book builder is yours to keep it yours 30jun13

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June 2013 © Copyright StockTakers Limited, All Rights Reserved. Copying Prohibited. The author does not provide investment advice. In order to use reproduce or convey the material herein,

in any way, written agreement must be obtained from the author or its agent Architypes Inc.

StockTakers Limited is an Alberta corporation providing information on “likeables” equities.

StockTakers Limited encourages your seeking tax law advisor for capital gains tax dispositions.

Defending Your Capital

BookBuilder™ is about Simply Keeping It, Yours - 30 June 2013

Our BookBuilderTM portfolios aim at building the children's education fund so they do not leave school burdened like a borax mule with vitality sapping debt. Build your own deal book. Run your online trading income account with our “likeables” because you need "to save your own bacon."

BookBuilder™ is about Simply Keeping It, Yours. Keeping it yours is your intention when you save. We enable you to build value. Build your own deal book in your online trading account to keep your capital safe and growing in value. Keep your money and obtain a hopeful return, yours.

The calculated Risk Price (SF) is provably the least stock price at which the company is “likeable” determined by “risk aversion”. We want to keep our money and obtain a hopeful return above the rate of inflation; our “likeable” stocks portfolios demonstrate this property.

Holding on to the value of what you have created is fundamental. Ancient wisdom tells us the feast we enjoy today will very possibly move off our table. You build for a hope filled future when you have enough to do what is in your heart and skills to take-on doing for yourself. Cash only has a temporary value that time erodes. Cash is powerful only when it is engaged in the business process of creating more value and adding more wealth. Cash must be invested to hold and grow value.

There is an industry who covets spending your savings for themselves. They do not see your pocket as their restraint, rather their opportunity. Do not loan them your pocket-book on empty promises they never deliver. Avoid these traps laid by financial products that conspire to artfully exploit the small investor. These Artful Dodgers are just skilled pick-pockets in suits paid for with your cash.

BookBuilder™ is your portfolio of just our lowest cost "likeables" our methods identify. Because we can, this is our proprietary information given freely in charity to enable small investors to keep their savings growing into their wealth. Our method is proven in long term portfolios earnings consistently exceed inflation. Grow your savings for children’s tuition, retirement income or nest building. Because you need "to save your own bacon" run your own online trading account.

To successfully invest you need to Know What You Have and only Have What You Know. That defends your capital. That lets your capital grow in value outpacing inflation. Our "likeables" are based in our new fundamentals, the Risk Price (SF) of the company is our known. That is from our new theory of the firm1 arising in law and philosophy of corporations we have proven logically and mathematically consequences, our new fundamentals. BookBuilder™ is another case for proving our point. Our $topLoss setting just makes it simple for the small investor.

"for the value of money is also perishable." Jean-Baptiste Say , 1803

What investors expect of financial products is a way to secure their hard earned savings while growing their wealth. The circularity of ‘investment talk’ is what Alice gets at the Tea Party.

“Take some more tea,” the March Hare said to Alice very earnestly. “I’ve had nothing yet,” Alice replied in an offended tone: “so I ca’n’t take more.” “You mean you ca’n’t take less,” said the Hatter: “it’s very easy to take more than nothing.”

Pretty much, they have taken it all before you arrived. “Alice, meet Dr. Artful Dodger.”

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Conventional investment "fundamentals" are based in price and projected earnings. Fleeting and unreliable measures, expectation, just prideful talk, external values to running the corporation. The entire investment industry chatter is based in such flotsam riding the waves. Price has no mass, and earnings are most often misleading projections just a Punch and Judy puppet-show that can be and often are manipulated in newsy reports. What conventional theory of the firm offers as 'fundamentals' for investment guidance is mostly unchanged since 19342, Graham and Dodd made a nice step, but half-measure. Noise and gossip drive price and earnings.

Our "likeables" are determined by the internal realities of corporation's debt. How the firm manages its debt is at the core of our new theory of the firm. Debt-financing and obligation is the essential issue of corporations’ framework from the inception of their legal structure as 'fictitious persons' under management in the 1830s (under protests of manager agency potent moral hazard).

By law, society assumes risks corporate managers may conspire. Shareholder risk is limited to purchase of the risk a firm’s share value may become zero, where remaining liability reverts by law to society. Those who make float credit trading connections with the firm take responsibility as unsecured creditors where limits of corporate shareholder risk legally ends. How debt structures feed a business idea and are managed is integral to the firms’ success, solvency or ruin. Risk Price is based on debt structures integral to the firm we derive from its balance sheet. We can bore on about corporate philosophy legalities logic and mathematics but those results we obtain are proven consequences of those "likeables" we uniquely identify. Real intelligence investors need3.

