This is the worst Internet password you can choose...

When I'll buy stocks again...

Porter says stock prices are going to fall... And at certain prices, he'll once again be a buyer.

He explains why he thinks prices will fall and where he'd like to buy in today's Digest Premium.

To read more, scroll down or click here.

Stansberry & Associates Top 10 Open Recommendations
(Top 10 highest-returning open positions across all S&A portfolios)

As of 12/19/2013

Please note: Securities appearing in the Top 10 are not necessarily recommended buys at current prices. The list reflects the best-performing positions currently in the model portfolio of any S&A publication. The buy date reflects when the editor recommended the investment in the listed publication, and the return shows its performance since that date. To learn if a security is still a recommended buy today, you must be a subscriber to that publication and refer to the most recent portfolio.

When I'll buy stocks again...

Porter says stock prices are going to fall... And at certain prices, he'll once again be a buyer.

He explains why he thinks prices will fall and where he'd like to buy in today's Digest Premium.

To subscribe to Digest Premium and receive a free hardback copy of Jim Rogers' latest book, click here.

This is the worst Internet password you can choose... The most important thing you can do to protect your computer files... Don't log onto the Internet at a Starbucks before you read this...

Editor's note: All week, we've been featuring the work of Retirement Millionaire editor Dr. David "Doc" Eifrig...

As we have said... over his career in finance and medicine... Doc has accumulated a wealth of insights into investing, saving money, and protecting your health. The goal of Retirement Millionaire is to share these ideas with subscribers so they can take control of their own health and wealth.

Taking control of your life also means protecting yourself from the Internet scams and over-reaching government. Doc's teachings on security and privacy have been among the most popular work he's produced. Today, we're sharing some of his best ideas for safeguarding your privacy.

 Having a secure password is essential in today's computerized world... From paying bills to shopping and sending e-mails, we need passwords to do just about everything online. But weak passwords make it easier for hackers to steal your personal data, like bank account numbers. In October, SplashData (a software company) released the top 25 most popular passwords used in 2012. No. 1 on the list? "Password."

I keep my passwords "long and strong." A strong password has a combination of numbers, letters, and symbols (the characters above the numbers on your keyboard) that are nearly random. And avoid using the same password repeatedly.

It's a good tip... But using these guidelines makes it difficult – even impossible – to remember all your passwords. So there are a couple online services that can help safely store and track your passwords.

LastPass is a password manager that logs into sites for you after you add websites and login data to the LastPass data vault. All you need is your LastPass master password, and you can use it from any computer. You can also access it on your smartphone. Although if you want to use the mobile feature, the service costs $12 a year. Visit www.lastpass.com to learn more.

Norton – the online security software – features a similar service. If you use Norton on your computer, it will save your login information for different sites. It works much like LastPass and comes free with a subscription to Norton software. You can begin using the service at https://identitysafe.norton.com.

 You've likely seen news about the National Security Agency contractor Edward Snowden, who leaked details of the spy agency's domestic surveillance program. Whatever you think of Snowden's actions... the leak showed how our government tracks the phone and Internet activity of millions of Americans (the vast majority of whom have no connection to any national security threat).

It's more important than ever to protect your privacy from government encroachment. That's why late last year, I released an extensive report on how to protect your privacy – "The Easy Way to Maintain Your Privacy in America." In it, I detail ways to prevent the government from following your every move.

 In addition to the tips I outline in the report, it's important to safeguard files you keep on your computer. And it's simple to do... just encrypt them. Encryption is a process that blocks hackers from easily reading your personal files. If you regularly use any of the programs in Microsoft Office 2010 or 2013, you have a simple way to encrypt files that you don't want just anyone opening.

To encrypt a file from Excel, PowerPoint, of Word, first click "File" (in the upper left-hand corner) and then "Info." When you're in "Info," click "Protect Document." This will give you a drop-down list of options. The option you want to select is "Encrypt with Password."

Make sure you use a strong password that's not easy to guess. Security experts recommend using a long password (at least eight characters) that contains a random mix of letters, symbols, and numbers. Avoid using complete words or names. And don't use the same password repeatedly. In my report, I tell you a few easy ways to design passwords that are considered "strong" but still easy to remember.

 The next time you're ready to book a vacation rental, make sure to use a trustworthy website. Renting someone's home can be risky... The property may not look like or offer what was promised. Or you may find it was double-booked.

If you want to be protected the next time you rent, use www.HomeAway.com or one of its sister sites – www.vrbo.com or www.vacationrentals.com. HomeAway offers a "Carefree Rental Guarantee." This guarantee protects you (the renter) up to $10,000 if the property is double-booked or misrepresented. This helps give you a worry-free vacation. I'm using VRBO this January to rent a home near the beach on the West coast of Florida.

 Paid-up Retirement Millionaire subscriber Joe K. recently wrote in about credit-card security. On a credit-card signature line, his son writes "See ID" instead of signing his name. While this may seem like a good idea – and I know plenty of people who do this – it's not.

