NOT Seen on ABC, CBS, CNBC or FOX Business Channel

“Banned by Napoleon,
Forbidden in England, Attacked
by FBI And Until Recently
Outlawed by the SEC!”

Zeta-Analysis Gives Investors The Chance To Make A MINIMUM of
5-Times Their Money, Routinely, At the Expense of Corporate-
Insiders and Incompetent CEOs

“[This] rewrites the A-Z of value investing.”
-The Financial Times

Dear Reader,

Inside:

How to turn every $1,000 into $23,500 in six months (or less) thanks to the “screw-ups” of AIG, General Motors and Enron. PAGE 4

How to get a jump on Corporate Insiders… BEFORE they pull the ripcord on their “golden parachutes.” PAGE 12

Which publicly traded company will “flop” next? PAGE 17

What kind of strategy could be so profitable… and so dangerous to the ruling class – they’d unite to ban it – for 300 years?

  • In 1733, it was forbidden in England
  • In 19th century France, Napoleon called it, “an enemy of the state.”
  • In the 1970s, the FBI attacked it…
  • In 1995 it was punishable by “caning” in Malaysia…
  • …And until recently, it was outlawed by the Securities and Exchange Commission (SEC).

Today, it’s perfectly legal – yet only 2 out of every 100 investors have given it a try.

The answer? Playing against the market – or “going short.”

Famed investor, Jim Rogers says, “…Even the most raging bull needs to know this valuable technique to master the ever-changing markets.”

But here’s the catch…

Shorting stocks is a risky game.

  • The best possible return is 100% (double-your money) …
  • The worst possible return is losing everything… or worse.
  • And if you have less than $500,000 most brokers will not assist you.

As a result… few have been able to capitalize on the failures… lies… and distortions that have led to this moment: The Bankruptcy Epidemic of 2009, 202 companies and counting…

But recently, my research team made a strange discovery…

…A little-known indicator that predicts corporate distress with 85-90% accuracy, and gives investors the chance to make a MINIMUM of 5-times their money, routinely. (Even with a brokerage account of $5,000 or less!)

Sounds “too good to be legal?”

That’s what I thought…

…Until I stuck my nose in the archives of 68-year-old financial genius, Edward Altman.

Dr. Altman is Director of Research in Credit & Debt Markets at NYU.

He caught our attention when he was hauled before Congress to explain the fate of General Motors and Ford Motor Company to the House Financial Services Committee.

What did Congress want with his financial models?

Hard to say. But my guess is, they were curious… how he was able to see the future in such sharp detail.

Altman told the committee…

“I ran it through my model… [which] predicted that both GM and Ford would be down-graded… in the spring of 2005.”

How could he have known – four years ago – that Ford would slip from $11.18 a share to $1.23… That GM would melt from $29.50 to 93¢?  

That was the
million-dollar question…

If we could figure that out – and apply it to thousands of publicly traded companies – we could come up with a “hit list” of stocks destined to fall over the next few weeks or months.

Through our research, we discovered that Altman’s success with GM and Ford was NOT a fluke…

  • √ Through four decades of rough and tumble markets, the “Zeta” model has been stress tested with a success rate of 85-90%.
  • √ Even better, it was shown to be 100% accurate among a specific sub-group of companies.
  • √ Regardless of the current or expected performance of the economy, THIS strategy works “at any given point in time” – it’s been proven.

I’m not going to lie…

We weren’t the first group to discover Altman’s genius.

Like most financial breakthroughs, his work leaked into Wall Street’s inner circle…

…and into the hands of finance “geeks” (called quants), who discovered it had fantastic profit-generating potential.

To this day, his predictive equation – known as the Zeta-Score – remains very much a secret. (Less than 20 people in the entire USA are using it full-time.)

The Zeta “Code”:
Z’ = 0.717(X1) + 0.847(X2) + 3.107(X3) + 0.420(X4) + 0.998(X5)

 

“You can count on two hands the number of full-time [investors doing this] in America.”

– James Surowiecki,
NY Times Best-Selling Author

After all, if you discovered a “financial leprechaun” that allowed you to build a fortune (in just five or ten minutes a week), would you share it with anyone else?

Probably not…

But I’m in the investment research business. My team’s job is to scope out angles – dig deep – and put them through a vigorous test-drive.