The "likeables" are ‘Grail’ portfolio builders investors need. These provide capital safety obtained by AlphaSmart gains while protecting the downside and always remain liquid as cash, only better by growing in value in the long term. That is very different than the rest of the firms with compromised debt structure under management. Those rogues we reasonably call ‘Goats’ just eat your grass, graze your wallet, and leave. We shun likely rude wealth takers, under management.

Our “likeables” investors tend to very strongly like and bid up "likeables" stock price beyond the Risk Price. That behaviour consequence is very likeable, as 2 of 3 tend to gain and continue gaining in price for the long term. That is what investors need to know, both small and large.

BookBuilder™ is another case proving our point with just the "likeables" lowest cost equities which suits the needs of the small investor. By setting the $topLoss on each, the 1 of 3 ‘laggards’ will be cut before they damage capital safety while the rest continue to make substantial gains.

That tendency "likeables" have consistently shown. The capital released from those ‘laggards’ cut should be reinvested in newly emerging "likeables" as become evident with new balance sheet information. By reinvesting cash to capital the portfolio grows in value through the long term while always remaining "as good as cash" being liquid when that time comes as you need it as cash.

Equities trading above our benchmark Risk Price are those investors tend to like. Two of three continue to price rise due investors’ preference. These equities are “likeables.” They are revealed by their rise above Risk Price, the measure that investors must know to defend cash as engaged capital.

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There was volatility in June as institutions, endowments, pension, insurance and banks portfolio managers adjusted their massive holdings on news and gossip, or their need to take cash out to cover their costs, rents4 and salaries. If they have made no gains by their baseless gambling with your money, and if you have not paid in enough in premiums donations and new deposits, they will ensure they serve themselves first, always as they will for good reason that does not help you.

The rumours ping-ponged from misjudging the FED Chairman, as if the media did not read or connect dots, “Quantitative Easing will continue until 6.5% unemployment is obtained.” The gossip bounced $toploss we provided at $7, for LSI Corporation (LSI). This seems a case of marketeers overwrought on its own fugitive tales. LSI bounced right back, in case you did not pay for a $top Loss Sale provision. Our underlying fundamentals of the firm managing its debt structure are the same. But not to worry the NYSE portfolio gained in June anyway to 14.36 %. That is 200xs better in two months than those who held their cash in savings accounts. There will be poor performing months but already this portfolio has the value to stride over many of the ditches others will make as mis-directed by their market newspeak-easy delusions, just tales wagging dogs. They refuse to see the real value of firms for gossips of the market. Expectations they have plenty, just no reasons.

The cash out on $topLoss taken to protect your capital could be used for income, or better, be re-engaged again for obtaining capital gain. We provided an alternative stock from NASDAQ “likeables” database, Sirius XM Radio Inc, SIRI. This will re-engage the cash and leave some cash reserve. We used that position with SIRI for parallel monitor case obtaining capital gains.

We last provided data to expand your portfolio. With a little new savings you have earned and set aside you might have added, JetBlue Airways Corporation, JBLU, which gained modestly through the ructions of the month. For new savings you can add Compuware CPWR to your portfolio.

The TSX was not ebullient in May, continuing negative in June. Nonetheless, the TSX BookBuilderTM made 4.02% gain in value for these two months. That is twice inflation and 9xs the entire year’s interest, many will have earned from their savings accounts eroding their cash value. The $topLoss on Manitok Energy Inc. MEI was triggered (by general market goofiness on Fed news), but it has bounced back. New balance sheet database sees no portfolio position changes are necessary. To add new savings you have Cott (BCB) and CAE which both gained in the month. Risk Price (SF) and $topLoss values have held (that is good, as we prefer to see that in equities we hold).

Cash only has a temporary value that time erodes, cash erosion is not good. Cash is powerful only when it is engaged in the business process of creating more value and adding more wealth. Cash must be invested as capital to hold and grow value. Capital gains are good, risk aversion is good. Our view is risk averse.

In the meantime enjoy our charity in public service providing the BookBuilderTM portfolios, because we can. Use this “likeables” information for the small investor to stand up and save your own bacon. Set the $topLosses and get on with earning from the business you know best.

