomenon was
all about.
Some were holding
wooden crosses, prayer books and other holy objects to ward off the evil spirits.
Just when the
clock struck 11... Pookie Johnson, the part-time Sunday sweeper, entered the
ward and unplugged the life support system so he could use his vacuum cleaner.

This column is about my personal search
for the perfect investment. I don't give investment advice. For that you have
to be registered with regulatory authorities, which I am not. I am a reporter
and an investor. I make my daily column -- Monday through Friday -- freely available
for three reasons: Writing is good for sorting things out in my brain. Second,
the column is research for a book I'm writing called "In Search of the
Perfect Investment." Third, I encourage my readers to send me their
ideas, concerns and experiences. That way we can all learn together. My email
address is .
You can't click on my email address. You have to re-type it . This protects
me from software scanning the Internet for email addresses to spam. I have no
role in choosing the Google ads. Thus I cannot endorse any, though some look
mighty interesting. If you click on a link, Google may send me money. Please
note I'm not suggesting you do. That money, if there is any, may help pay Claire's
law school tuition. Read more about Google AdSense, click
here and here.
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