The key behind 95.83% of The Motley Fool’s 1,000%+ U.S. winners
Now, for new members only, we’re opening the doors to a special project designed to capitalize on this rigorously back-tested trait…
All in an effort to help you position yourself properly ahead of what we consider the next generation of life-changing 1,000%+ winners.
Dear fellow investor,
A study commissioned by Motley Fool co-founder and CEO Tom Gardner managed to isolate a single investment characteristic behind nearly all of the 1,000%+ winners from the first 23 years of The Motley Fool’s U.S.-based services…
Specifically, 95.83% of these “ten baggers” (as we call these monster gainers around the Fool universe) were still small-cap stocks when they were initially recommended to investors like you.
Now, that's pretty amazing...
After all, The Motley Fool’s U.S. services are rather famous across the investing world for their incredible collection of ten-baggers.
In fact, all told, they have made 50 different (and still active!) small-cap recommendations that have climbed 1,000% or more, including:
Salesforce.com back in 2009, already up 3,710% little more than a decade later…
If you would have taken the Fool up on their U.S. recommendation of Nvidia back in 2005, you’d currently be up 8,278%...
And if you go all the way back to the Fool’s U.S. recommendation of Priceline.com (now Booking Holdings) in 2004, you’ll see 9,321 returns!
But if you know anything about The Motley Fool, you know that unlike most investing shops out there, the analyst team at Fool HQ actually likes to continue recommending stocks even as their share price skyrockets.
Which is what allowed lucky Motley Fool U.S. followers to ride the life-changing gains of Netflix not once… not twice… but a whopping six times to the tune of at least 1,500% returns.
Amazingly, as you can see in the chart below, four of those six NFLX recommendations have already handed investors not just 10x… but 100x their money over the years… literally changing entire lives in the process!
(In fact, one U.S. Motley Fool member even wrote in to his service once with a picture of the newly completed pool he’d constructed with his returns from Netflix alone. He’d even engraved “NFLX” into the rock around it!)
Netflix is no one-trick pony though…
Members have seen similarly incredible returns from Motley Fool co-founder David Gardner’s multiple recommendations of robotic surgery company Intuitive Surgical, as you can see below.
Point being – not only do small-cap stocks have far higher growth potential than their mid- and large-cap cousins, but they give you a massive runway to just continue buying more and more shares in cases when the company’s stock price continues to surge upward!
Even more important, Tom's historic study not only confirmed that 95.83% of these ten-bagger recommendations were small-cap stocks when they were initially recommended...
But a more detailed analysis of all of The Motley Fool's U.S. recommendations also revealed that generally speaking, the smaller the stock when it is recommended...
The higher its returns tended to be!
This simple — yet amazing — finding applies beyond The Motley Fool's recommendations, as well...
As a matter of fact, esteemed Wall Street research firm Ibbotson Associates has confirmed that investing solely based on this single factor would have grown wealth at 5X the value of strategies employed by "average" investors.
So it’s probably no coincidence that a full 8 of our 10 current highest-returning recommendations in all of Stock Advisor Canada were also small caps when they were originally picked.
Stocks like Veeva Systems, up 1,043% since we initially recommended it back in April of 2016…
MercadoLibre, which is up 1,800% since we recommended it back in 2014…
The Trade Desk, already up 1,589% since recommending it back in August of 2017…
And of course the biggest winner in Motley Fool Canada history, Shopify. Already up a stunning 5,155% in just 5 years.
When I told Motley Fool co-founder and CEO Tom Gardner how shocked I was by the results from this study, all I could notice was the confident smile that spread across his face.
You see, before Tom Gardner even saw the results I just mentioned, he was already hard at work designing a unique and powerful investing solution...
Because Tom Gardner decided long ago this single investing factor was his greatest secret to achieving higher returns.
And he knows that the next round of 1,000%+ winners are out there RIGHT NOW — hiding in plain sight!
But he’s also well-aware that for every small-cap stock that goes on to be a life-changing winner, there are dozens more that won’t… and even a few that’ll eventually sink to zero.
Which is why it’s so important that, when it comes to small-cap investing, you be 100% confident in your ability to “separate the wheat from the chaff.”
And why it’s so crucial that you put in all the up-front time and effort it takes to really do your due diligence on these seldom-followed, often obscure opportunities.
It’s also why I’m both so proud — and excited — to introduce you to Discovery Canada… and show you how you can put it to work for you starting today!
Discovery Canada is closely modeled after the first-of-its-kind, wildly in-demand Discovery offering that Tom Gardner made available to Motley Fool members in the U.S. just a few years back.
Which is why I wanted to quickly give you a little bit of background on Discovery…
You see, over the years, Tom became convinced that The Motley Fool could offer investors like you a unique solution that would — if designed properly — unlock the secret behind the Fool’s incredible history of picking stocks with life-changing returns in its U.S. services…
So, he and his team went to work on building Discovery with the explicit goal of helping U.S. investors pinpoint the next generation of stocks that have a specific factor that Tom believes can allow them to soar 10X… 20X… even 100x in value…
… While also increasing these investors' exposure to a strategy that's proven to be The Motley Fool's greatest way to build wealth: buying small-cap stocks before they become huge, household names, and holding all the way throughout as they skyrocket upward!
(And even continuing to buy more while they shoot up.)
What’s more, Tom was adamant that Discovery be set up in such a way that investors who made use of it wouldn’t have to spend countless hours doing all the up-front research and due diligence that typically go along with successful small-cap investing.
In other words, he wanted Discovery to be the kind of easy-to-use investment solution where all the “heavy lifting” would be taken care of for you by an incredibly experienced team of veteran investors.
But it really wasn’t until after they launched Discovery — and saw the record-setting response it drew — that Tom and his team truly began to realize just what a powerful and valuable tool they had created.
And, as soon as they did, they immediately began exploring opportunities to bring a similar solution to Foolish investors all over the globe — starting right here with the launch of Discovery Canada!
