 Thank you Hans, and of course the other doctor in the family Guchen who evidently hasn't made it up this morning yet Or at least in the room What's that? She will be outside. Okay. Well, I Certainly want to thank her and I want to thank you for the invitation and Your friendship and hospitality as always Anybody who's been in the conference business knows that this is this is very difficult to pull off and The hoppers make it very very easy or make it look very easy and it's not So We're all very thankful. I don't see her in the room, but I would like it. I think it's been years Coming but I'd like to thank the Lala Guchen's daughter for being behind the scenes Keeping keeping the things moving Also the newest member of management Nick Hoppa has been a A great addition if you haven't met Nick you should and of course the indispensable J only goes by one letter but J has been here for for years and I'm not sure what some of us would have done without him Have it that having being said this is called the the financial newsletter racket This is not a Probably one of the more weightier papers that you will hear about this weekend, but hopefully it'll Jumpstart the Sunday program It is the second series in the racket Series now It's the second iteration of racket so Those of us of a certain age get emails constantly And and just three that I picked out to to begin today's program And again, this was no extensive search But the the first one this portfolio hasn't lost this century Is what's being advertised by one the newsletter Operator out there Second one is these companies are the future of stocks They're my moon shots And of course my favorite is be ready to act when the world stops That's that's the one you really need to to pay attention to is to Get that kind of advice to be ready to act when the world stops now maybe you were around in 2002 to Receive an email from a certain newsletter Company and we will refer to them as the company They had a They had a subject line double your money on May 22nd on this Insider tip the email claimed analysts at the company had come into possession of certain details of Pending approval of a major international agreement That quote will more than or create more than 2.5 billion in profits for one small company Unquote the email identified the issuer as a company that was involved in nuclear energy And would benefit from the arms reduction treaty behind the US and Russia May 14th 2002 this email went out and it maintained investors would quote make a fortune Because the company had a senior executive Inside the company as a source For its inside information the company claimed that the executive was definitely in a position to know the intimate details of disagreement And when it and when it would be approved therefore the email announced that The company was in a position to tell you exactly when all caps The deal will be finalized and announced to the public So the email encouraged recipients to stake their entire investment portfolios on this unnamed company and suggested investors Would be able to double their investment dollars in a single day Finally the email stated The company can even tell you exactly what day to buy Which was May 21st of 2002 and which day to sell which was May 23rd So you buy one day and two days later you would sell there is actually there was absolutely nothing else You had to do according to the email The email did not give the name of the company, but it indicated that was listed on the NYSE and offered to sell the report Including the name of the company to subscribers for the princely sum of $1,000 Five years later The newsletter company paid a $1.5 million fine to the sd CC and by the way The tip did not pan out Now I happened to work for this financial newsletter operator once And I remember the headman Telling us we are not a financial news service That's what the finance there. That's what the Wall Street Journal is for. We're a marketing company Subscribers come to us for actionable ideas The above was an actionable idea that sold over a million dollars in newsletters according to the sec But the headman he's been quoted as saying our company publishes ideas useful ideas Information and opinions that make people more independent financially Physically and Intellectually now this pitching of actionable ideas is started a long time ago In fact in 1862 Mark Twain began writing for the Territorial enterprise in what was then the richest place on earth Virginia City, Nevada and He started as this newspaper reporter making $25 a week Eventually got a raise to $40 a week, but he didn't need his salary We wrote about the mines Speculators would give Twain shares in their mines He would sell the shares and live comfortably off the profits Reporters were given shares on the assumption that they would promote the mines in the newspaper Now that may seem crazy, but to this day Newsletter writers in the junior gold space junior resource space are Frequently given shares and warrants to shares To pump up shares and in their newsletters, so it's a practice that continues Until this very day Now Twain learned very valuable lessons in branding and marketing He learned to the value of promoting a product especially when it was worthless and How to do so persuasively and with cunning Mine owners didn't care what the paper reported provided. They just said something Twain wrote Consequently, we generally said a word or two to the fact that indications were good Or that the ledge was six feet wide or That the rock resembled the Comstock and so it did but as a general Thing the resemblance was not startling enough to knock you down If the rock was moderately promising we followed the custom of the county Using strong adjectives and