And in this case…

This discovery sent shockwaves
through our organization

Before I tell you why, let me introduce myself.

My name is Erika Nolan. I'm the Executive Director of a boutique investment research firm called The Sovereign Society.

Since 1998, our group has been conducting fiercely independent research – the kind that gets routinely ignored by the mainstream press... and frowned upon by the U.S. government.

For that reason, I ask: Please, keep this letter between you and me…

What I’m about to share has been attacked by the U.S. Congress, and, frankly, we almost didn't publish it. But, in the end, we decided it was too important not to publish.

Why?

Because, if history is a guide, this simple strategy could double your money by New Year’s Day, most likely, or even sooner.

Could (very likely) turn every
$1,000 into $23,500 in 6 months
or less?

It’s happened before…

Remember the mother of all blow-ups, Enron? Back in 2000, it was flying high, above $90 a share.

CEO, Kenneth Lay said, “[the company] is probably in the best shape that it has ever been.”

And The Houston Chronicle called their business, “the hottest [thing] going.”

But beneath the surface, warning bells were ringing. You wouldn’t have known about it by listening to the media – or the CEO.

But Dr. Altman’s “Zeta-Code” gave a clear “Plunge” signal.

1

The result: The stock collapsed from $55 all the way to ZERO.

Incredibly, 15 of 16 Wall Street analysts maintained “strong buy” ratings until the company was de-listed!

But while the corporate brass wheeled and dealed – and their accounting firm madly shred documents, followers of the “Zeta-Code” were able to play AGAINST Enron and double their money – inside 12 weeks.

Again…

More proof can be found by looking at the fall of WorldCom. Not long ago, the telecommunications giant was growing by leaps and bounds.

CEO Bernie Ebbers raved about their future...

But behind the scenes, something was rotten.

As the stock peaked at $60-a-share, the “Zeta-Code” issued a Plunge Alert.

1

Again, CEO Ebbers lied, “Bankruptcy or a credit default is not a concern.”

Five months later, the “blue chip” firm was broke.

Their stock disintegrated… from $50… to $20… then pennies.

Thousands of investors were wiped out. But with the aid of the “Zeta-Code,” a few sharp analysts were able to turn Ebbers’ lies into a giant 2-to-1 payday.

Keep in mind – the bankruptcies of Enron and WorldCom were epic. That kind of score normally occurs once a decade.

But right now, we’re experiencing a “Bankruptcy Epidemic”– with Plunge Alerts triggering at a rate of three or four times PER week.

No one alive has seen anything like this!

“I don’t know any CFO who’d be willing to give you real numbers for what’s on their balance sheet in this environment.”

-D. Fellingood,
Hedge Fund Analyst

In the past 9 months, a whopping 202 companies have gone broke…

It’s better than “shooting fish in a barrel.” In this case, the fish are shooting themselves… and flopping onto your boat.

Could there be another Enron or WorldCom waiting to implode? Yes. But according to our research – it’s better than that.


There are hundreds of MINI-Enrons out there – right now – teetering on
the edge of bankruptcy.

And practically no one knows about it.

In other words, there are hundreds of opportunities to cash in and routinely grow every $100 you invest into as much as $346 or more.

Like my research team says, it’s almost like…

“Every time a CEO lies,
you make money.”

To be frank, I’m tired of the run-around. The culture of corruption… the sleaze… the constant “fudging” of facts and figures.

There’s not much we can do to fight it.

BUT… we can use it to our advantage. Ride their wave of bull$#it on the way up – then play against it on the way down.

And that’s what makes the “Zeta Code” so powerful. I call it “my personal stock market lie detector.” Because it tips me off to a company’s true status – weeks or months before it makes headline news.

Allow me to give you a few more examples…

  • √ GM CEO, Rick Wagoner said, “I know things will turn around.”

    But the “Zeta Code” said, “Wrong!”

    Over the next two years, General Motors stock crashed all the way from $42.64 to 83¢.

  • √ Thornburg Mortage CEO, Larry Goldstone, said, “We will NOT be filing for bankruptcy.”

    But the “Zeta Code” said, “Yes they will.”

    24 months later, their stock was trading for 1¢.