In just a moment, I’ll give you the full details on everything that awaits you inside Discovery Canada — and show you how you can get your hands on it for just a small fraction of what many investors in the U.S. gladly paid for Discovery.
But before I do, let's get one thing straight...
We're not holding back any of the eye-opening information that Tom Gardner’s mandated review of The Motley Fool’s biggest winners in the U.S. uncovered.
In fact, we're thrilled to be able to reveal all of it to you, in the hopes that it can help you improve your investment results over time.
Keep in mind, this wasn't some hypothetical back-test of companies The Motley Fool’s U.S. analysts and advisors wish they had invested in…
And we’re not talking about some strategy we're hoping to begin using here in Motley Fool Canada…
Instead, this was an intensive study of proven results across The Motley Fool’s first 23 years of offering stock recommendations in the U.S.
And sure, there’s always a chance our competitors, rival investment managers, or any number of other casual onlookers are frantically scribbling down notes trying to get the answer to a simple, yet all-important question:
But the truth is that not only are we not afraid to share the shocking results of this study... but we actually WANT everyone in our Fool Canada community to see this incredible data.
Because that’s just how powerful — not to mention how incredibly profitable — we believe this discovery could prove to be for hardworking individual investors like you.
Plus, to be fair, we’re keenly aware that a focus on buying small-cap stocks is really just the beginning…
And we know that unless it’s coupled with a systematic approach and expert execution from a team of talented and highly experienced small-cap investors (exactly like we’re seeking to deliver in Discovery Canada)…
This strategy likely won’t turn out to be nearly as successful as Tom Gardner’s study has suggested.
So we didn’t feel we were risking much by revealing our incredible findings, which I think actually bears repeating before we go any further…
The results of Tom's study offered conclusive evidence that the No. 1 way investors earned 10X+ returns from The Motley Fool's U.S. services was to buy a select class of under-the-radar stocks…
Namely small-cap (or even micro-cap) stocks — with market values merely a fraction the size of already giant, extremely well-known stocks like an Apple, a Wal-Mart, or a Royal Bank of Canada.
Remember what I said earlier – generally speaking, the smaller the recommendation, the MORE money Motley Fool members in the U.S. ultimately made on it!
The average returns have increased like clockwork... steadily growing as the picks get smaller and smaller.
In fact, the smallest picks produced a staggering average return of 54% above the normal market average.
Time and time again, Tom Gardner and The Motley Fool's best investors have been able to pick out some of the world's most incredible companies before they became household names...
When The Motley Fool U.S. first spotted MercadoLibre in February 2009, it was a tiny e-commerce upstart in a part of the world almost no investors were watching. Since then, its shares have popped 12,864%, and now it's on everyone's radar.
And Netflix was a minor player struggling to step out of Blockbuster's shadow when David Gardner told investors to buy it in October of 2004.
It was a tiny company worth less than a billion dollars back then. Today it's a household name worth over $200 billion, and David’s original call is up 29,594%!
The Motley Fool’s subsequent recommendations of Netflix haven’t done so poorly either, as you can see below:
From Netflix alone, Motley Fool members who followed our U.S. recommendations are up 1,698%... 14,284%... 17,069%… 19,691%… 23,401%... even 29,594%!
Now, I can't quite say you can only find these kinds of returns investing in small-cap stocks…
But as I shared with you earlier, 95.83% of the 1,000%+ winners that The Motley Fool has recommended in its U.S. services over its first 23 years were small-cap stocks when they were originally recommended.
And given how closely we follow both the investment strategies and philosophies that they’ve developed over those 23 years, we can only assume we’ll see similar results over the coming years here in Fool Canada.
Which is why we felt it was so imperative we offer investors like you a small-cap focused solution like Discovery Canada right now — before the next generation of life-changing winners begins to emerge.
It’s also why Tom Gardner asked me to share with you what he calls the three "unfair" (yet 100% legal!) advantages of investing in small-cap stocks.
These "unfair" advantages are the basis of why Tom is convinced small-cap stocks are your best path to reliably finding the next 10X+ winners... and why he thinks buying small-caps is an essential strategy that all serious investors should be taking advantage of if their goal is truly to build life-changing wealth.
"Unfair" Advantage No. 1:
Investing in small stocks has historically made investors 5X the wealth
There's something you need to say to yourself… and for good measure, even repeat it a few times.
Because this next statement could be the difference between the comfortable retirement of your dreams, and needing to work an extra decade or more.
Being content to be an "average" investor buying only "blue chip" stocks has cost people 5x their money over the long term!
I know that sounds like a fantastic amount of money… but it's exactly the conclusion independent researcher Ibbotson Associates came to after studying more than 80 years of U.S. market data.
And as I'll show you below, through the greatest crashes in market history… the greatest booms… and even across several decades and market cycles…
Small-cap investing has always come out as the No. 1 way to build your wealth.
Yes, even in troubled markets!
Let's look at last decade.
Thanks to the Financial Crisis, it was truly a "lost decade" for many investors, where they saw their wealth's purchasing power actually shrink.
(If you know the power of long-term investing, you’re well-aware of how truly rare this is… not to mention how incredibly scary it can be if you’re in that position.)
And sure enough, "average" investors who bought the standard U.S. blue-chip large stocks and indexes loaded with large stocks couldn't even beat inflation.
It might seem hard to believe, but if you do the math (like I did), you’ll find that every $100,000 invested in large stocks at the start of 2001 was worth just $115,000 total a decade later.
However, serious investors who built the foundation of their portfolio around small-cap stocks actually emerged from this decade significantly wealthier.
As you'll see from the chart below, small-cap investors during this disadvantageous time period managed to turn every $100,000 into more than $251,000!
If we go back in time across a full "bull" and "bear" market cycle, the results only get more incredible.
Because across the period 1991-2010, "average" investors with portfolios filled with U.S. large blue-chip stocks did significantly better for themselves.
Across that time, they saw every $100,000 turn into $575,000.
But once again, the truly incredible wealth-building power of focused small-cap investing built significantly more wealth.
