Mike’s note: To make life-changing wealth in the markets, you have to watch what Wall Street does… NOT what it says.
That’s the latest big moneymaking idea from Palm Beach Venture editor Teeka Tiwari.
In his time on Wall Street, Teeka served as Shearson Lehman’s youngest-ever vice president. And in that time, he learned that the everyday investor buying an IPO rarely even comes close to capturing the monster gains
that the venture capital firms do. (What he says about Uber below is mind-blowing…)
That’s because, for decades, the private equity markets weren’t available to everyday folks. But things are different now. The playing field is level. And Teeka believes it’s the #1 way for an investor to achieve true financial freedom. Read on to learn exactly how…
By Teeka Tiwari, editor, Palm Beach Venture
In 1992, at age 27, Michael Dell became the youngest CEO of a company ranked in Fortune magazine’s list of the top 500 corporations.
In the mid-90s, Dell computers reported about $1 million in sales per day. By 2001, the company had become the largest computer maker in the world.
Today, Michael Dell has a net worth of about $31 billion. Forbes ranks him the 25th richest person in the world.
Michael Dell is one of the smartest entrepreneurs on the planet. When he makes moves, you should pay attention. And recently, he made a huge one…
Just last month, Dell’s $16 billion investment firm said it’s shifting focus from public markets to private markets.
Specifically, he’s switching his firm’s focus from buying public stocks to buying pre-IPO (private) stocks.
According to The Wall Street Journal, it represents one of the biggest changes to the firm’s investing strategy in years.
Friends, this is just the beginning of what I believe will be a pre-IPO boom that could create more wealth than the IPO boom of the mid-90s.
I tipped you off to this trend early when in July 2019, I told you it was time to get into private markets. And I’ve been pounding the table since then.
As I predicted in July, we’re now seeing a tidal wave of money ready to come into this space. And billionaires like Michael Dell are lining up to gorge themselves on a feast of pre-IPO profits.
Today, I’ll show you why you need to act now, so you can take part in this budding bonanza of obscene pre-IPO profits…
Plenty of Dry Powder
According to capital market company Preqin, private equity firms are sitting on a record $1.5 trillion in cash. That’s more than double the dry powder they had five years ago.
And they’re ready to burn through it. After we crunched the numbers, it’s easy to see why…
Cambridge Associates found that over the last 20 years, the U.S. Venture Capital – Early Stage Index returned an average of 86.1% per year. In contrast, the S&P 500 Index returned an average of just 6% per year.
That means “private” market investing made almost 15 times the return of “public” market investing over the last two decades.
And the gap is only going to widen…
Research firm McKinsey & Company reports private equity investments have grown sevenfold since 2002… twice as fast as global public equities. And I expect that trend to continue.
You see, private firms don’t need public money anymore… except when they’re ready to dump their shares on ordinary investors.
Take Uber, for example. Insiders got pre-IPO shares for pennies. And when it went public last year with a valuation of $82 billion… they made out like bandits.
Some of them made gains as high as 64,200% on IPO day. Public investors? They haven’t made a dime off Uber yet.
That’s why it’s essential that you get some exposure to private equities today – especially when we’re about to see an IPO boom like no other before…
The Biggest Boom in 25 Years
I recently flew 2,500 miles to attend an exclusive meeting at the home of one of the world’s top venture capitalists (VCs).
And what I discovered is something that you’re not hearing anywhere else.
Right now, VCs are prepping for a mega wave of new companies coming to market. That’s why I believe billionaires like Dell are shifting gears into private markets. They’re getting ready to milk the public again. p>
You see, venture capitalists don’t make big money buying companies after they go public. They make a killing by buying companies before they IPO.
For example, during the 1990s tech boom, Silicon Valley firm Benchmark got pre-IPO shares of eBay for about 11 cents.
On IPO day, eBay hit $47. Retail investors who bought on that day made a 163% gain – a nice haul… But pre-IPO investors saw a 42,630% gain. That’s the difference between turning $1,000 into $2,630 and a life-changing windfall of $427,300.
My contacts tell me VCs are seeing similar opportunities today in the emerging legal cannabis space.
Now, you might be thinking I’m crazy… but I want you to hear me out.
Despite getting clobbered last year, venture capitalists pumped a record $2 billion into cannabis startups in 2019. It’s the most money ever put into the sector by VCs before.
Wall Street would have you think otherwise with its negative headlines. But I’ve learned to watch what Wall Street does.… not what it says.
And Merrill Lynch says legal cannabis will disrupt $2.6 trillion of existing markets. That’s bigger than the global alcohol ($1.3 trillion) and tobacco ($900 billion) markets combined.
So while Main Street is avoiding cannabis out of fear… VCs are loading up. And when the cannabis IPO boom explodes, they’ll be laughing all the way to the bank.
Now, you could consider taking a small stake in one of the beaten-down cannabis exchange-traded funds like ETFMG Alternative Harvest ETF (MJ). They’ll do well when the space turns around.
But I don’t want you to be left with Wall Street’s table scraps.
To truly make windfall gains, you need to invest in private cannabis companies before they go public… like the VCs do.
And for the first time ever, I’ve found a way for you to be in on a pre-IPO deal with a billionaire… before it lists on the Nasdaq in 2020.
This is my No. 1 wealth-building opportunity of the year. And you just need a $250 stake to get in. But you must act soon. Space is limited. And this sweetheart deal (you can get shares for just 50 cents) closes forever at the end of the month.
Let the Game Come to You!
Editor, Palm Beach Daily
P.S. Already, this company is drawing so much interest from heavy hitters… Global corporations are trying to acquire it before it goes public.
In Case You Missed It…
If you want a legitimate shot at financial freedom in 2020…
This should be priority #1 for you: Teeka Tiwari’s “FREEDOM 2020.”
Big T revealed a pre-IPO deal that could turn just $250 into an entire nest egg…
All on a SINGLE day in 2020.
In short: Before you do anything else today…