  • √ Nortel Networks CEO, Frank Dunn said, “I think we’ll grow faster than the market.”

    But the “Zeta Code” said, “Fat chance!”

    By spring, their stock had crashed from $31.63 to 7¢.

  • √ Smurfit-Stone Container Corporation said, “The best is yet to come.”

    But the “Zeta Code” said, “Not this decade.”

    Then their stock disintegrated from $12.75 to 14¢.

  • √ Lear Corporation CEO, Roberto Rossiter said, “Our outlook for 2008 is solid, our financial position is strong…”

    But the “Zeta Code” said, “This company is bound to fail.”

    On July 7, 2009, they declared bankruptcy.

  • √ And… Robert Wood, CEO of Chemtura Corp. said, “I remain excited by Chemtura’s future.”

    The “Zeta Code” said, “You want excitement? Short them.”

    Within two years, his stock had sunk from $12 to 72¢.

I could list tens… hundreds more examples of CEOs “Gone Wild.” (In fact, here’s a complete list of bankrupt companies – for 2009 alone.)

But the point is – in each of these cases; the “Zeta-Code” issued a Plunge Alert – despite all their corporate “cheer-leading.”

As these stocks crashed – savvy investors had the chance to make a killing! (Without breaking a single law…)

Of course, not all CEOs are crooked… or incompetent. And no one can predict with 100% accuracy the exact minute a company will fail.

But what we've noticed is, when the "Zeta-Code" triggers; select companies start dropping like flies.

How is this possible?
Good Question…

1st  The “Zeta Code” sifts through thousands of companies – and tells us which ones are “at risk.” Keeps us from wasting time on healthy companies.

2nd    It ranks each of those companies on five key areas:

The most accurate
indicators of
financial distress.

    • Working capital
    • Retained earnings
    • Earnings before interest
    • Market value of equity
    • and Sales figures

3rd    Then… it spits out a rating for each company. With historic 85%-90% accuracy!

These ratings work just like a traffic light:


1



a “Zeta-Code” less than 1.80 MEANS “Red Light”

… STOP buying and START SHORTING

a “Zeta-Code” of 1.80 to 2.70    MEANS “Yellow Light”
CAUTION AHEAD!

a “Zeta-Code” of 2.7 or better MEANS “Green Light”
… LOAD UP on this stock… it’s A MUST-BUY

 

And when you see 1.80 (or less) – pull over – that’s like a flashing siren in the rear-view mirror.

There are three key reasons why this strategy is so powerful…

Zeta Secret #1
“Predicting Which Stock
Will Flop Next”

The “Zeta-Code” pinpoints patterns – highly predictable movements in a company’s balance sheet that are ripe for huge and fast trades.

The Financial Times reports, “[it] rewrites the A-Z of value investing.”

For example…

“Zeta-Code” followers recently spotted a Plunge Pattern in Smurfit-Stone Container Corporation.

1

You could have made money on this pattern in two ways.

One was through a regular stock trade. The other was through an options play.

“It’s interesting and fun to find these companies that you see gaming the system and pulling one over on their investors. It’s fun to point it out. It’s great to say, ‘No. These are the bad guys!'"

-Jim Chanos, Manhattan, NY

Both made big gains, but the options play went up 2,250% in just 11 weeks.

Even better…

  • There was no risk of a “margin call.”
  • Instead of putting up $10,500 – you could get in for $100 (or less).
  • And the gains were 22-times GREATER than a traditional “short stocks” play.

The point is, using the “Zeta-Code,” you can make more money, much FASTER than regular stock trades – even if you have less than $1,000 to invest.

That brings me to my second point…

Zeta Secret #2
“Make Money NO MATTER WHICH Way the Stock Market Goes”

You can also use the “Zeta Code” to make a killing on the long side.

Take the Valassis Communications (VCI) for example…

Last fall, it looked awful. And for good reason – the entire advertising sector was kaput. When they were cut from the S&P MidCap 400 – most people thought they were done for.

1

But we noticed that Valassis wasn’t hurting at all. The market made a huge mistake – leaving the stock extremely undervalued.

You could easily tell from the Zeta-rating – which was getting stronger each quarter.

On March 31, we spotted a “Surge Alert.” Look what happened next…

1

Valassis’ stock took off like a surface-to-air missile, rising from $2 all the way to $16.

