An All-American Way to Profit Overseas

Video Transcript

Hi, this is Tony Sagami for Uncommon Wisdom Daily.

These days, it’s just as cheap and easy to invest in many foreign markets as it is to buy American stocks. But for some people, old habits die hard. So if you’re interested in investing overseas but uncomfortable buying shares on foreign exchanges, you can still get exposure to Asia by investing in certain American companies.

Take the casino industry for example. Both Wynn Resorts and Las Vegas Sands are now getting the lion’s share of their revenues from huge mega-casinos they built in Asia. In 2010, 72% of Wynn’s $5.2 billion in revenue came from its properties in Macau. And Las Vegas Sands made 82% of its nearly $10 billion in revenue from Asia.

Another extremely successful American export is fast food. I’ve eaten my fair share of pizza and fried chicken over the years, and now many Asians are catching up, thanks to YUM! Brands, the operator of Pizza Hut and KFC. The company has reported some strong profits recently, and nearly all of those gains were due to increased sales in Asia.

Another American company raking in profits all over the world is Imax. Its latest quarterly numbers beat expectations, largely on the strength of its international operations. Imax now has 583 theaters in 48 countries, and it has sealed deals to build 217 more in China over the next three years.

No matter how you feel about tobacco, you can’t deny that cigarettes are still one of America’s most popular products around the globe, especially in Asia. Philip Morris International recently hit an all-time high after reporting some truly impressive quarterly numbers. Its overall sales were up 9%, but in Asia, revenues surged nearly 26%.

Finally, I have to mention one of the biggest names in the world: Apple. It recently reported an amazing 73% jump in sales year-over-year, and CEO Tim Cook admitted that Apple didn’t bet high enough to meet staggering demand from China.

These are just a few examples, but there are dozens of other American companies that have made Asia one of their top priorities, and are enjoying blockbuster growth as a result. Those investors with the foresight to bet on these names, including subscribers to my Asia Stock Alert service, are raking in the profits.

They’ve seen their holdings in Imax nearly double, and their shares of Apple add $150 apiece just since October! And they’ve enjoyed the 30% plus gain and the 4% dividend they’ve been collecting on Philip Morris International.

Now I’m not telling you to rush out and buy any of these stocks tomorrow. As always, timing is everything, so be sure to wait for my buy signal in Asia Stock Alert. But it should be clear that it’s possible to add a powerful Asian punch to your stock portfolio just by investing in the right American stocks.

I’m Tony Sagami for Uncommon Wisdom Daily. Thanks for watching.

Tony Sagami is the editor of The Asian Century, a trading service designed to help investors profit from the seemingly unstoppable Asian consumption machine. He helps his subscribers tap into this potential through a variety of easy-to-execute strategies on global companies that trade on the U.S. exchanges that also do big business in Asia. For more information on The Asian Century, click here.

Tony is also the editor of International ETF Trader, where he shows members how to make money from trends taking place all over the world in areas like natural resources, gold, oil, commodities, tech, consumer goods and even in individual countries themselves.