Between 1991 and 2010, small-cap stocks turned every $100,000 into $1,257,000!
For most investors, a period as long as 20 years would constitute their "prime savings years..."
So, just think about this simple question…
What would your retirement look like with $1,257,000 instead of $575,000?
How much more security would you feel with almost an extra three quarters of a million dollars to depend on? Would that difference in wealth mean you could retire a decade faster… or possibly even sooner than that?
And if you're already in or approaching retirement, how much more financial freedom and comfort would access to returns like these bring to your golden years?
I think you’ll agree, it would be truly life-changing.
Which is why I think this also bears repeating: Over time, the difference in returns between investing in small-cap stocks and in the large caps that most "average" investors are content with is staggering.
In fact, in the most comprehensive long-term study I've ever seen on small-cap investing (which I told you about just a moment ago), the data proved they built 5X as much wealth!
I think you’ll agree that’s pretty amazing!
And let's face it, at the end of the day, there's a pretty simple reason most of us are trying to become better investors:
To reach our financial goals as quickly as possible — with strategies that will allow us to sleep easy at night.
Of course, over time, stock investing has proved to be the best wealth-building strategy to achieve that goal.
The sheer fact that you’re reading this right now tells me you've seen the return potential of stocks and know just how effective good investing can be at building long-term wealth.
So, I think it’s about time you ask yourself a simple question…
"If I’ve already committed to investing in stocks… why WOULDN’T I buy the best possible type of stocks?"
It might seem like a silly question… but in my experience, it’s one that investors ask themselves far too seldom.
And it often winds up costing them big-time!
Which brings us to…
"Unfair" Advantage No. 2:
You have what Wall Street, Bay Street, and billionaires all want — but can't have!
If you're like me, you're probably a little suspicious at this point, and thinking to yourself:
"Okay, if Wall Street's own data shows small-stock investing is so much more profitable, why aren't THEY taking advantage of it?"
It's a great question, and the answer reveals why small-cap investing has worked so well for decades — and why Tom Gardner expects it to continue outperforming for decades to come.
To answer this question, investors need only study the history of Warren Buffett.
I think it's fair to say Buffett would kill to have the same advantages you have when investing in small stocks.
After all, Buffett has bragged that if he only focused on small-cap investing, he could GUARANTEE 50% returns annually!
(And you know how loathe we financial types are to “guarantee” anything.)
Sure enough, back in the 1980s, when Buffett's Berkshire Hathaway was a much smaller company that was still able to hunt small stocks, his returns crushed the market by up to 50%!
But as you can see, over time Buffett's own "advantage" has plummeted to... being just average.
Did Buffett get any less wise? Lose his edge?
Not likely… in fact, by basically all accounts, Buffett has only become a savvier investor as the years have passed.
So what’s the problem?
Today, Buffett manages over $200 billion in his stock portfolio — the majority of which he needs to constantly be investing in order to generate positive returns year after year…
Meaning he’s got so much money he needs to put to work that investing in relatively tiny companies simply won’t cut it!
Just think: Many times, when Buffett buys even a tiny stake of a large, well-known company, that sliver is often worth many times more than the entire market cap of a small-cap company.
What’s more, if Buffett spends months of his time researching a small stock… buys a couple of hundred thousand shares… and then makes a few million bucks when it soars, it will have hardly any effect on his portfolio's total returns.
In other words, Buffett taking the time to try to make a few million bucks off a small-cap stock is kind of like you or me walking a few blocks out of our way to pick up a single nickel off the street.
Simply put – small-cap stocks are simply not worth Buffett's time anymore.
And if Buffett has this problem, just imagine how seldom the big Wall Street banks think about small stocks…
Because while Buffett may manage billions of dollars, Wall Street’s biggest banks are managing TRILLIONS!
Now, imagine if an investor like you or I bought a small-cap stock that rocketed up 1,000%+ and “only” made us $50,000 or $100,000… it could have an enormous impact on our portfolio’s overall returns.
And potentially even change our lives in the process!
But if we’re being honest, finding these 1,000%+ winners isn’t all that much easier — or more common — than finding a needle in a haystack!
Which is why I believe the final “unfair” advantage I’m about to tell you about is so important…
"Unfair" Advantage No. 3:
The Motley Fool has been building its proven expertise in U.S. small-cap investing for a quarter-century and counting...
Without question, the biggest and most passionate supporter of small-cap stocks around The Motley Fool universe is its co-founder and CEO, Tom Gardner...
And that’s great news for ambitious investors like yo
Because it means that while most analysts on Wall Street and Bay Street are spending all their time tracking the market’s “big fish,” Motley Fool analysts all over the world are smartly focusing on “fishing where others aren’t.”
And that right there provides investors like you with some big opportunities for outsized profits.
Remember, in order to make big money in stocks, the key is to find a company that is worth far more than the market currently says it is…
And while dozens of Wall Street analysts research every last detail of a US$1.6 TRILLION company like Apple...
Tom pays more than 40 analysts across seven countries worldwide to spend a substantial amount of time hunting for stocks that are often completely off Wall Street and Bay Street’s radar.
In fact, many aren't even covered by a single analyst from a big-name financial institution…
Meaning there’s a good chance that Motley Fool analysts may know something exciting about these companies that the market as a whole hasn’t caught onto yet!
What’s more, you can be sure of Tom Gardner's total, ongoing commitment to small caps.
Back in 2003 when he decided to launch his first solo membership product at The Motley Fool, Tom didn't hesitate for a moment before announcing it'd be fully dedicated to small-cap investing.