In August 2010, I warned readers against handing their IDs over to a cashier. Not only can this give the store a chance to add you (without your consent) to a mailing list, it can also leave you open to identity theft. Merchants can't legally require you to show your identification when using a credit card. In its rules and regulations, MasterCard clearly states a store can't deny you a purchase because you refuse to show your ID (unless your card is unsigned).

Unfortunately, some merchants don't follow this rule. So if you're trying to make a purchase and the store won't let you without an ID, do what I do... Call your credit-card company and get them in touch with a manager. I'd also recommend avoiding shopping there again. You can learn more here.

 The next time you visit Starbucks, you could be putting your personal information at risk. Cafes, hotels, and airports often offer free Wi-Fi (wireless Internet). I regularly see people in airports using free Internet access to pass the time. However, a hacker could also be monitoring your public access.

The U.S. government recently updated warnings on using free, public Wi-Fi. Using free Wi-Fi puts your computer at serious risk. First, you're logging on to a connection that isn't secure... allowing hackers to retrieve whatever information they want from your computer. Secondly, the connection you're using could be a fake. Hackers can make their Wi-Fi connections look identical to a legitimate connection. If you log on to one of these, the hacker gets access to your passwords, credit card information, and other personal information.

The easiest way to protect yourself is to never use a public Wi-Fi connection. But if you're using pubic Wi-Fi now... you probably don't want to give up the convenience. If you want to continue to enjoy sitting in a Starbucks while you work, make sure you use a virtual private network (VPN). VPNs secure your Internet connection and encrypt your data. One of the top providers is WiTopia. With plans as low as $39.99 semi-annually, all you have to do is download software to surf the web securely.

Technology blog Lifehacker has a list of well-known VPN providers. You can learn more about them and the benefits of having a VPN here.

Here's to our health, wealth, and a great retirement,

Dr. David Eifrig Jr., MD, MBA 
Raleigh, North Carolina 
December 26, 2013

Editor's note: Dr. Eifrig recently launched a new investment advisory service, Income Intelligence, designed to help subscribers maximize the returns they enjoy from a range of income-generating vehicles – things like municipal bonds to high-yielding equities.

Income Intelligence is based on indicators Doc has developed to tell us exactly when to get in and out of specific cash-generating assets. Using these strategies can generate 10%-20% more money than simply buying and holding the same income investments.

With interest rates at record lows... we believe Doc's income strategies are more important today than ever before. In Income Intelligence, Doc shows you how to earn big income, while protecting yourself from downside risk.

We think Doc's latest research is so important, we've decided to give you a gift for the holidays... You can sign up for one year of Income Intelligence for $900. (That's $300 off the regular price.) And we'll give you one year of Retirement Millionaire (normally $99 a year) free. This will also give you access to the security report Doc mentioned in today's Digest.

We've never made this offer before... And it's only available to Digest readers through December 27. You can learn more here (without watching a long sales pitch)...

When I'll buy stocks again...

Editor's note: All week, we've been featuring the work of Retirement Millionaire editor Dr. David "Doc" Eifrig...

As we have said... over his career in finance and medicine... Doc has accumulated a wealth of insights into investing, saving money, and protecting your health. The goal of Retirement Millionaire is to share these ideas with subscribers so they can take control of their own health and wealth.

Taking control of your life also means protecting yourself from the Internet scams and over-reaching government. Doc's teachings on security and privacy have been among the most popular work he's produced. Today, we're sharing some of his best ideas for safeguarding your privacy.

 Having a secure password is essential in today's computerized world... From paying bills to shopping and sending e-mails, we need passwords to do just about everything online. But weak passwords make it easier for hackers to steal your personal data, like bank account numbers. In October, SplashData (a software company) released the top 25 most popular passwords used in 2012. No. 1 on the list? "Password."

I keep my passwords "long and strong." A strong password has a combination of numbers, letters, and symbols (the characters above the numbers on your keyboard) that are nearly random. And avoid using the same password repeatedly.

It's a good tip... But using these guidelines makes it difficult – even impossible – to remember all your passwords. So there are a couple online services that can help safely store and track your passwords.

LastPass is a password manager that logs into sites for you after you add websites and login data to the LastPass data vault. All you need is your LastPass master password, and you can use it from any computer. You can also access it on your smartphone. Although if you want to use the mobile feature, the service costs $12 a year. Visit www.lastpass.com to learn more.

Norton – the online security software – features a similar service. If you use Norton on your computer, it will save your login information for different sites. It works much like LastPass and comes free with a subscription to Norton software. You can begin using the service at https://identitysafe.norton.com.

 You've likely seen news about the National Security Agency contractor Edward Snowden, who leaked details of the spy agency's domestic surveillance program. Whatever you think of Snowden's actions... the leak showed how our government tracks the phone and Internet activity of millions of Americans (the vast majority of whom have no connection to any national security threat).

