Collusion Report: Will This Industry Benefit from Trump's Policies?

Dear Investor,

The One Road Research Special Counsel Investigation have uncovered collusion and meddling by an influential American industry we’ve named “The Cartel”, which has been impacting nearly every single decision of the US administration for the purposes of securing its position for decades to come.

For the first time, we will be releasing our findings to you, our readers and fellow investors.

Here is what we uncovered:

1. Trade War

In 2018, Trump declared this industry strategic to America’s national security.

The result? Billions of dollars in tariffs slapped on imports, enraging the US’s closest allies and biggest trading partners.

And who are the architects behind this polarizing Trade War?

Director of Trade and Industrial Policy Peter Navarro “indirectly” received $1 million in funding from a member of The Cartel for his anti-China political documentary: “Death by China.”

Secretary of Commerce Wilber Ross got rich selling near bankrupt US companies in The Cartel to foreign bidders. Ross also serve as board member of the Indian-owned ArcelorMittal for many years.

U.S Trade Representative Robert Lighthizer was a lawyer representing members of The Cartel before his stint with the government.

And many more in the administration who have deep connections to The Cartel.

2. Trans-Pacific Partnership

The US withdrawal from the Trans-Pacific Partnership (TPP) came as a shock, echoed around the world.

Everyone thought Trump’s intention was to revive domestic industries and bring jobs back to America.

However, no one in the mainstream media understands that there is a hidden implication behind Trump’s action.

But through our independent analysis, it comes into light that The Cartel is a major benefactor behind this macro event.

3. The Wall

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Trump has been threatening to invoke national emergency to get funding for his Wall.

This is about building a 1,900-mile-wall along the US-Mexico border, isn’t it?

We discover that The Cartel is also behind the US administration’s stance on immigration

Because most of $5 billion in building costs will go into The Cartel’s pockets.

4. Infrastructure

In Feb of 2018, Trump unveiled a new infrastructure plan worth US$1.5 trillion to revive “crumbling” American roads and highways, as well as seaports and airports.

It is estimated that 7 out of 100 miles of roadway nationwide in the US are in poor condition, 9% of bridges nationwide need some repair, and 17% of dams in the country have a high hazard potential — meaning a functional failure would result in the loss of life.

To fix them, it would require a large amount of this commodity, also produced by The Cartel.

Can you guess who The Cartel is by now?

Here are some more hints…

5. Environmental De-regulations

As a legacy industry, The Cartel was targeted heavily by the Environmental Protection Agency (EPA) for greenhouse emission reduction during the Obama administration.

Rising production costs crippled producers’ already thin margins and put The Cartel in an uncompetitive position relative to foreign companies.

This suddenly changed when President Trump was elected in 2016.

Environmental regulations were immediately lifted and men with ties to The Cartel like Scott Pruitt and Andrew Wheeler were elected to head the EPA.

6. Tax Cuts

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While Corporate America was enjoying a boost to their profitability last year, The Cartel sees the most gains from Trump’s tax cuts.

Extreme level of uniformity of CAPEX change among producers following Trump's election.

Extreme level of uniformity of CAPEX change among producers following Trump's election.

Yet as a historically low-margin business, The Cartel’s TTM net margin jumped three-fold thanks to low effective tax rates and tariffs:

Our proprietary commodity investment cycle model, the CIC, has detected unusual uniform level of CAPEX spending across The Cartel since Trump’s inauguration.

This level of exuberant confidence means members of The Cartel are anticipating something big in years to come, hence investment has gone into new production rather than shares buy-back.

So Who Is The Cartel?

There is something big is going on between The Cartel and the U.S. administration.

And if you haven’t uncovered who the Cartel is by now, you’ll have to read our next post.

We’ll be revealing all: Who is The Cartel? What information did we uncover about the US-China trade war that led us on this hunt? And what does the looming Wall and infrastructure investment have to do with any of this?

But most importantly: how to navigate in this new market paradigm as an investor.

Stay tuned and until then…

Peter Pham