Tom began calmly picking out tiny, largely unknown companies across industries like the airlines, industrial suppliers, clothing… and yes, even a little technology…
And within just a few short years, the number of 3X, 5X, and 10X winners this U.S. small-stock service (which Tom dubbed Motley Fool Hidden Gems) racked up was nothing short of remarkable:
May 2004: PRA Group, up 315%
June 2004: Buffalo Wild Wings, up 1,013%
July 2004: Buffalo Wild Wings (again!), up 889%
April 2005: LCI Industries (formerly Drew Industries), up 562%
December 2005: Ctrip, up 1,009%
January 2006: Ctrip (again!), up 952%
April 2006: Grupo Aeropuerto del Pacifico, up 435%
April 2006: Ctrip (a triple rec!), up 625%
January 2007: Chipotle, up 684%
May 2008: Under Armour, up 356%
June 2008: TransDigm, up 1,811%
August 2008: Grupo Aeropuerto del Sureste, up 434%
November 2008: Chipotle (again!), up 938%
And I'm sure Tom's track record on that service would have been even more incredible if he didn't have to pass on his advisor duties to lead The Motley Fool through the greatest financial crisis since the Great Depression.
But more on that in a bit, because I need to pass along a warning that Tom Gardner insisted I give to all prospective small-cap investors:
Tom Gardner believes that more than any other kind of stock investing, small-cap stock investing requires a proven system
By now you probably agree that the data is overwhelming – small-cap stocks have been an incredible way, possibly even the single BEST way, for investors to build wealth.
Across time, we've seen that small-cap stocks have been…
The best stocks to earn 1,000%+ returns – Don’t forget, 95.83% of The Motley Fool's ten-baggers started out as small-cap stocks over the first 23 years of its history. What’s more, there's a good chance that huge stocks like Apple may never double from today's $2 trillion market cap… much less grow 10X in value!
The best strategy to build wealth – As data from our U.S. services has proven, if you're into small-cap stocks for the long run, you can build significantly more wealth than you otherwise would with larger stocks.
And I believe investors who leave this invitation today having done more than taking advantage of that information are already on the path to generating better returns in the years to come.
But I must issue one important warning if you’re a Canadian investor thinking about investing in small-cap stocks: While the incredible returns of U.S. small-caps have been proven across decades of time…
There are some 7,000 different stocks listed in The Motley Fool’s global small-cap universe.
And if you're investing in small caps by just "throwing darts at a dartboard" without a very specific strategy around the proven qualities that have led to huge returns…
The majority of small-cap stocks will lose you money, or even go to zero.
Just thinking about investing in this space without a proven system is daunting.
How could you ever possibly hope to sift through your 7,000 available options and identify the exact right restaurant stock from the dozens or hundreds of seemingly identical choices?
Or how could you possibly pick out the exact right company building something as "standard" as kitchen appliances?
Yet, with the right system, Tom Gardner has proven you CAN isolate the kinds of companies capable of 10X, 20X, even 40X returns from these lucrative and (all too often) ignored spaces...
How can that be?
Well, look no further than Tom Gardner's June 24, 2004, buy alert that went up 10x in Tom’s small-cap newsletter Motley Fool Hidden Gems.
Because on that day Tom Gardner sorted through the dozens of tiny restaurants and made a bold call on a largely unknown regional chain named Buffalo Wild Wings.
While this was a completely standard restaurant serving nothing more than hot wings, Tom Gardner saw something no one else at the time was identifying – calling Buffalo Wild Wings a "category-killing brand leader."
Since that call back in 2004, Buffalo Wild Wings has been able to grow more than 10-fold, and investors who plunked down $10,000 on that recommendation saw it soar to $111,300!
But if you're looking for a truly remarkable call…
Look no further than Tom's Oct. 23, 2003, call on American kitchen appliance maker Middleby.
Tom saw something special in this "standard" maker of kitchen appliances and immediately slapped a buy recommendation on the company.
On the day of Tom's recommendation, Middleby traded for a split-adjusted $3.08. Today its shares trade at $136!
Tom's secret? It's an investing system he's worked a lifetime to perfect…
How Tom Gardner has used a special system to pinpoint stocks capable of huge returns BEFORE the masses catch on
The first step in Tom's system is determining the level of upside a small-cap stock has…
If a stock doesn’t already have 10X upside, simply put, it doesn’t fit under the Discovery umbrella.
Of course, just because a stock has high potential upside doesn't guarantee it'll hit it…
But you'd be surprised how many of the world's most "popular" stocks are weighed down by shockingly low upside…
And as I showed earlier, investing in these blue-chip stocks has historically produced dramatically lower returns.
When you think about it, that doesn’t really make a whole lot of sense. Because as we all know, the only reason you can make money in the market in the first place is because you’re taking on an element of risk.
But if you’re taking on the risk anyway, wouldn’t you want to maximize the reward you’re getting for taking on that risk?
Just think about a large-cap stock like Google for a moment. The company runs ads across almost every website on the Internet and is about as dominant as it gets.
But since it's already captured its entire market and has over $180 billion in sales… the more than 40 different (!) Wall Street analysts watching Google are left to guess whether it can create cars that can drive themselves or launch the Internet into space just to double or triple in value!
Or if you're watching Apple, "all" it would have to do to double or triple in value is create an even bigger hit than the iPhone. No pressure!
What did Buffalo Wild Wings have to do to get to 10X…?
When we ran the numbers, its 10X run after Tom's "buy alert" came from capturing just an additional 0.2% (two-tenths of ONE percent!) of the United States dining-out market!
Tom’s system identified Buffalo Wild Wings as having 35X potential upside at the time of his original recommendation.
Will Buffalo Wild Wings one day get to that level? There are obviously no guarantees…
Although I'll tell you that Tom certainly wouldn't bet against it. After all, the stock has already shot up 10x for investors lucky enough to have gotten onboard.
After applying upside potential, Tom carefully studies how "quality" a business is… He wants to know how long this business can last.
This is how Tom separates out the "next Google” — meaning a dominant business on the rise — from "flash in the pan" stocks like Garmin.
Tom then turns his eye to one last critical factor… and it's a big one.
Because this factor is the key in determining whether stocks have what it takes to join a very select club of stocks that can skyrocket 100X or more…
Seventy years ago, what was the key difference between McDonald's and the tens of thousands of other restaurants across America?
It certainly wasn't better burgers…
It was Ray Kroc.
