How much money have your clients made on the gaming industry in the past 7 years Patcher? Honest question. I know you can't give us specifics but how about a round about figure?
The following is not directed at you but rather just sharing some insight with gaf.
My old man is a financial analyst to a very large investment firm, who normally had never invested in anything in the field of video gaming. He does a lot of things in finance/investment/insurance that require several licenses like advising hedge funds. My dad and his company were able to make money for his clients off of the massive success of the Wii and DS. Fairly large amounts of money.
From what I can tell he got his clients in around late 2005 and got them out in time to more than quadruple their investments. They were so happy with his company's work, relating to the money they made from Nintendo stock, that they are now actively investing in video gaming and looking for more vg related investments (Social and traditional gaming companies alike).
Rockstar, Vivendi Universal and EA were the only game related companies whose portfolios were even glanced at by his clients before the success of the Wii and DS.
Before Nintendo accomplished what they did, the video game industry was considered to be a black hole for investment by many large investment firms and analyst.
Nintendo was the first traditional gaming company to convince some of these firms that wisely investing in game companies could lead to extraordinary profits because of the market segment they were able to reach.
He spoke with me about counter-trend and counter-market strategies that some analyst employ. He said it was unusual for a financial analyst to share their real projections for future growth or decline, within any given market, with anyone other than their clients, who in turn pay them to keep that information private.
He also talked about unethical tactics that are commonly being used. Some analyst publicly say one thing and privately tell their paying clients another.
Lets say the financial analyst has projected the stock price of a company to greatly increase in value, at a certain point in time, due to a potential merger/acquisition or projected higher profits/return to profitability. An investment firm can increase its potential profits by having market analysts publicly release negative projections about said company. When a negative public perception of said company has declined the stock price enough, they tell the preferred clients the optimal time to buy the company's stock, at a much cheaper price than they possibly could have before, for maximum profits.
Some even tell their paying clients 2 different things.
For Example: Tell preferred clients to buy bad stock at dirt cheap price. Then proceed to tell non-preferred clients to invest in said bad stock in order to artificially inflate the stock price. Finally tell preferred clients to sell toxic stock right at the peak of the artificial inflation. Of course they insure themselves from the financial repercussions of losing their non-preferred clients lots of money.
Both are quite ethically illegal but rarely enforced. Illegal tactics like this have become quite common since 2000 when the financial regulatory system was severely weakened. My dad feels it still hasn't been fixed. The second example was a key reason for the financial crisis from the toxic loans that were made and the derivatives taken out on those loans by preferred clients.
My dad explained to me that any intelligent financial analyst wouldn't pay too much attention to any publicly disclosed market predictions from another analyst who has clients they report to privately.
Regulatory agencies and other official financial channels are good to take into consideration but someone who is privately employed by their clients is not going to divulge important future market analysis publicly or to anyone but those clients, unless they are told to do so. In fact most high profile financial analyst sign an exclusivity agreement to that affect. My dad has had such an agreement with his clients for more than 30 years.
I'm not accusing Patcher of doing anything unethical but the fact still remains that if he reports to his clients privately and they pay him to keep that information exclusive to them, then anything he has to say publicly falls into the category of "read with skepticism" according to my dad. He is very good at his job.
Do you have an exclusivity agreement with your clients Mr. Patcher? Again just an honest question.