Why did this happen? Well…

  • There was no press release
  • The CEO didn’t cure the common cold…
  • Warren Buffet didn’t say, “It’s a must-buy”

 But followers of the “Zeta Code” had a field day…

Turning $5,000 into $40,000 in just 23 weeks.

That’s the power of this research… It can help you spot trends on the long AND short side, weeks or months before other investors react.

Zeta Secret #3
“Get a Jump on Corporate Insiders…
BEFORE They Pull the Rip-Cord”

Every month, privileged “insiders” buy or sell shares ahead of major announcements.
   
Scumbags like:

  • √ Dennis Krautin, officer of a major health insurance company, sold 10,000 shares – just before they announced weak revenues from Medicare…

    …then the stock plunged from $44.55 to $18.77.

  • √ Bank executive, Carla Gayle, dumped $25,000 of company stock, weeks before the announcement of profits crashing 56.8%

    …cutting the share price in half.

  • Ted Vanderbeck, VP of Technology for a popular cable company, cast off 3,190 shares…

      …days before it was reported profits fell 69%.

What average Americans are saying about the SEC

“The rules today are not fair to the small Investor with a buy and hold strategy.”

-Michael Rooter, PhD

“The SEC is ruining our country…”

-Chet Williams

“…Corrupt officials led [to] our demise. I have told the SEC for years this was [going to] happen they did nothing… The SEC has committed treason.”

-Peter Rotelli

“[The SEC is] stealing average Americans’ hard earned wealth by this horrendous illegal thievery…”

-Sara Brein

Is this fair?

Nope. That’s why it’s illegal.

But the SEC is helpless to catch them all.

It’s getting so bad; the government plans to run a Fraud College to train 300 bureaucrats how to “smell a rat.”

The good news is – we don’t have to wait for them to learn.

We can defend ourselves with the “Zeta-Code.”

Using this data-stream, we can forecast major corporate events – weeks or months in advance –with 85-90% success.

In other words… We can gauge any stock’s health (in just a few minutes) and know precisely what the future holds – almost without fail.

 

 

 

 

Is This Once-Banned Investment Strategy Right for You?

There’s only one way to find out… That’s why I’d like to send you a FREE copy of a unique – and invaluable – report. It’s called “The Short Path to Profits: How to Grab 50% to 1,225% on the Next Market Crash.” And it tells you about the best ways to profit from the Bankruptcy Epidemic of 2009-2010.

With the insights contained in this report, you can "sharpen your focus" on one small sector of the stock market and multiply your returns, almost overnight. More important, your portfolio can be fortified… impervious to Wall Street’s changing winds.

Inside, you’ll learn…

  • What sector is due to fall next… and how you can bet against it for pennies on the dollar.

  • How the government’s “Long-only Trap” is robbing millions of Americans’ pension funds and 401(k)s – PLUS what you must know in order to stop the bleeding in 48 hrs or less.

  • Why the “Zeta-Code” can spot stocks that move from $45 to $90 a share in days… on no news!

  • How to profit from the collapse of the next MINI-Enron – without shorting a single stock – or putting any money “on margin.”

All I ask is that you give our newest research service, Credit Crunch Short Report, a risk free trial.

In Credit Crunch Short Report, we focus on flawed companies – with deep cracks in their foundations.

“Conservative investors have been getting rich from [this technique] for decades.”

-Today’s Financial News

Not many people can see these “cracks” on their own... perhaps you can, I don’t know? Nonetheless…

They are difficult to find. You can't pull them from annual reports... or "earnings per share figures."

Each week, we scan our $50,000-per-year database for firms that are hiding losses, fudging their numbers or just plain overleveraged.

When we spot an opportunity – we pounce.

This kind of work takes a special
breed of analyst…

…Which is why we tapped Andrew Packer to head-up our team.

We first spotted him 7 months ago.

He’s the only guy I've ever met who paid his way through college – with the proceeds of a trading account

Crazy, huh?

He didn’t grow up like your average kid. Sure he played with Legos, and raced buddies on his Big Wheel – but – one of his earliest memories was when he was 10…maybe 11 years old… going through his neighbors’ old “coin jug” – and asking permission to swap out silver dimes and quarters.