What was the difference between Wal-Mart and the thousands of other Main Street stores it outhustled and outcompeted on its way to dominance of American retail?
And why did Apple turn every $10,000 invested in its IPO into more than $10 million today?
Tom has an advantage shared by almost no other investors on Earth, which is that he's not only evaluating small stocks… but as the CEO of The Motley Fool, he’s also running a nine-figure business!
To get a better sense of how incredibly important this is, just consider Warren Buffet’s now legendary quote:
You see, Tom’s in the unique position of being able to stare a CEO right in the eyes and know if they're working harder to grow your wealth than you ever had to work to get it — simply because he is a successful, longtime CEO!
So you can be certain Tom didn't recommend shares of Middleby because he thought they had any "breakthrough" oven technology.
Simply put, he looked former Middleby CEO Selim Bassoul in the eyes and decided he was exactly the kind of business fanatic who could become a legendary leader.
Prior to his retirement, Bassoul had taken Middleby from a tiny US$40 million microcap to a US$4.1 billion leader today.
I think you’ll agree that’s pretty impressive…
But I think you’ll also agree it’s about time that we stop focusing on past successes from The Motley Fool’s U.S. services… and start focusing on how all of this can help Canadian investors like you to earn some meaningful returns starting today.
Discovery Canada is the ONLY solution we offer in Fool Canada that’s dedicated to Tom's small cap investing system and optimized for the strategy that produced 95.83% of The Motley Fool’s 1,000% winners in the U.S.
And while this exciting offering is closely based on Tom’s original Discovery offering in the U.S., there are a few key differences you should be aware of…
For starters, unlike its predecessor, Discovery Canada is focused solely on leading investors like you to what we believe to be the very best and most compelling small-cap opportunities currently trading on Canadian exchanges.
(Though, as you’ll see in just a moment, if you join Discovery Canada by MIDNIGHT tonight, you’ll be in the unique position of also being able to discover some of Tom and his team’s best U.S. small-cap ideas from the original Discovery U.S. service as well.)
Another way that Discovery Canada is different — and far better suited to Canadian investors like you — is that every single one of the small-cap ideas within Discovery Canada have been picked, researched, and vetted by a team of investors highly experienced in investing in Canadian markets.
This includes everyone from our Canadian-born and bred Chief Investment Advisor, Iain Butler (whom you likely know also serves as the lead advisor of both our Stock Advisor Canada and Hidden Gems Canada services)…
…to U.S.-based investors who have now spent years focused on Canadian markets, like Nate Parmelee — one of the most experienced investors at The Motley Fool…
…and even to me, Taylor Muckerman – Associate GM here at Motley Fool Canada!
If you’ve been part of our Fool Canada community for a while, then you already know you simply couldn’t ask for a team more experienced in the Canadian markets, nor one more dedicated to doing whatever it takes to help you achieve your financial goals.
All in all, I imagine you’re beginning to see why everyone here in Fool Canada is so excited about Discovery Canada -- especially at such a huge discount…
But in order to really get a sense of why we believe Discovery Canada could prove so valuable to you over the coming years, we need to address the “secret weapon” behind the Discovery franchise that really puts it in a league of its own.
Tom Gardner had only ONE "US$1.6 Billion Man" in mind to complete his vision for Discovery — and now this same extraordinary investor has signed on to help with Discovery Canada!
When Tom initially announced he was launching Discovery in the U.S., and that the goal of the service would be selecting only the best opportunities from across The Motley Fool’s 7,000-strong global small-stock universe…
Everyone at The Motley Fool knew there was only one investor Tom would trust to run the product along with him... Bill Mann.
Bill has served as Tom's right-hand man for much of the last decade… co-advising Motley Fool Hidden Gems, their small-cap stock service in the U.S. until 2008, and carefully refining the methodology they first developed there into the powerful system it is today.
Using this exclusive small-cap investing methodology, Bill recommended huge under-the-radar winners such as TransDigm (up 1,811%) and Chipotle (up 683%).
Then, eight years ago, he was selected to lead the largest (and perhaps the most complex) project The Motley Fool has ever undertaken — creating the company's Investment Management arm, Motley Fool Asset Management, LLC.
No one at the Fool was surprised when, in his first year, Bill was named a "2010 Rising Star in the Mutual Fund Industry" by Institutional Investor magazine…
Nor were they shocked when Bill helped grow The Motley Fool’s Investment Management wing to a business that is currently managing more than $1 billion.
But then again, no one was shocked when Bill gladly accepted Tom's offer to come back to The Motley Fool’s newsletter arm three years ago to help lead Discovery on its mission to find the next round of 1,000% stocks.
Because Bill Mann has now been on both sides of the table.
And after seeing firsthand the regulations and red tape that keep even the smallest funds on Wall Street from taking full advantage of small caps…
Well, let’s just say that Bill Mann knew his unique talents were best spent back on your side of the table — advising investors on how your "unfair advantages" can potentially lead to enormous increases in your investing returns.
What’s more, Bill Mann not only added another world-class and proven 10X investor to the Discovery team…
But he also expanded Discovery into two of the most lucrative small-stock investing spaces.
Because Bill Mann is one of the world's foremost investors in microcap and international stocks.
Let's just say, he's the kind of investor who likes diving in and getting his hands dirty… because Bill Mann loves really under-the-radar stocks…
He's no stranger to spotting small-stock opportunities long before they get big.
And Bill will literally fly to the ends of the Earth to find investors like you the most incredible opportunities firms on Wall Street and Bay Street would never touch — simply because they’re too small or too hard to research.
As CIO of Motley Fool Investment Management, Bill visited five continents and 41 different countries, and conducted personal due diligence on more than 400 different companies…
So I’m sure you can understand why everyone in the U.S. was so thrilled to hear that Bill would be joining the Discovery team… and why we were equally as excited when he agreed to step in and help us launch Discovery Canada.
