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Monday, 12/22/2008 8:39:12 AM

Monday, December 22, 2008 8:39:12 AM

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Infrastructure Stocks
What a "Green Recovery" Stimulus Means for You

http://www.greenchipstocks.com/articles/investing-infrastructure-stocks/317

By Nick Hodge
Tuesday, December 9th, 2008

It will be the biggest government infrastructure investment since the interstate highway system was launched in the 1950s.

That's not according to me. That's according to the soon-to-be leader of the Free World. And he has just a bit more inside information than I do.

And though we're both excited about the monumental spending about to flow to infrastructure projects, Barry Obama and I are excited for quite different reasons.

He likes that for every $1 billion the federal government commits to infrastructure investment, 35,000 jobs are created.

I like that every $1 billion the fed spends on infrastructure often ends up on the revenue sheets of publicly traded infrastructure companies.

He likes that the American Association of State Highway and Transportation Officials have identified $64 billion worth of projects ready to start within 180 days.

I like the investor confidence and return to buying that will ensue as the government begins doling out hefty contracts.

He likes that all fifty states have "projects that are shovel ready."

I like the massive market opportunity that implies.

He likes the approach offered by the Center for American Progress, which recommended that the government spend $100 billion on energy efficiency, renewable energy and mass transit to promote what it calls a "green recovery."

I like that, too.

"Green Recovery"... The New New Deal

At some point, we're going to have to draw a line in the sand between what represents "green" infrastructure and what represents plain ol' infrastructure.

With so many of us now reading these pages (Green Chip Review is now over 140,000 strong), we're bound to define green infrastructure in thousands of different ways.

So I'll tell you what I told readers of my Alternative Energy Speculator (AES) the other day, as I gave them early insight into the coming infrastructure boom:

When dealing with water and infrastructure companies, we have to realize that they'll also be partaking in some not-so-green activities.

For some this is a problem. For others, it's no problem at all.

Since the original premise for AES was to also cover 'bridge technologies,' I'm going to continue making these types of recommendations. I won't, however, make a recommendation based exclusively on a company's fossil fuel exposure.

If your green criteria is more stringent than this, you'll have to make a personal decision as to whether or not to invest.

With that out of the way, you need to be aware of the monolithic wealth-building opportunity this presents.

You see, the President-elect has made it very clear that he wants a new stimulus package ready to sign when he takes office early next year.

So Congress has been busy—when they're not dealing with the Big Three—crafting that new piece of legislation.

And though the final total hasn't been decided, congressional leaders have been talking about a program in the range of $500 billion that would focus mostly on new infrastructure projects, or what is likely to become known as the "Green Recovery"—a new name for a new new deal.

A $500 Billion Infrastructure Stimulus & Your Portfolio

Remember what happened when the financial bailout was passed?

There were days when financial institutions, like Citi, AIG, and Barclays, thought to be on the brink of disaster, saw 50% or more increases in their stock value.

If you're like me, you remember sitting on the sidelines wishing you had a piece of that action.

Well, this new infrastructure stimulus is going to create the same investing environment, only on a much grander scale.

That's because the financial institutions were bailed out because they were in dire economic straits.

Not so with the infrastructure stimulus. It is being passed to create jobs and bolster the broader economy, not to bail out companies that made bad decisions.

What's more, the companies that will be receiving the bulk of the $500 billion aren't in bad shape to begin with. So any new spending will certainly drive up stock prices in a big way.

In fact, since talk of this "Green Recovery" began, several of the likely beneficiaries have already started to climb.

Check it out:



As you can see, some of those stocks are up 20%, 30%, and more, just in the last few days.

Imagine what will happen during several months of sustained and heavy green infrastructure spending.

I have dozens more companies like this. Each stands to deliver hefty gains to the savvy investors who place their bets before this event really gets under way.

In fact, I've already positioned the thousands of readers of my Alternative Energy Speculator in a few of them.

But there is much more to come. And I want you to join us.

In the two months leading up to the inauguration, and for several months after, a wave of momentum will be firmly behind infrastructure stocks.

Some of that momentum will stem from the pending $500 billion stimulus. And will continue once that money starts being spent.

The incoming administration is firmly behind a new approach to economic healing. And it's rooted in green technology and infrastructure.

This presents us, as green investors, an unheard-of chance for profit. I want to guide you throughout this opportunity to ensure you maximize the earnings potential.

I'll tell you which companies will benefit, when to buy and sell them, and at what price.

It'll be like shooting fish in a barrel.

The market has been tough, and a lot of money has been lost. But this is an easy chance at redemption, especially for green investors.

Join the Alternative Energy Speculator today, and enjoy all the easy profits the coming infrastructure boom has to offer. You'll even get a copy of the Green Chip team's new book.

Call it like you see it,

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