Before most kids knew their times-tables – he was an investor!

By age 13, he opened his own brokerage account… By age 17, he was padding a ROTH IRA.

This may sound strange but it’s been said that…

  • Tiger Woods had a golf club in his hands at age three…
  • Lance Armstrong was born with genetic abilities that most do not possess…
  • And that most great singers, and performers, start entertaining before they ever attend kindergarten.

My point is…there’s REAL power in knowing what you want to do from an early age – and Andrew’s known for a long time that finance was in his blood.

No wonder – at age 23 – a private equity firm recruited him to analyze millions of dollars worth of assets.

You couldn’t ask for a better education than that: working the front lines… evaluating stocks and balance sheets… with REAL money and REAL risk hanging over your head.

And that’s why we approached Andrew about conducting this “Zeta-Code” research.

“…He is clearly a natural at evaluating companies from the ground-up.”

For the past several months… we’ve left Andrew alone... hooked him up with a Bloomberg Terminal… and told him to “spare no expense” in the pursuit of his latest study – part of which I’ve shared with you today.

[This is] an investment strategy you can use immediately to protect your assets, increase your returns, reduce your risk and achieve more of your financial goals… than you have ever thought possible.”

-Brian Tracy,
author of
Getting Rich Your Own Way

But I must confess... we didn’t expect him to come across something like this – a chance to make a MINIMUM of $3,000 for every $1,000 invested.

That’s why we decided to turn him loose with the full backing of our research team – and hundreds of thousands of dollars worth of data – including Dr. Altman’s “Zeta Code.”

And we’re very excited about the result…

Credit Crunch Short Report is different from anything we’ve ever offered.


Honestly, it's not for
most people…

It’s not easy to go “against the herd.”

Like famed investor, Jim Chanos says,

“You don’t have that steady drum-beat of support behind you… You have a steady drum beat on your head… Wall Street and the news and ten thousand public-relations departments are going to [say you’re an] idiot.”

For that reason... I urge you to be honest with yourself...

1If you are not comfortable going against “popular opinion” – please do not respond to this letter. You might feel out of place here.

Credit Crunch Short Report is geared toward sensible, contrarian individuals who want to make serious money…

…Folks who have already achieved a good deal of investment success and are ready to pounce on the most lucrative trading opportunities – short or long.

If you meet these qualifications AND you're willing to try a strategy that has been so effective it’s been banned by world governments for the past 300 years… then I'd love to welcome you to our inner-circle – for a risk-free preview.

Okay, How Much Does it Cost?

"The Winnings Pay My Taxes and Living Expenses”

“So far this year, I've made money on nine positions, and lost money on two.”

-Rudy Wiggington

“I have personally used this strategy and made a profit consistently every year since mid 2004.”

–Phillip Tannen

“My winnings are paying the estimated taxes on all my accounts as well as my living expenses.”

–Max Wesson

“This is the most fun you can have indoors… with your clothes on.”

–Barbara Harris

 When we launch this service to the public, one full year of Credit Crunch Short Report will cost $1,997. I know that's not cheap – but there are two important reasons for that:

  • 1. This is the most highly specialized service we have ever offered. To get this kind of edge – we need to pay up for a rare type of data, 9 out of 10 investors simply can’t afford. It’s the only way we can help you achieve the type of EDGE illustrated in this letter.
     
  • 2. We’ll be focusing primarily on “put options” which may be scarce from time to time. Unlike shares of stock – there aren’t millions of them to go around.

For this reason…we must limit the number of charter members to the equivalent of 15-20 people per state.

If Credit Crunch Short Report sounds like something you'd like to try… I urge you to reply soon. Because for the next few weeks we're making a very unusual offer...

Get access to the “Zeta-Code”…
Plus 7 MONTHS of Credit
Crunch Short Report
...
FREE of Charge!

According to CNN/Money, “insiders are selling like there’s no tomorrow.”

Over the next 3 to 6 months, our research indicates hundreds of well-known stocks will fall… 20%, 30%, even 40%. No sector will be spared!

We've never seen a better opportunity to use the “Zeta-Code”...

DISCLAIMER…
(Please Read)

The strategies used in Credit Crunch Short Report fly in the face of conventional wisdom. So yes, it requires a leap of faith to take that first step and request a RISK-FREE 60-day trial.