If anything, I think it just goes to show that Tom Gardner truly meant it when he said he wanted Discovery to be completely unlike anything The Motley Fool had ever offered before…
And you should know that Discovery Canada is also quite unlike anything we’ve ever developed here in Fool Canada…
As you’re likely well-aware, most investing solutions — including many of those we offer across our Motley Fool universe — tend to launch with just a handful of stocks for you to buy right off the bat…
Then, going forward, these services tend to add new recommendations in regular intervals — and keep you more or less up-to-date about developments with previous recommendations.
Granted, we think this is a perfectly fine way to run most investment services… but we also believe that it’s simply NOT the best way for investors like you to take advantage of Tom’s unique small-cap investing system…
Remember… while U.S. small-cap stocks have proven to be the best bet for many of our members down south to earn life-changing returns of 1,000%+ or more, actually finding those monsters winners is extremely rare — even for highly experienced and incredibly successful investors like Tom Gardner, Bill Mann, and Iain Butler…
Which is why they believe it’s so crucial that rather than just “picking and choosing” a few small-caps to buy here and there over the course of a few years, you instead commit to build a well-diversified portfolio of at least 25 solid small-cap opportunities…
That way, you won’t have to lose any sleep if one of the small-caps you purchased suddenly hits a snag and its stock sells off — but you’ll still be well-positioned to make some BIG money if one of them suddenly takes off.
It’s also why with both Discovery and now Discovery Canada, Tom Gardner insisted we do something that up until then we’d never done before across The Motley Fool’s quarter-century history…
Namely, offer a real-money portfolio solution — backed by The Motley Fool’s own money!
In all, the Discovery Canada team is releasing the full details on the entire 23-stock portfolio they believe could be the next 1,000%+ winners that investors will be talking about 5… 10… even 25 years from now!
Here are just a few of the Discovery Canada companies you’ll get full write-ups on the second you join…
A fast-emerging Canadian “software as a service” company situated in the exploding healthcare market… boasting double-digit sales growth in 2020 with no sign of stopping…
Today, this company has a market cap just over $800 million and more than $100 million in annual sales. Yet our analysts identify a potential $10 BILLION market opportunity ahead!
The Toronto-based alcohol juggernaut that now accounts for over 20% of all spirit sales across Canada, but also has distribution in the U.S., Europe, and pretty much everywhere else in the world.
What really makes this company intriguing is aside from sales of its own brands, it gets a sizable cut of sales on a massive portfolio of brands like ABSOLUTE vodka, Jameson Irish whisky, Chivas Regal, and Beefeater gin thanks to exclusive marketing and distribution deals other companies can only dream of!
Another Toronto-area-based company with a virtual monopoly on one of the most in-demand sectors of the Canadian economy. In fact, it controls some 90% of its market in Canada and is growing rapidly internationally as well.
Two things our team loves about this company are that: 1) it’s led by its founder, and 2) this gentleman still owns a meaningful stake in the business (over 11% of outstanding shares, to be exact).
What’s more, the company recently inked a “mega deal” that could drastically increase revenues over the coming years.
You should know that while every Discovery Canada recommendation was of course chosen by our Motley Fool Canada analyst team, between Tom Gardner and Bill Mann, every one of these picks have also been personally vetted to ensure that they meet Tom and Bill’s stringent small-cap criteria…
If you find having two legendary small-cap investors like Tom and Bill in your corner to be as compelling of a benefit as we do, then here’s something else you should know…
If you take advantage of our members-only Discovery Canada offer, you'll also get immediate access to five additional U.S. small-cap stock picks from Tom’s original U.S. Discovery launch…
Our “Discovery U.S. Bonus Pack”
[A $150 value – yours FREE when you join today]
These are five stocks that Tom and Bill selected for Discovery…
...which we believe make a perfect complement to the more than 20 Canadian stocks you’ll find in the Discovery Canada portfolio.
I had a chance to read through the research write-ups on these five picks before they released them, and to be perfectly honest I was ready to get invested in all five on the spot!
I'm convinced that you'll feel the exact same way.
Here are just a few of the things I read that really caught my attention:
One of the companies is an ultra-innovative outfit that’s making a small fortune by revolutionizing how you and I go about shopping for one kind of everyday “essential” item.
So much so that it now commands a rapidly emerging market in North America… with sales increasing at an eye-watering double-digit clip.
And with nearly 3.5 million loyal customers already signed up, while the customer base continues to grow by double digits each year, this company looks set to join the greatest success stories of ecommerce from yesteryear...
When you think “database management,” you probably don’t think “radical industry disruptor,” but that’s exactly what this New York-based company is doing.
And in the process, it’s blowing competitors like Oracle and even Google right out of the water… while rewarding investors with 1,000%+ returns since its market debut in 2017!
But our analysts believe there’s much more growth left in the tank.
For most of history, physical security consisted of building a perimeter around the things you sought to defend. And for many years, cybersecurity operated much the same way, with firewalls creating secure “perimeters” around computer networks…
But with the growth of cloud computing, there’s no longer any “perimeter” to defend. And that’s where one innovative startup comes in, serving a growing digital market that’s already worth an estimated US$500 billion.
So no wonder revenue has surged over 50% in recent years, with this year looking even bigger and brighter. Already, some 20% of the Forbes Global 2000 are among this company’s clients!
The fact of the matter is that I wouldn’t be surprised if you also find yourself wanting to buy all five right away.
And the bottom line is that if you truly want to take full advantage of Discovery Canada, as well as Tom Gardner and Bill Mann’s exceptional small-cap stock picking prowess, you’ll want to get your hands on this report right away...
And here’s something else you’ll get free when you join now!
Our “Global Small Cap Bonus Pack”
[A $150 value – yours FREE when you join today]
Wanting to help us diversify our small-cap opportunities even further, Motley Fool Director of Small Cap Research Bill Mann has graciously allowed us to include four international bonus small-cap stock picks from his U.S.-based Global Partners product...
...which cost members a whopping $3,999 to join when it was initially opened just last year.
But you'll receive your copy of this up-to-the-minute report for free when you join Discovery Canada by midnight tonight.
