Why is Shell Drilling the Arctic? View this email in your browser Tesla's insane button, life saving robots, inequality discussion in Davos, Microsoft's holograms and Geordi La Forge's visor becomes reality thanks to e-sight

US Stocks Slightly Down this Week - Why?



Some poorer earning results to big international companies on strengthening US Dollar hurting their exports.

However, I have seen estimates ranging from $900 to $1200 in annual savings per US driver due to cheaper petrol. That means some US households could see 2-3 times that amount in new disposable income this year.



Just to drive home the point, during the start of the Great Recession the government sent a check for $600 to each household to help spur the economy. As you can see this drop in oil prices is nearly double that and will boost the US economy. Tech results are now coming in and look stronger.







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US Equities Also End January Down Slightly, So What?

We have already surmised that the S&P 500 will end this year up 7%.

Looking back over the past 25 years, when the S&P 500 was down 2% or more for the month, 75% of the time it ended higher by years end! The average gain was just under 8% for the year.



The exceptions were the dot com crash and sub-prime crash. So barring a large war or terrorist event, stocks should end up the year up.



Bear Funds at an All Time Low







Best Oil Play in Town?



MLPL is a double leverage ETF which holds oil PIPELINE companies and pays a 12.65% annual dividend which is paid quarterly. The next dividend date is around 13th April.



Annual growth is over 14%.



Why is it such a good hold? They donâ€™t rely on the oil price; they get money from the oil companies who pay them every month.



Ask us to find out more about our USD dividend portfolio.



With Oil at $45, Shell Cuts $15bn from Global Investment





â€¦ but resumes ARCTIC DRILLING in Alaska.



"Shell is taking a massive risk doggedly chasing oil in the Arctic, not just with shareholder value, but with the pristine Arctic environment.



Why are they drilling such a high cost project? The oil group said the project would cost $1bn (Â£660m) whether it proceeded with drilling or not, given the fleet of vessels and other logistics that needed to be kept on standby. They can only drill for 3 or 4 months per year in the arctic.

http://www.bbc.com/news/business-31034870



Shellâ€™s drilling accidents in the arctic â€“ video.

http://www.nrdc.org/energy/shell-arctic-drilling.asp



In an initial test in Puget Sound, WA, Shell's Arctic oil spill containment system is "crushed like a beer can."



In more encouraging news Shell invest $53 million in GlassPoint Solar for enhanced oil recovery.







Whilst this is still polluting, at least it is a step in the right direction. It is not all doom and gloom..

Solar power steam generators can reduce gas consumption and greenhouse gas emissions by 80% each.



Cost-free solar power will drive down price of oil production from fields currently seen as financially unsustainable. This may further boost the production of a fossil fuel like oil.



This means more oil produced and lower prices.



Solar wins again! The solar fund we invest in is up 210% in three years.

http://cleantechnica.com/2014/09/11/shell-invests-solar-power-based-enhanced-oil-recovery-technology/



The 2C global warming target means only a quarter of existing, exploitable fossil fuel reserves are burnable, according to a series of recent analyses. That implies trillions of dollars of oil, gas and coal held by investors could become worthless and that continuing exploration for fossil fuels may be pointless.



BP and Shell are actually making steps in the right direction at leastâ€¦ or is it a sham? The climate resolution requires 75% support from shareholders.

http://shareaction.org/shell-recommends-its-shareholders-support-resolution-climate-change-risk



Sell oil companies and buy solar funds. Do the planet a favour!



Aussie MP: Dump Aussie Utilities Buy Solar

http://reneweconomy.com.au/2015/senior-abbott-mp-concedes-australians-ready-to-leave-the-grid-38525



3% Down is Here - Setting Up the Next Mortgage Crisis?



â€œThis is happening despite Congressâ€™s 2011 mandate that Fannieâ€™s regulator adjust the prices of mortgages and guarantee fees to make sure they reflect the actual risk of lossâ€”that is, to eliminate dangerous and distortive pricing by the two [government state enterprises].â€ Mr. Pinto, former chief credit officer of Fannie Mae (the leading source of liquidity for housing in America) http://goo.gl/8p1yJ2



Then I read this. SUB-PRIME is backâ€¦ but on a small scale. The vultures are in and selling $5bn of mortgages to people who can barely afford it. This pales to the $2tn running up to the financial crisis, but the doors are open again.



