BeaconEquity.com announces the publication of an article outlining Citigroup’s financial situation through government intervention, and whether or not the investment is worth the risk.
Investors can view all of the investment articles for free by visiting: http://www.beaconequity.com/m
In the article the author writes:
“Let's rant on the company first, then we'll discuss the trade. First, my view is the notion that Citi was profitable in January and February of this year is a complete boldface fictional story. There's Hollywood accounting and there's Wall Street's accounting of the major money center banks; both read like a childhood Cinderella stories, or better yet, the plot of Mel Brook's comedy, 'The Producers’.”
By investing small amounts of capital through a range of investments with a small chance of a grand slam return, an investor can increase his return on his overall portfolio.
“As an example: If Citi can survive bankruptcy or nationalization of its assets, the share price might move back into double-digits some day. So risking 1% of your capital for a possible return of a 7-10 bagger (C presently trading at $1.50) might be an acceptable risk/reward play. If the investment goes to zero, 1% of a total portfolio return is shaved off. But if the stock moves back to $15 in the coming years, a total portfolio return is boosted up by 10%.”
To read the entire article visit http://www.beaconequity.com/m
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Source: BeaconEquity.com
Beacon Equity Research
Jeff Bishop, (469)-252-3505
press@beaconequity.com