Here’s just a small taste of what you’ll get access to…
A Melbourne-based medical technology company that’s a leader in eHealth solutions, radiology information systems, and picture archiving and communications systems.
Sound like a mouthful? Just know that this innovative company’s revenue recently grew 25% year over year, and that according to their CEO, their technology is roughly two years more advanced than their nearest competitor.
Imagine the most populous and wealthiest country on your continent... yet lacking in a reliable online payments system even as internet penetration moves close to 100%.
Market opportunities don’t come much bigger. It brings to mind fortune makers like MercadoLibre and PayPal… not to mention processors like Mastercard and Visa.
And with revenue growing at a nearly triple-digit rate, you can rest assured you’re capturing a potential 10-bagger in its earliest stages!
All four global small-cap picks will also be delivered directly to your inbox the second you join Discovery Canada.
Remember, ALL 30+ of these small-cap stocks:
Have been hand-picked by longtime Foolish investors with years of small-cap investment experience, including many you’re already probably very familiar with, like Jim Gillies, Nate Parmelee, Iain Butler, and myself (Taylor Muckerman)…
Have been personally vetted by Bill Mann and/or Tom Gardner…
Represent what our Discovery Canada team believe to be your absolute best shots at getting invested in the next generation of 1,000%+ winners — before they go on to become the stuff of legends…
In fact, we’re so confident in these stocks, we've stacked $375,000 of Motley Fool Canada’s own money behind them!
Frankly, I can’t imagine a better time to join Discovery Canada.
After all, The Motley Fool as a whole has now been around for over a quarter-century…
And with a little more than eight years under our belt, Motley Fool Canada has now been around for roughly a third of that.
Not to mention that our initial Discovery Canada launch recently reached its four-year anniversary.
In that time, it's more than TRIPLED the market!
Additionally, I should point out that we’re not only doing this because we believe we can grow that stake by leaps and bounds over time as some of these small-caps turn into three-baggers… five-baggers… and even ten-baggers…
OR because we believe it perfectly aligns our interests with those of our members (which we hope you’ll agree it certainly does!)…
But also because it’s the best way we know of showing you exactly how much of your portfolio we think you should allocate to each of our Discovery Canada selections!
You see, with Discovery Canada, you’ll not only get the names, tickers, and our full research write-ups on all of these ultra-promising small-cap companies… but you’ll also get to see exactly what percentage of our capital we’re putting behind each one…
That way you can exactly match our allocations in your own portfolio — and rest easy knowing your small-cap portfolio is so well-positioned that we’re staking nearly $400,000 of our own money on it!
But I do need to pause here to make one thing clear…
Discovery Canada is in no way meant to replace your entire existing stock portfolio.
Instead, Discovery Canada is designed to be a comprehensive small-cap investing solution that works to help limit your risk AND increase your exposure to what our team of experts have identified as some of the highest-quality small-cap companies.
And it's also designed with the goal of turbocharging your portfolio's returns with the addition of the kinds of incredible 10X stocks we've seen Tom's Discovery system is capable of identifying.
You've seen Tom Gardner’s and Bill Mann’s track records, and you’ve seen how they've had some huge returns from companies in areas like aerospace (TransDigm, up 1,811%), restaurants (Buffalo Wild Wings, up 1,013%), and other "boring" industries, like insurance (LCI Industries, up 561%).
Tom and Bill know firsthand that these kinds of stable, high-quality companies can compound strong cash flow year over year and generate huge returns for shareholders in the process.
But they also know that far too few investors are taking advantage of these kinds of small, overlooked stocks, despite the fact they’ve:
Produced 95.83% of The Motley Fool’s 1,000%+ winners in the U.S during the first 23 years of stock picking…
Also proven to be incredibly profitable in our Fool Canada services – remember, our 10 highest-returning performers throughout Motley Fool Canada were small-caps when we originally picked them…
Outperformed all of The Motley Fool U.S.’s other investing strategies — with the average recommendation beating the market by more than 54%.
Which is precisely why we’ve decided to open Discovery Canada to investors like you, and which brings up an important question…
As a new member of Discovery Canada, what kind of experience should you expect?
To help answer that, just below I've enclosed an exclusive "behind the scenes" peek at just what you can expect after joining Discovery Canada.
But before we get to that, you should know that Tom Gardner wanted each recommendation that was delivered in Discovery Canada to contain some of the most high-quality research Motley Fool Canada has ever produced.
Remember, the majority of the small-cap companies you’ll be introduced to in Discovery Canada aren’t covered by many analysts on Wall Street or Bay Street...
Heck, some of them don't have a single analyst covering them at all!
(Something we consider a positive for us, by the way.)
And while there’s a chance you’ve at least heard of some of these companies, my guess is you almost assuredly won’t know all that much about them…
Which is why we built a special research hub where new Discovery Canada members can quickly and easily access our full research on every single Discovery Canada stock.
On our research hub, you’ll find all of the following and more:
An in-depth research report on each small-cap recommendation:
Each research report was commissioned by Tom Gardner and includes a company overview, potential risks, and a full analysis of each Discovery Canada recommendation's upside potential.
Bill, Tom, Iain, and the entire Discovery Canada team have been working tirelessly to get all these reports finalized…
A custom-built small-cap investing report:
Our team has created a special report to fill you in on virtually everything you need to know about small-cap stocks.
Specific allocation guidance for every stock:
Since Discovery Canada isn't "just" a collection of stock recommendations, but a full portfolio of incredible small-cap stocks that the team believes have ten-bagger potential, every single stock in Discovery Canada comes with specific allocation guidance.
This information helps you pinpoint exactly how much of each stock our team believes you should own.
How to gain IMMEDIATE ACCESS to Discovery Canada…
(Hint: you’ll want to do so ASAP!)
Now that you've gotten your "sneak peek" inside Discovery Canada, I think it’s about time I gave you the full details on how you can start putting it to work for you right away.