frothed at the mouth as if a very marvel in silver discoveries had transpired If the mine was a developed one and had no pay or to show and of course it hadn't we praised the tunnel Said that it was one of the most infatuating tunnels in the land Driveled and drawled about the tunnel until we ran out entirely out of ecstasies But never said a word about the rock Twain would squander half a column of adulation on the shaft or a new wire rope or Dressed pine windlass or fascinating force pump and Closed with a burst of admiration of the gentlemanly and efficient superintendent of the mine But never utter a whisper about the rock Mine owners twain wrote were always satisfied Occasionally we patched up and varnished our reputation for discrimination and stern Undeviating accuracy by giving some abandoned claim a blast that ought to have made its dry bones Rattle and then someone would seize it and sell it on the fleeting notoriety Thus confirmed upon it Investment money came rolling in Shares kept pushing skyward even washer women and Servant girls in San Francisco Would pool their money and send agents to buy shares for them now twain during this time amassed a box of stock certificates and In fact he resigned from the territorial enterprise And he moved to San Francisco This reminds me of a Certain newsletter publisher Publisher might have appeared at this conference once I'm not sure But this newsletter publisher has created the eight P's The letter P of Resource stock valuation The first one is people Who are the key players involved in the company? Number two The property now keep in mind 95 to 99 percent of the land owned Or controlled by mining companies will never become mines financing with a pH of course Finding financing at a reasonable price Number four is paper Some companies Will too quickly Dilute existing shareholders by raising money from sweetheart financing That actually should say all mining companies will Dilute their existing shareholders. In fact most mining companies are very inept at mining Minerals they but they are very adept at mining the pockets of shareholders Number five is promotion the fine art of being able to communicate your story To the broad community of investors and analysts Politics research the political climate in a country where your company wants to go mining the fact of the matter is even in The United States it is very risky To mine Not as risky as South America where once you find the material once you start mining the material then The government will quickly or the shareholders can quickly watch the government Take over the mine or nationalize the mine and and lose their investment push Something called push any important development that either adds value to the company or removes a negative And then of course price a deposit may be worthless if the price of an embedded material Or minerals is X not but it may become economic if the embedded mineralization goes to 2x At 3x the project may be worth millions of Dollars But again through these eight P's What is never mentioned is? The word or anything about the rock Now the business plan for the modern financial newsletters first you give away something for free It's an a daily newsletter and many of a certain age of us get these newsletters Sent to us whether we want them or not and The freeze newsletter may gives us something amusing to to read in fact there are At least one attendee at this conference Not necessarily this particular conference, but in years past is has been in this business I was on the free end of The free end of the Newsletter chain But what is always gently upsold is the next layer? Or or next step and that is the the newsletter with some good stuff For eighty nine dollars a year and then once you get the eighty nine dollar a year newsletter They will gently upsell you the subscriber to get the double top-secret information to make sure that you get rich and that goes for Say nine hundred and ninety nine dollars a year Now the managers of these operations constantly Hector writers at all stages to provide actionable ideas The writer doesn't have to be right But he if he or she does happen to be right it will add longevity to the writing career The company doesn't care how well the sub the subscribers do with their investments if they Unsubscribe new writers and new pitches will be set will be found Pitches like double your money on May 22nd with the super insider tip Now besides actionable ideas the other thing that was stressed While I was there is that the writing cannot be too complicated Writers The writers work is run through the flesh concave grade-level test The company wants wanted our writing to be at the sixth grade level and Certainly more than the eighth grade level and if it was at the 11th or 12th grade level That is far too complicated. So for instance any of the material on the desk out in front of this room That is for sale would be considered too complicated And in the case of Stefan Kinsella's book far too heavy Now the way the pay worked is that And using the insider tip case The newsletter would get 10% of say the million dollars that was brought in on a particular idea beyond a meaning of small salary And but the pitch writer Would also get 10% It's the person who comes up with the idea to write Double your money on May 22nd on this super insider tip. Those are the people that are revered in the newsletter industry those are the people the to that Inspire action from subscribers and these are the people who are who are very Held in the highest esteem that companies also hold conferences, of course So subscribers can hear from their newsletter heroes They past symposium recommendations generated enjoy gains as high as a hundred and sixty-seven percent