Buying What Is Cheap, Hated and in an Uptrend
You can see that in the chart below which spans the last two-plus years (since its inception) of the price of SCIF. It's fallen from nearly $24-a-share to Friday's closing price of $10.62.
Like the new "wealth effect" that is beginning to blossom in the U.S. India's economy is just getting started. Sjuggerud told me that's partly because it is one of the last great economies in the world where interest rates are still high.
"Once the Indian Central Bank begins to lower interest rates to help accommodate economic growth the smaller-cap, publicly-traded companies will begin to take off," he opined. "Some of the individual companies in the SCIF-ETF are trading at just one or two times earnings. Once India enters a rate cutting 'virtuous cycle' these companies will begin to trade at higher multiples."Jim Cramer and Stephanie Link actively manage a real money portfolio for his charitable trust- enjoy advance notice of every trade, full access to the portfolio, and deep coverage of the latest economic events and market movements. He told his subscribers back in November 2012 the same thing Sjuggerud told me today,"We want to own a basket of smaller companies in India. Our preferred way to do this is to buy SCIF
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