But first, here are a few very important things you should know:
We’ll only be offering Discovery Canada for a very limited time. In fact, we’re planning on closing the doors within just a few days’ time.
You see, Discovery Canada is built for only the most serious investors, who are interested in our most high-conviction recommendations from a strategy that's returned 95.83% of The Motley Fool’s 1,000% winners in the U.S.
Tom is obsessed with more of our members seizing the advantages that high-potential upside small-cap stocks offer.
But since any small-stock solution is by nature a limited opportunity (if too many investors join, they can start "popping" share prices)...
Tom wanted only the most committed of investors to have "first crack" at signing up for Discovery Canada.
After all, we want you to get the best possible price on every single one of these stocks.
Of course, as a committed investor who’s taken the time to learn more about Discovery Canada we want you to be among the first investors to get access to everything we’re offering – before much of it disappears at the stroke of midnight tonight.
How much will it cost to put Discovery Canada to work for you starting today?
We’ve set the 1-year price to join us in Discovery Canada and take advantage of access to our fully allocated portfolio – as well as get immediate access to all of the small-cap stocks from the “Discovery U.S. Bonus Pack” and the “Global Small Cap Bonus Pack” I just told you about – at just $1,199.
Is that cheap? No, it’s not…
But I do believe it represents a tremendous bargain.
After all, Tom paying a staff of 40+ different analysts in seven different offices across the world to research small-cap stocks isn't cheap, either.
And considering Discovery Canada is in fact a fully allocated portfolio and not simply a hodgepodge of random stocks, I think you’ll definitely appreciate the quarterly updates, annual rebalances, and, yes, new additions to the portfolio that come with being a long-term member.
Now, I must note that since Discovery Canada is a unique solution designed to give you access to research on a full portfolio of over 30 TSX and NYSE stocks the moment you join... we simply cannot offer refunds on this offer.
You see, we built Discovery Canada for investors who are committed to building forward-looking portfolios with the right strategy.
So if a group of short-term traders was able to gain access to Discovery Canada, they could quickly trade on its recommendations and then cancel without paying their fair share.
They could push up prices of the stocks and do a huge disservice to investors who are committed to this strategy for the long run.
However, all members joining through today's invitation are also covered by The Motley Fool Canada's exclusive satisfaction guarantee!
If for any reason you're not completely satisfied with our Discovery Canada portfolio, asset allocation guidance, and continuing recommendations in the next 30 days...
Then simply contact our helpful customer service team, and they'll happily work with you to provide a credit to one of our other portfolio services.
Even so, if just $1,199 for one year seems unreasonable to get access to the investing system and philosophy that has produced these kinds of returns… then to be honest, this product probably isn't for you.
In fact, there are probably plenty of investors for whom Discovery Canada is not right.
If you're not at the point where your portfolio size can justify the cost of Discovery Canada today: Then this solution is likely not for you. We generally recommended investors have a portfolio of at least $25,000 to take full advantage of Discovery Canada.
If you're expecting to buy only a single stock: Discovery Canada is a full portfolio of our top ten-bagger ideas across the microcap and small-cap space. If you plan to buy only a single stock in hopes it'll shoot up 10X or more, then this product is not for you. Discovery Canada is for committed investors who want to use this proven investing system without introducing unnecessary risks.
That all said, I’ll simply remind you one final time...
All of the following is available through this special offer ONLY!
Our “Discovery U.S. Bonus Pack”: A bonus pack of five U.S. small-cap picks from Motley Fool co-founder and CEO Tom Gardner’s original Discovery U.S. service that started it all when it was launched back in 2017. All five stocks have been heavily vetted by both Tom Gardner and Motley Fool Director of Small-Cap Research, Bill Mann. [A $150 value – included with your Discovery Canada membership!]
Our “Global Small Cap Bonus Pack”: A bonus four-pack of international small caps, every single one of which was heavily vetted and then chosen by Motley Fool Director of Small-Cap Research, Bill Mann. All selected from his elite Global Partners U.S. service, which cost members $3,999 to join. [A $150 value – included with your Discovery Canada membership!]
So, if you’re ready to go ahead and put Discovery Canada to work for you — while you still can — we’ll need to hear from you right away!
We're extremely proud of all the work that's been done to make Discovery Canada the ultimate solution for investors seeking to unearth what could be the next generation of legendary 1,000%+ winners…
And we’d ask that you please simply scroll down to the secure order form below so that you can begin putting it to work for you today!
To finding your first — or next – ten-bagger,
Motley Fool Canada
Returns as of 21/2/2021. Selim Bassoul, former CEO, chairman, and president of Middleby, serves as Chief Innovator at The Motley Fool. David Gardner owns shares of Activision Blizzard, Apple, Booking Holdings, Chipotle Mexican Grill, Intuitive Surgical, MercadoLibre, Middleby, and Netflix. Tom Gardner owns shares of Chipotle Mexican Grill, Intuitive Surgical, Middleby, Netflix, Salesforce.com, Shopify, The Trade Desk, and Under Armour (C Shares). Iain Butler owns shares of Apple and Shopify. Taylor Muckerman owns shares of Chipotle Mexican Grill, MercadoLibre, NVIDIA, Salesforce.com, Shopify, The Trade Desk, and Veeva Systems. The Motley Fool owns shares of Activision Blizzard, Apple, Berkshire Hathaway (B shares), Booking Holdings, Chipotle Mexican Grill, Intuitive Surgical, MercadoLibre, Middleby, Netflix, NVIDIA, Salesforce.com, Shopify, The Trade Desk, TransDigm Group, Under Armour (C Shares), and Veeva Systems. The Motley Fool Canada owns shares of Apple, Chipotle and Shopify.
Discovery Canada includes U.S. stocks. All billing is in CAD. You will be billed according to your choice below and then $1,199 for each year thereafter.
(In general, we recommend the stocks within this service represent around 10%, or even more, of your overall portfolio.)
This product is non-refundable.
Having trouble ordering or have any questions for us? Just send them to [email protected], and we’ll get back to you ASAP!