or 458 percent it's always advertised that if you go to one of these conferences, you're going to hear something that you're going to make a lot of money Haline Olin Has authored a book called pound foolish Exposing the dark side at personal finance industry And she interviewed a gentleman by the name of Barry Ritholt's And I've been on at least one panel with Barry But he described the whole Shabang as a place where quote the wealth to unhappiness ratio in simply astounding And she asked Ritholt's why the well-off would attend such conference He replied talk of doom often appeals to intellectuals and others try out who traffic and ideas and of course That may remind us a little bit of yesterday's presentations I've heard it said that optimists get rich while pessimists sound smart and But in fact Olin writes Almost all sellers of doom are excellent marketers In fact, they market every day they send you an email every day that the world is coming to an end The value of your money is going away the government's going to steal your money Then they are relentless and they market you constantly Speaking of doom and gloom some of you may remember Howard Ruff The late Howard Ruff who wrote a book called how to prosper during the coming bad years Now at the time he he was bringing in 90 million dollars a year from newsletters boot camps Precious Mentals company even a board game called life is rough Eventually his subscriptions don't drop to from 175,000 to 3,000 And he would lose his home to foreclosure in the early 2000s So in 2021 the same company I spoke of earlier That had been fined by the SEC this time it and several of its affiliates agreed to pay a two Million dollar fine to settle a federal trade commission charge that they trick seniors into buying newsletters That falsely promised a cure for type 2 diabetes. This is a this also is fertile ground In the newsletter business not just investments people aren't just worried about their money. They're worried about their health so you can always make outrageous claims to them and Sell newsletters that way The offending publication was called the doctors guide to reversing diabetes in 28 days According to the FDC the company falsely marketed The doctors guide as simple and scientifically proven protocol that can permanently Cure type 2 diabetes in 28 days without any changes to diet and exercise. That was a beauty The FDC alleged that the defendants falsely touted that 100% success rate and claim that mainstream treatments were Are ineffective and may even make consumer or consumers diabetes worse Companies marketing materials for the doctors guide deceptively advertised that the disease Which the company claimed was caused by electronic devices Could be cured by a combination of natural products called Himalayan Himalayan silk Epson blue and chromonite And it's complaint the FDC alleged also that the company has second group of Related defendants marketed other publications including a book titled Congress's secret Everything's always a secret a Secret 1.17 trillion dollar giveaway to consumers that falsely promised It would show them how to claim hundreds of thousands of dollars In which they are entitled in congressional checks or Republican checks Consumers who bought these products, however, unfortunately found that they merely Describe an investment strategy Focused on dividend paying stocks, which would require consumers to risk thousands of dollars To obtain the promised amounts Now back to Mark Twain poor mark And of course it's hopefully everybody in the room knows or at least most people know that Mark Twain was a very Famous humorist and probably the one of the prominent men of letters wrote Huckleberry Finn and other other works at least in a ling with English language At one time the Comstock mines Valued at 40 million dollars and then back in the 1860s 40 million dollars was real money but the value that those Of those mines fell to 12 million dollars in 1863 and by the end of 1863 They had fallen to 4 million And during the boom Virginia City, and if you've ever if you ever go there, it's a single street of of saloons and things People selling Quartz rocks and things like that. It's just a little tourist area. It's a single street But at one time it had a population of 25,000 people But most of them left in 1864 and 1865 Twain recalled the trip that the wreck was complete the bubble scarcely left a microscopic moisture behind it My hoarded stocks were not worth the paper. They were printed on I threw them away I The cheerful idiot had squandered money like water and Thought myself beyond the reach of misfortune Had not now $50 when I gathered together My various debts and paid them now I want to end on a positive note the company head and the The head man for the company that I've referred to a couple of times with the FTC and the SEC allegations He's he's still looking He's looking for copywriters And there could be copywriters in this room. Who knows? He says I'm always looking for more copywriters lots more There just aren't enough to write the thousands of letters my company needs written every year and I'm not alone. The whole industry needs more copywriters He even has something and if you if you don't think you have the Secret sauce to to make this happen He has a secret. It's called in direction. He calls it not Straightforwardness or clear writing Nothing like that. He calls it in direction a Copywriting technique that keeps your reader glued to the page by leading him and her seamless seamlessly through a series of Persuasive and compelling ideas So the good news is ladies and gentlemen is that you can buy the secrets to in direction for $29 and you too Can be part of the financial newsletter Racket Thank you