Don't fall into the trap of the 'Birmingham screwdriver'...

For whatever reason, the citizens of Birmingham, U.K., have always gotten a bad rap.

Brummies, as they're called, are widely considered to have the least-trustworthy accent in the nation. British citizens view the city itself as one of the most dangerous in the country.

Somewhere along the line, Brummies got a reputation for being pretty dense, too. And that led to the development of the "Birmingham screwdriver" – British slang for a hammer.

The term implies that folks from Birmingham often use force where a delicate approach would suffice. In fairness to Brummies, though, they're not the only ones. The same can be said about a lot of investors...

People who only know how to value a company using one tool or metric will often try to force their approach in places it shouldn't fit.

On the other hand, smart problem-solvers have many different tools at their disposal – and know how to use them...

In my second finance job, I (Rob Spivey) learned just how powerful having multiple investing frameworks can be.

I started at Credit Suisse almost two decades ago (that's where I met my colleague and Altimetry founder Joel Litman). But it wasn't long before I realized that there was something missing...

I wanted to be able to recommend stocks and point to the "scoreboard" as they went up or down. I wanted the reward of owning my performance. That's not something you generally get by selling analysis like we did at Credit Suisse.

So Joel – who was the senior leader in my group – helped me jump over to the buy side, where they actually make investments. It was called Legacy Capital Management. And it opened my eyes to new ways of investing.

The team I worked with had a simple and powerful framework. They used an early version of Uniform Accounting to identify which mispriced stocks they really liked. Then, they'd dig into the company's fundamentals and news flow to make sure there weren't any issues.

In the past 13 years, Joel and I have added a lot more technology to make the process more robust. We've developed powerful tools to analyze corporate credit, earnings calls, and management incentives.

But at its heart, our process is largely the same as the one I learned at Legacy – with one exception...

You see, the team at Legacy wouldn't just run out and add a stock to client portfolios the day we all agreed it looked compelling. Just because we discovered it on a Tuesday didn't mean clients needed to own it that day.

Instead, once everyone agreed we were going to buy a stock, we would do the smartest thing we could...

We'd wait.

Legacy had developed a technical tool with a partner firm. This tool would help us know when the market was starting to recognize what we already knew... that the stock we'd found was mispriced.

When investors start piling into an opportunity like that, what starts as a quiet rumble can end up in skyrocketing gains. And that's what we were always watching for at Legacy.

We didn't just rely on one tool – fundamental research – when it didn't fully fit the situation. Instead, Legacy married it with technical research.

And the firm posted truly impressive numbers. This strategy led to Legacy beating the market for more than a decade.

That's a title few investors can claim. And here's where it gets really exciting...

Joel and I think we've finally found a way to recreate Legacy-like returns...

Since we launched our first product roughly three years ago, subscribers who've followed our advice have taken gains of more than 100% a total of 18 times. We currently have seven open positions that have doubled across our three model portfolios.

But even with these strong results, we're still always trying to improve our approach. We want to use every tool at our disposal to help our subscribers find the best possible investment... every time.

That's why a few months ago, we reached out to our corporate affiliate Chaikin Analytics. We wanted to see what would happen if we combined the power of Uniform Accounting and the Altimeter with the "Power Gauge" – their award-winning stock-picking software.

We're beyond excited about what we found...

After months of work, we believe we've developed the kind of strategy that can work in any market. We're confident that the opportunities we've identified – which we're calling "Perfect Stocks" – are about as close as you can get to "bulletproof" in today's choppy environment.

We believe this is one discovery you truly can't afford to ignore... That's why last night, Joel and Chaikin Analytics founder Marc Chaikin hosted a special "2022 Financial Lifeline" event to spread the word.

If you missed it, there's still time to hear their urgent message for yourself – and learn why they're confident these stocks could help save your portfolio, no matter what the market does next. Plus, they shared two of their favorite stock picks (and two to avoid). For a limited time only, check out the free replay right here.


Rob Spivey
September 23, 2022