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BookBuilderTM Portfolios Update List – 30 June 2013

NYSE BookBuilderTM "likeables" Firms Market Price

Symbol SF (Risk Price)

Stop/Loss

Boston Scientific Corp 9.27 BSX $7 $8

Hudson City Bancorp Inc 9.18 HCBK $8 $8

Huntington Bancshares Inc 7.87 HBAN $6 $7

LSI Corp 7.14 LSI $6 $7

Micron Technology Inc 14.33 MU $9 $10

Mitsubishi UFJ Financial Group Inc. If not $topLoss sold

24may 6.21 MTU $7 $5

MGIC Investment Corporation 6.07 MTG $5 $5

Office Depot Inc 3.87 ODP $4 $3

Regions Financial Corp 9.53 RF $6 $8

Sprint Nextel 7.02 S $4 $6

Current Portfolio Value *100 Shares (incl. Dividends)

8061.00

Cashout*100 Shares (to take as income or re-invest) 00.00 New NYSE “Likeables” (to replace $topLoss sold) Buy In*100 Shares (if not buying SIRI) 00.00 Net Cash * 100 (if not buying SIRI) 00.00 Portfolio Value / 30 June 2013 8061.00 /7049.00 Gain 2.0

months 14.36% Mitsubishi UFJ Financial Group Inc. If $topLoss sold

24may 6.00 MTU $7 $5

Sirius XM Radio Inc. (NASDAQ) 3.35 SIRI $1 $3

Cashout*100 Shares (to take as income or re-invest) 600.00 Buy In*100 Shares (buying SIRI) 349.00 Net Cash * 100 (after buying SIRI) 251.00 Portfolio Value / 30 June 2013 8026.00 /7049.00 Gain 2.0

months 13.86%

New NYSE “Likeables” (to replace $topLoss sold) (Pending Need for Change or investing new Savings)

JetBlue Airways Corporation (DJTrans) 6.29 JBLU $6 $6

Compuware Corp 10.34 CPWR $10 $10

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TSX BookBuilder TM "likeables" Firms Market

Price Symbol SF

(Risk Price) Stop/Loss

Algonquin Power & Utilities Corp. 7.25 AQN $6 $7

Canexus Corporation 9.2 CUS $7 $8

Denison Mines Corp. 1.22 DML $1 $1

Enerflex Ltd. 13.5 EFX $12 $12

Manitok Energy Inc 2.95 MEI $1 $2

Maxim Power Corp 2.94 MXG $3 $3

Martinrea International Inc 10.88 MRE $8 $9

Precision Drilling Corporation 8.95 PD $9 $8

Superior Plus Corp. 12.31 SPB $13 $10

Trinidad Drilling Ltd. 7.72 TDG $7 $7

Current Portfolio Value (including dividends) 7744.00 Cashout*100 Shares 00.00 New TSX “Likeables” (to replace $topLoss sold) (Pending Need for Change or investing new Savings) CAE Inc. 10.91 CAE $9 $10

Cott Corporation 8.22 BCB $8 $7

Buy In*100 Shares 00.00 Net Cash * 100 Shares 00.00 Portfolio Value 30 June 2013 (including dividends) 7744.00 7445.00 Gain 2.0

months 4.02 %

Cash must be engaged in the economy in business ideas with valiant balance sheets or it loses value. That is simple fact. For small savings it is needful but arbitrary you feed at the low price end of "likeables" found in the market. Equities that tend to hold their value and gain are better than cash. We like Capital Safety and Liquidity because we have consistently proven that works.

What is essential in your portfolios is that you buy a full complement of at least eight or preferably more equities at any time (preferably in equal blocks of 100 shares for 'collaring options' as exit strategy to maximize gains, often continuing to hold through volatility and earning more gains). Tendency for gain is not the same as pin-the-point on the mule as most encourage or seek. Let others chase the gamblers’ risk/reward model. Good reason knows that rarely works but you can be charitable and buy a lottery ticket that donates support to community sports and arts, like buying a raffle ticket at the Strawberry Social. Our reasons for having any equity in our portfolios are clear, concise and consistent, “likeables” are equities shown valued by market investors, tending to continuing gain, which investors have

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demonstrated determination to buy and hold the stock at prices above the price of risk. “AlphaSmart gains, Capital Safety and Liquidity” works as we have consistently proven.

Know What You Have, and only, Have What You Know. Our view is risk averse. Of course we require 2&20 fees for doing that. Mail us for our help. Hans Goetze, Architypes Inc. [email protected] and StockTakers Limited [email protected]

Head Office

76 Midridge Close SE

Calgary, AB

T2X 1G1

351 Chemin Boulanger

Sutton, PQ

J0E 2K0

450 538-1270

1 E. Goetze, The Modal Geometry of the Firm and Worth of the Trading Connections, 2009

2 B. Graham and D. Dodd, Security Analysis, 1934, and, The Intelligent Investor, 1949

3 http://riskwerk.com/2013/05/18/the-real-intelligent-investor/

4 http://riskwerk.com/2013/05/20/is-the-rent-due/

book builder is yours to keep it yours 30jun13

Economy & Finance