3 ways to earn profits in a long bear market
We have seen a bear market for many months in 2023. Bear markets always become bull markets eventually. But they could take some time.
That’s why I would hate for you to miss out on investing profit opportunities thanks to AIM (Automated Investment Management) plus LEAPS (long term options)
You might have heard that some people are predicting the S&P 500 risks seeing dismal returns for the next 10-15 years.
That's according to Bill Smead, a top 2% fund manager who remains one of Wall Street's biggest bears, even in the face of the market's 8% rally in 2024.
That's because stocks look to be in the midst of a speculative bubble. It could set investors up for a "dead ball" era of performance, the Smead Capital Management founder warned in a recent note to clients.
He has a good point because inflation and interest rates could remain stubbornly high. These will also put bear market pressure on our stock market.
Fear not! Here are 3 ways to earn profits in a long bear market that I help people learn thanks to the proven AIM investing method.
Bear market strategy #1: Use Puts not Calls
Bill Smead has a good point about a long term bear market because inflation and interest rates could remain stubbornly high. This is bad if you are using Calls for your options - BUT NOT PUTS!
Any price correction will cause Puts to rapidly go up in value and give you some fast Sells with your stock options!
Watch my video about using AIM with Puts to learn how you can profit even in a down market:
VIDEO: Using Put Options to Make Money with AIM in an Extreme Bear Market
Bear Market Strategy #2: Use Lean AIM
Lean AIM is my latest improvement to the AIM investing method originally developed by Robert Lichello.
Three essential and unique features of Lean AIM are:
- You only place a limit Sell order after your initial buy.
- You make your limit Sell order for a 25% gain.
- You liquidate all of your LEAPS with the limit sell order.
Any bear market correction will cause Puts to rapidly go up in value and give you some fast Sells with Lean AIM! (the average sell happens in about a month!)
Last year with Lean AIM, I filled a notebook with over 300 profitable sells that my clients had during the year - and the average sell time was about a month!
The normal threshold for a sell was at least a 25% gain on their LEAPS. People are taking profits quickly thanks to Lean AIM! And we can do Lean AIM with either PUTS or Calls.
I will use my expertise to give you my suggestions for when to buy a Put or Call with my 20 years of experience!
Another benefit to Lean AIM is that it takes much less money – you could start with as little as $1,000.
If you don't know about Lean AIM, read this article introducing Lean AIM or watch my video explaining Lean AIM:
Bear market strategy #3: Invest for the long term
Bill Smead says that stocks could see near-term losses on par with the dot-com bust and the 2008 crash.
In the short term that is bad for investors. But 10-years later stocks were over 500% higher than at the end of Financial Meltdown which ended in March 2009.
When prices go down, that is actually a great time for smart investors because they know this is the time to BUY.
BUY LOW and SELL HIGH is the formula to earn profits over a lifetime. That is exactly what AIM does for you!
Using AIM with LEAPS is a way to super-charge your investing profits with more leverage and volatility, with no additional risk.
One of my long-term clients recently had great success with his AIM portfolio that I want to tell you about. Mike M. lives in Minnesota. I helped him with his AIM investing with LEAPS for over 5 years.
Last year, in 2023, he had done so well with his AIM portfolio that he was able to pay for a new custom home for his elderly parents to move into!
Mike saw the value of long-term investing with AIM and LEAPS. Now he and his parents are benefitting from the long-term investing approach that he took.
If any of these strategies make sense to you, take advantage of the resources available through my website so you can earn profits through the ups and downs of the market - even when we might be in an extended bear market.
If you want my free resources, get my free ebook that comes with a 3-month trial subscription of my monthly newsletter! You'll get other free bonuses in that trial too!
If you want to become a self-sufficient AIM investor for the rest of your life, take the "leap" into AIM plus LEAPS with my official online course.
Sincerely,
Jeff Weber
DISCLAIMER:
Jeffrey Weber is not an investment adviser and gives only his personal view and opinion, never making any investment advice or recommendation to buy or sell specific securities. Investors in financial assets must do so at their own responsibility and with due caution as they involve a significant degree of risk. Before investing in financial assets, investors should do their own research and consult a professional investment adviser.