John Burke Ameriprise Financial AMP-N PAST TOP PICK Aug 22, 2016

Gives financial advice to over 10,000 financial advisors. Financial advice stocks have suffered because of new regulations from the Department of Labour, and thinks that is going to help this company to consolidate some of the smaller companies. This is selling over 20% below where it was in 2015. Dividend yield of 3.13%.

He would rather not bet on what the fed would do. He is going all-in on financials. Going from 5% financial to 10% yet the market is 15% financials.

(A Top Pick Aug 22/16. Up 17.2%.) A great stock to talk about as there are a lot of lessons here. It is part insurance and part brokerage. At this time, he would not Sell the stock, but also would not add to his position.

(A Top Pick May 11/16. Up 44%.) Half insurance and half investors advice. He thinks there are better Buys than this one now, because it has had a large run up. If you own, you could continue holding this for the long-term.

(A Top Pick May 11/16. Up 39%.) This provides financial advice and also has a large insurance operation. Keep in mind that the entire insurance sector was really cheap last year, which was the primary reason he got interested. This is now a Hold.

(A Top Pick Aug 22/16. Up 72.36%.) A financial company, but unlike banks, it is not highly levered. It is basically in insurance business, more so they are in the business of providing financial advice for a fee.

AMP pays a decent yield of 1.2%. Analysts expect strong sales and earnings growth over the next few years, its margins are strong and have been improving, and it trades at a reasonable valuation of 12.8X forward earnings. It missed its last couple of earnings results, but its balance sheet has been growing, its free cash flows are strong, and performance has been good. We think it looks decent today.
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