Smart Money with Keith Springer Saturdays at 1PM and Sundays at 6AM on NewsRadio KFBK 93.1 FM and 1530 AM

MarketWatch – Moves to make with your portfolio right now

June 30, 2010

“Over the next several years we will be gyrating back and forth between the different economic cycles of deflation, inflation, re-flation and stagflation, and each will require an entirely different investment strategy,” said financial author Keith Springer, president of Springer Financial Advisors.

“This is a very dangerous period, and investors must¬†employ a tactical investment approach, as the old- fashioned buy-and-hold — buy-and-hope — approach will again prove disastrous,” he said.

For the time being, Springer is recommending investors adjust their portfolios for deflation, which he says will come courtesy of the aging baby boomer generation. “In this no [or] slow growth environment, income and dividends are critical,” he said.

The best investment opportunities, according to Springer, exist in master limited partnerships, which tend to offer 10%-plus tax-advantaged yields, such as Copano Energy LLC (NASDAQ:CPNO) , a midstream natural gas company, and Linn Energy (NASDAQ:LINE) , an independent energy firm; and in high-yielding stocks, such as Compass Diversified Holdings (NASDAQ:CODI) , which manages a group of small and middle-market businesses and has been called a poor man’s Berkshire Hathaway, and Ship Finance International Limited (NYSE:SFL) , a crude-oil shipping company that could benefit from the oil spill in the Gulf of Mexico.

Springer is also fond of bonds, including one that’s been beaten down because of its role in the Gulf of Mexico oil spill, the Transocean 5.25% coupon, due 2013. Two dozen U.S. senators recently asked Transocean Ltd. (NYSE:RIG) , which owns the world’s largest offshore drilling fleet and operates the Deepwater Horizon drilling rig that exploded on April 20, to postpone making a dividend payment “until the extent of your company’s responsibility” for the oil spill has been evaluated, Dow Jones reported. Springer’s other bond pick is a high yield bond, the First Data Corp. 9.875% coupon, due in 2015.

To view the full article: http://www.keithspringer.com/article134.htm

Springer Financial Advisors ("Advisor") is a federally registered investment adviser located in Sacramento, California. Advisor and its representatives are in compliance with the current filing requirements imposed upon registered investment advisers by the Securities and Exchange Commission and the State of California. Advisor's web site and its emails of general distribution are limited to the dissemination of general information pertaining to its advisory services, together with access to additional investment-related information, publications, and links. Accordingly, the publication of Advisor's web site on the Internet or dissemination of informational emails should not be construed by any consumer and/or prospective client as Advisor's solicitation to effect, or attempt to effect transactions in securities, or the rendering of personalized investment advice for compensation, over the Internet. A copy of Advisor's current written disclosure statement discussing Advisor's business operations, services, and fees is available from Advisor upon written request. You may also obtain publicly available information about Advisor through the SEC website as follows: http://www.adviserinfo.sec.gov/IAPD/Content/Search/iapd_OrgSearch.aspx. Advisor does not make any representations or warranties as to the accuracy, timeliness, suitability, completeness, or relevance of any information prepared by any unaffiliated third party, whether linked to Advisor's web site or incorporated in an email, and takes no responsibility therefore. All such information is believed to be reliable and authoritative but does not constitute sufficient information to be the sole basis for sound investment decisions and all users thereof should be guided accordingly. Past performance may not be indicative of future results. Therefore, no current or prospective client should assume that future performance of any specific investment or investment strategy (including the investments and/or investment strategies recommended or undertaken by Advisor) made reference to directly or indirectly by Advisor in its web site, email, or indirectly via a link to an unaffiliated third party web site, will be profitable or equal the corresponding indicated performance level(s). Different types of investments involve varying degrees of risk, and there can be no assurance that any specific investment will either be suitable or profitable for a client or prospective client's investment portfolio. Certain portions of Advisor's web site (i.e. articles, commentaries, etc.) may contain a discussion of, and/or provide access to, Advisor's (and those of other investment and non-investment professionals) positions and/or recommendations as of a specific prior date. Due to various factors, including changing market conditions, such discussion may no longer be reflective of current position(s) and/or recommendation(s). Moreover, no client or prospective client should assume that any such discussion serves as the receipt of, or a substitute for, personalized advice from Advisor, or from any other investment professional. The information is of a general nature and should not be applied indiscriminately to particular situations wherein it may not be completely applicable. Advisor is neither an attorney nor an accountant, and no portion of the content should be interpreted as legal, accounting or tax advice.