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Richard Band

As editor of Profitable Investing, Richard E. Band is the newsletter world's #1 authority on investing for low-risk growth. His flagship Total Return Portfolio has more than quadrupled in value since its inception in 1990, while taking far less risk than the popular stock market index funds.

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Dump Oil Stocks: Don't Risk Your Future

June 6, 2008

By Richard Band, Editor, Profitable Investing

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With gas prices constantly making front-page news, volatility in oil stocks is at an all-time high. To me, that spells unnecessary risk. When it comes to investing your money, I believe that safe profits should come first. My Profitable Investing subscribers know that I'm always on the lookout for companies which are set up to bring in reliable long-term profit setting volatility aside. Why take the risk of investing in an oil stock set for a wild ride when you can instead invest money towards a more reliable natural resource stock that will literally allow profit to flow in with ease? I've got one such stock in mind that I'd love to share with you. Read on to learn more.

Keeping Your Eye on the Future

While wars over oil control, supply and demand rage on, there's one alternative energy play that continues to remain plentiful. In fact, this natural resource covers nothing less than five-sevenths of the Earth's surface, so there's very little chance we'll face a worldwide shortage anytime soon.

So what exactly is this reliable natural resource has already brought my subscribers a reliable profit? Water. It's true; money can be made from something as simple as H20. The trick is simply turning this stable resource into a stable flow of profits. That's where I come in.


With hundreds of thousands of humans finding themselves crowded into relatively small areas, governments and private enterprises are constantly working to improve water supply problems. When it comes down to it, it's often a major engineering challenge to bring water from its source to where people live.

I find myself discovering new companies sprouting up daily that are willing to tackle this supply and demand problem. This is where the opportunity for profit-taking springs up. For investors with a long-range view, this lull in the action is presenting a wonderful opportunity to invest money in a "renewable" industry whose profits will most likely never run dry.

Turn On the Faucet

The most tempting water play I see right now is American Water Works (AWK). Founded in 1886, AWK is the nation's largest investor-owned water and wastewater utility, serving 15.6 million people in 32 states and the Canadian province of Ontario. My Profitable Investing subscribers are already beginning to enjoy over 4% of safe and reliable profits since I first recommended AWK to them in the June issue.

For decades, AWK was a first-class stock market performer. Then, in 2003...