Justin’s note: Sometimes, I come across an idea so big, I need to share it immediately.
Today’s guest essay covers an idea we haven’t featured before in the Dispatch… But it’s one that needs to be on everyone’s radar today…
By Nick Rokke, analyst, Palm Beach Daily
“This will be the most important infrastructure buildout of our lifetimes.”
That’s how Jeff Brown started his presentation.
Jeff is the editor of Exponential Tech Investor… and one of the best tech analysts I know.
He’s worked in Asia and Silicon Valley at the executive level for some of the hottest tech companies in the world.
And he’s been featured on CNBC Asia, Channel News Asia (the “CNN of the East”), the Taipei Times, and various other mainstream outlets. He’s also a formal adviser to eight technology start-ups.
His last big idea gave his subscribers a chance to make boatloads of money…
He recommended a gene editing company shortly after it went public in October 2016. He bought shares at $15. Today, they trade at $47… That’s a 213% gain in less than two years.
When Jeff gets excited about an idea in tech, you should, too…
Last month, I attended an exclusive meeting of some of the world’s greatest investing minds at a Miami Beach resort.
Everyone there was waiting for Jeff’s presentation. But we were a bit surprised when he started talking about a major infrastructure project.
We soon found out that the infrastructure he was talking about has nothing to do with crumbling bridges… outdated railways and airports… or a Great Wall along the Mexican border.
In fact, it could be one of the biggest infrastructure projects in U.S. history. Jeff says this project could add $500 billion to GDP growth. Trump’s wall would cost an estimated $12 billion to $70 billion to build (if it ever gets built).
These are the types of money-making opportunities we’re always looking for in the Daily… those you won’t find in the mainstream press.
Today, I’ll tell you about the infrastructure project Jeff is excited about, and a couple of ways you can play it…
The Next Great Infrastructure Project
The major infrastructure project Jeff is bullish on involves 5G (fifth-generation) wireless technology.
If you’re not familiar with wireless tech, it encompasses all devices and equipment that allow you to transmit data over air rather than wires.
The first generation of wireless technology began in the early 1990s with old cell phone handsets. We moved to 2G technology with the advent of text messaging. And we advanced to 3G with the rise of internet browsing on smartphones.
If you own a smartphone today, then you’re probably already familiar with 4G technology. It allows for high-speed streaming and high-quality data downloads (like HD movies).
But with the world moving to the Internet of Things (where nearly every device you can imagine connects to the internet, including cars, home appliances, and electronic devices), 4G technology is reaching its capacity.
That’s where 5G technology comes in. It’s 1,000 times faster than 4G. For example, an HD movie that takes an hour to download with 4G technology will download in seconds with 5G technology.
But here’s the thing…
5G data transmissions run on a different radio spectrum than 4G. So we need an entirely new network infrastructure to transmit data across 5G wireless technology.
That means new cell towers, new routers, and new fiber optics lines…
Before I tell you how to play this trend, let me show you how big the previous 4G buildout was.
A $100 Billion Tailwind
From 2011–2015, the 4G boom added over $100 billion to GDP. The biggest winners were cell tower builders (wireless infrastructure) and chipmakers (semiconductors).
Just take a look at the two charts below (Jeff gave us the permission to share these with our readers). They show how major cell tower and chipmaker companies performed during the 4G buildout…
As you can see, each sector saw a massive move to the upside during the 2011–2015 4G network buildout:
Wireless infrastructure companies increased an average of
Semiconductors (chipmakers) also increased an average of 150%.
But they weren’t the only ones. Other sectors also saw big gains:
Wireless equipment makers increased an average of 200%.
Fiber optics companies increased an average of 112%.
Networking companies increased an average of 40%.
These sectors should see even bigger gains during the next generation buildout…
5G Will Be Five Times Bigger Than 4G
Jeff says the 5G buildout will be five times bigger than the 4G buildout. That will add an estimated $500 billion in GDP growth and create even bigger winners…
The reason is simple: 5G signals travel about half as far as 4G signals. So we need at least twice as many towers to replace 4G towers.
That’s a big tailwind for infrastructure players.
And 5G smartphones are much more complex than 4G smartphones. So they’ll need twice as many components. This will be a boost for chipmakers.
This rising tide will raise the other three sectors as well.
If you’re looking to get in on this huge new trend, consider some of the sectors and companies that made big profits from the 4G buildout.
Nick Rokke, CFA
Analyst, Palm Beach Daily
Justin’s note: As Nick said, Jeff is one of the go-to analysts for spotting the fastest-moving trends in technology. And while 5G will revolutionize communications, Jeff’s also pounding the table on another technology that’s solving a completely different problem.
It’s an experimental technology with the potential to permanently cure thousands of diseases. The best part? Three companies hold all the key patents. Get all the details from Jeff right here.
Today, high praise for Doug Casey and his interview on the demise of nation states…
Your exposé and analysis is spot-on! You are also a person/team of action not willing to merely allow this horrid situation to debilitate your forward movement. You concentrate on making money as the “answer” to an otherwise completely cuckoo environment.
OK. I get it. I, too, seek the most elegant answer to this insane world of upside-down thinking. So, just as I attempt to direct traffic to your site for answers in the financial realm, so, too, do I attempt to connect you with them to connect dots and create an entire solution to the mess we find ourselves embroiled in.
Viva la revolution! We are literally building the Original America once again. In 1886, our Congress was dismissed sine die and then didn’t meet again… until now. We are populating our Counties, States, and National Continental Convention. This is a ground-floor opportunity.
And a couple of readers respond to Monday’s guest essay: US Pot Prohibition—A “Gift to Canada”…
Pot will soon be legal in this country for one reason: It then becomes taxable. And if there is one thing politicians love, it is taxes. Canadian politicians have already jumped on the bandwagon, and American politicians are about to join them.
As an agricultural economist, I have become aware of a number of crops for which the expectations were so high as to attract new producers and pull a number of established producers away from some or all of their mainstay crops. And many of the producers lost their shirts as high production resulted in the bottom dropping out of the market… Hence, the cannabis black market will prevail in the non-regulated environment. Prices are flexible in accordance with the market conditions.
If you have any questions or suggestions for the Dispatch, send them to us right here.
In Case You Missed It…
As soon as July 21, governments around the world plan to send the entire crypto market through the floor. They aim to take control of your wealth and what it’s worth. But there are simple things you can do today to protect yourself… Find out here.