Some Work Involved…

This is NOT a “magic pill”. Those who fail to take 15 minutes to read our FREE report, “The Short Path to Profits: How to Grab 50% to 1,225% on the Next Market Crash,” or fail to act on specific, step-by-step instructions, are not likely to be successful.

What’s This Knowledge Worth?

Credit Crunch Short Report is expensive in terms of money but it is quite reasonable in terms of time investment.

The truth is, 90% of people fail to better themselves because they don’t “have time” to try anything new. As a result, they lose control of their wealth to Wall Street –and only profit when the stock market is RISING.

The 10-15 minutes per week it takes to read the Credit Crunch Short Report is quite manageable for the 90% of investors who lack the time or discipline to conduct their own financial research.

I can’t tell YOU how much this knowledge is worth. All I know is that “ignorance” is vastly more expensive.

And that's why, until Thursday, October 13th, we're offering you SEVEN (7) months of Credit Crunch Short Report essentially free of charge.

You can get one full year for just $849 (a savings of $1,148).

Fair warning...

Once we've filled our allotment of charter subscribers, that’s it... The price will go right back to $1,997.

So if this opportunity appeals to you,

Here’s How To
Get Started…

  1. Reply to this letter by clicking "Try Credit Crunch Short Report" at the bottom of the screen... or call toll-free, 1-866-584-4096.
  2. Within minutes, I'll be in touch with you... with a letter that shows how to download a copy of “The Short Path to Profits: How to Grab 50% to 1,225% on the Next Market Crash.”

    PLUS our Easy Options Guide – designed to safely get you up and running – from scratch – in 10 minutes or less. (Even if you’ve never traded options before!)
  3. You'll also get password-protected access to Andrew’s private website, along with his Credit Crunch Short Report portfolio, complete archive and library of research reports.
  4. Most important – you'll get a FULL 60 day window to try out Credit Crunch Short Report, risk-FREE!

Each Tuesday, you’ll receive an alert, direct from Andrew. He’ll give you the details on his weekly recommendation… what to buy… and when to pull the trigger.

If you consistently follow Andrew’s advice… I believe you’ll make more money in the next six months than you’ve made in the past six years.

And one more thing…

Our Double,
100% Money-Back,
AND
“No Government-Meddling”
Guarantee

Guarantee #1: If at any time during your first TWO MONTHS – you decide that Credit Crunch Short Report is not for you – for any reason – just call us and we’ll immediately issue a full refund. No questions asked. Keep everything you’ve received, with our thanks for giving it a try.

Guarantee #2: Look, this tactic has been banned in the past – from 19th century France to the FBI and (most recently) the SEC. No one knows if and when they’ll ban it again. However, if the US government decides to step in and block our strategy entirely… we will refund the balance of your subscription, immediately upon request. No questions asked…

That’s only fair, right?

You see, not once have I been accused of being a fraud, a cheat or of taking someone’s money.

Just as important – I want you to be able to try this strategy for yourself without worrying about what the Feds will do next!

With 3-5 companies going bankrupt every week – it should be obvious – you could easily recover your investment in one or two opportunities you would not have otherwise known about.

But this is not about breaking even.

It’s about capitalizing on the biggest bankruptcy epidemic in 78 years – while other investors remain paralyzed.

The choice is yours:

Remember, when you respond by October 13th, you can become a charter member for just $849. To ensure you don't miss out on this $1,148 savings, reply in the next 24 hours.

Try Credit Crunch Short Report, Risk-Free and Save $1,148

In Wealth & Prosperity,
Erika Nolan
Erika Nolan,
Publisher, Credit Crunch Short Report
September 2009

P.S. I’m going to be square with you… Currently, we’re watching 3 different firms – on the brink of bankruptcy. If our models are correct – as they’ve been throughout this letter – you could make a minimum of three times your money in as little as six weeks.

P.P.S. This is not about “getting rich quick.” Or scamming the system. Or swiping anyone’s rightful money. We earn every dollar we make – whether it takes 5 minutes… 10 minutes or 30 minutes a month using a specific and (now) legal strategy to capitalize on the largest bankruptcy epidemic since 1931.

Try Credit Crunch Short Report, Risk-Free and Save $1,148