Who gets screwed? The low income families who are paying 8% mortgage vs. 3.6% for the middle class.

http://goo.gl/Im0aiW



Fannie Mae - the best under $5 Dollar stock in the worldâ€¦ or the worst?



Fannie's Single-family segment will have a net income margin of 18.2 bps, or approximately $5.3 billion on $2.9 trillion, next year and the multifamily to make $600m.



Here an article argues FNMA is worth TWELVE times todaysâ€™s value!



That is assuming that there isnâ€™t another housing crisis, which could render them virtually worthless. A gamble worth taking? I think so, but donâ€™t bet your house on it.

http://goo.gl/enVdzG http://seekingalpha.com/symbol/FNMA



Super Rich Hide $21 Trillion+ Offshore



http://www.theguardian.com/business/2012/jul/21/offshore-wealth-global-economy-tax-havens



China Slowdown?



China Ocean Shipping (Group) Company (COSCO), one of the major multinational enterprises in the world, is China's largest and the world's leading Group specializing in global shipping.



Their profits are now up nearly 500% in one year.



They returned to profit after 3 years of losses. They just got a loan to buy 53 new ships.



China slowdown? http://goo.gl/3TBKZT



Chinese Yuan Now 5th Most Used Currency in the World





The Chinese Remnimbi (Yuan) has leapfrogged the Aussie and the Loonie (Canadian Dollars). USD 44.64% EUR 28.30% GBP 7.92% YEN 2.69% CNY 2.17% 8. CHF 1.39%

11. THB 0.88%



Full currency list here



Inequality: Davos Discussion



The 85 richest people as wealthy as poorest half of the world.



"Many business leaders now understand that if economic inequality is not reduced, it is a brake on growthâ€™ says Winnie, the head of Oxfam.







The richest 1% of people in the world will own more than 50% of its wealth by 2016. How can we change it?



WPP (Global Advertising) â€“ Martin Sorrell (CEO) â€“ Focus on full employment. Increase investment in infrastructure



Bank of England - Mark Carney â€“ QE from ECB necessary. Inflation in the right places needed. Inflation hurts the poor. Deflation hurts indebted. Capital requirements for banks has increased 10 times since 2008. Higher fines for financial institutions. Financial reform has changed. Focus on taxing tech firms who dodge tax. His job at Goldman Sachs was replaced by technology. The rich are getting that rich as brilliance (e.g. Steve Jobs) is noticed GLOBALLY now.



Economist - Robert Shiller â€“ Disability insurance will reduce inequality for poor. AI and tech is scary. It will take peopleâ€™s jobs.



Oxfam â€“ Winnie Byanyima â€“ Minimum wage must be increased. Proof in Brazil that 50% increase in min wage worked. Abolish lobbying. IP rights can be harmful. Let big Pharma spend that money on medicine! Abolish tax havens. Global tax rules need to be changed.



Christine Laguarde â€“ IMF â€“ Remove $2 tn to oil & gas companies. Put $1 tn in education (particularly for women) + $1 tn to job creation. If Obama can do half what he says than great



Creator of WWW - Tim Berners Lee â€“ 60% of people arenâ€™t on the web. Any increases in online capabilities increases welfare gap.



My ideas â€“ We need to move away from income tax and toward progressive sales tax. But, it needs to be co-ordinated worldwide. No more tax havens. Corporate tax at 20% across the world. A fair and equal worldwide sales tax. No subsidies for polluters. Instead move those subsidies to solar and give tax breaks, so oil companies can shift workers into renewables. Raise minimum wage. Government spending into internet infrastructure, hard infrastructure, increase in spending on science, education and tech. Tax breaks for renewables and robotics (for now). Scrap unemployment income and replace with employment income, where you have to work for your money. Ban lobbying. Shorten IP times, especially on big Pharma. Scrap malpractice suits on doctors. Replace with doctors being suspended or licence revoked. Jail bankers who break the law. More free access to internet and mobile tech in poorer nations.



Sorrell to Laguarde: â€œYou have no proof that the reverse is true, that equality brings prosperity.â€

http://www.theguardian.com/business/2015/jan/23/davos-wpp-martin-sorrell-equality-prosperity



Far-Left Greek Anti-Austerity Wins & Befriend Russia







Russian and Greek alphabets:







This is the first time a party from the left has won in 60 years in Greece.

Question now is bond default or leaving the Eurozone? That is really a question for Germany.



How it is organized will give us clues to the future of the Eurozone.



â€¦ and one week laterâ€¦ U-turn â€“ new Greek PM, Tsipras names new deficit fighting cabinet although is expanding some public sector services.



Greece Begins The Great Pivot Toward Russia. They can renege on their bonds if they find a new funderâ€¦..



http://www.zerohedge.com/news/2015-01-27/greece-begins-great-pivot-toward-russia

Russia was Greece's largest import partner, accounting for around 14% of all imports in 2013!



Russian Finance Minister Anton Siluanov told CNBC that Russia would consider giving financial help to debt-ridden Greece.



State-owned Russian Railways and Gazprom have been eyeing stakes in Greek assets. Russian Railways has held talks with TrainOSE, Greeceâ€™s state-owned passenger and cargo rail operator. In 2013, Gazprom made a â‚¬900 million bid for Greeceâ€™s state gas company DEPA, but backed out of negotiations at the last minute, citing concerns over the companyâ€™s financial stability.

Obamaâ€™s Tax Reform



529 savings plans will now be taxed.



Obama is proposing making college more expensive for an estimated 2 million mostly upper-income families to ease the tuition burden for more than 8.5 million low- and middle-income families.

http://time.com/money/3676300/529-taxes-obama-state-of-the-union/



His tax plan involves raising the capital-gains tax on the highest earners, slapping a new levy on big banks and closing a loophole which allows capital-gains tax to be avoided when the owner of an asset dies.

Closing this loophole ought to be popular, since it benefits only the rich.



IBD ETF Launches



The iBillionaire High Dividend Index (NYSE:IBD), which tracks high dividend stocks owned by a select group of billionaire investors with the greatest cumulative conviction rates. The group includes legendary investors such as Warren Buffett, Ray Dalio, John Paulson, Carl Icahn, and several more. The index is equally weighted and comprised of 50 stocks.



Backtesting shows the iBillionaire High Dividend Index would have returned 140% over the five-year period from 2010 to 2014, including dividend reinvestment.

Its dividend yield is a solid 5.34%



Thailand - Register Your Phone Number or Lose It Forever



http://goo.gl/wSqxQA



The New Life Saving â€œAtlasâ€ Robot







This 6â€™ 2â€ robot may save your life one day.

VIDEO - https://www.youtube.com/watch?v=27HkxMo6qK0



Apple Could Go to $150



After promising earnings report - http://blog.kimblechartingsolutions.com/2015/01/apple-150-upside-target-still-in-play/



Microsoft is Betting Big on Holograms



Microsoft is working with NASA on the holograms. HoloLens, a headset for virtual reality and hologram collaboration.

HoloStudio, a development tool to create applications.

Windows 10 APIs for developers to create holographic apps. VIDEO - https://www.youtube.com/watch?v=qym11JnFQBM



The Voxel8 Electronics 3D Printer



http://goo.gl/WYLdQc



Help Your Blind Friends See



Be My Eyes connects individuals in need of visual assistance with sighted volunteers via a video call.



Watch Blind Woman See Her Own Baby for 1st Time





Watch moment Ottawa firm's high-tech glasses allow legally blind woman to see her newborn son.



The eSight Glasses retail for $15,000.

http://goo.gl/4DCPtu



TELSA â€“ Now Has an â€˜Insane Buttonâ€™



VIDEO - http://mashable.com/2015/01/27/tesla-insane-button/ Share Tweet Forward Share