It's more important than ever to protect your privacy from government encroachment. That's why late last year, I released an extensive report on how to protect your privacy – "The Easy Way to Maintain Your Privacy in America." In it, I detail ways to prevent the government from following your every move.

 In addition to the tips I outline in the report, it's important to safeguard files you keep on your computer. And it's simple to do... just encrypt them. Encryption is a process that blocks hackers from easily reading your personal files. If you regularly use any of the programs in Microsoft Office 2010 or 2013, you have a simple way to encrypt files that you don't want just anyone opening.

To encrypt a file from Excel, PowerPoint, of Word, first click "File" (in the upper left-hand corner) and then "Info." When you're in "Info," click "Protect Document." This will give you a drop-down list of options. The option you want to select is "Encrypt with Password."

Make sure you use a strong password that's not easy to guess. Security experts recommend using a long password (at least eight characters) that contains a random mix of letters, symbols, and numbers. Avoid using complete words or names. And don't use the same password repeatedly. In my report, I tell you a few easy ways to design passwords that are considered "strong" but still easy to remember.

 The next time you're ready to book a vacation rental, make sure to use a trustworthy website. Renting someone's home can be risky... The property may not look like or offer what was promised. Or you may find it was double-booked.

If you want to be protected the next time you rent, use www.HomeAway.com or one of its sister sites – www.vrbo.com or www.vacationrentals.com. HomeAway offers a "Carefree Rental Guarantee." This guarantee protects you (the renter) up to $10,000 if the property is double-booked or misrepresented. This helps give you a worry-free vacation. I'm using VRBO this January to rent a home near the beach on the West coast of Florida.

 Paid-up Retirement Millionaire subscriber Joe K. recently wrote in about credit-card security. On a credit-card signature line, his son writes "See ID" instead of signing his name. While this may seem like a good idea – and I know plenty of people who do this – it's not.

In August 2010, I warned readers against handing their IDs over to a cashier. Not only can this give the store a chance to add you (without your consent) to a mailing list, it can also leave you open to identity theft. Merchants can't legally require you to show your identification when using a credit card. In its rules and regulations, MasterCard clearly states a store can't deny you a purchase because you refuse to show your ID (unless your card is unsigned).

Unfortunately, some merchants don't follow this rule. So if you're trying to make a purchase and the store won't let you without an ID, do what I do... Call your credit-card company and get them in touch with a manager. I'd also recommend avoiding shopping there again. You can learn more here.

 The next time you visit Starbucks, you could be putting your personal information at risk. Cafes, hotels, and airports often offer free Wi-Fi (wireless Internet). I regularly see people in airports using free Internet access to pass the time. However, a hacker could also be monitoring your public access.

The U.S. government recently updated warnings on using free, public Wi-Fi. Using free Wi-Fi puts your computer at serious risk. First, you're logging on to a connection that isn't secure... allowing hackers to retrieve whatever information they want from your computer. Secondly, the connection you're using could be a fake. Hackers can make their Wi-Fi connections look identical to a legitimate connection. If you log on to one of these, the hacker gets access to your passwords, credit card information, and other personal information.

The easiest way to protect yourself is to never use a public Wi-Fi connection. But if you're using pubic Wi-Fi now... you probably don't want to give up the convenience. If you want to continue to enjoy sitting in a Starbucks while you work, make sure you use a virtual private network (VPN). VPNs secure your Internet connection and encrypt your data. One of the top providers is WiTopia. With plans as low as $39.99 semi-annually, all you have to do is download software to surf the web securely.

Technology blog Lifehacker has a list of well-known VPN providers. You can learn more about them and the benefits of having a VPN here.

Here's to our health, wealth, and a great retirement,

Dr. David Eifrig Jr., MD, MBA 
Raleigh, North Carolina  
December 26, 2013

Editor's note: Dr. Eifrig recently launched a new investment advisory service, Income Intelligence, designed to help subscribers maximize the returns they enjoy from a range of income-generating vehicles – things like municipal bonds to high-yielding equities.

Income Intelligence is based on indicators Doc has developed to tell us exactly when to get in and out of specific cash-generating assets. Using these strategies can generate 10%-20% more money than simply buying and holding the same income investments.

With interest rates at record lows... we believe Doc's income strategies are more important today than ever before. In Income Intelligence, Doc shows you how to earn big income, while protecting yourself from downside risk.

We think Doc's latest research is so important, we've decided to give you a gift for the holidays... You can sign up for one year of Income Intelligence for $900. (That's $300 off the regular price.) And we'll give you one year of Retirement Millionaire (normally $99 a year) free. This will also give you access to the security report Doc mentioned in today's Digest.

We've never made this offer before... And it's only available to Digest readers through December 27. You can learn more here (without watching a long sales pitch)...

 The benchmark S&P 500 stock index hit a record high of 1,810 on December 19... one day after the Federal Reserve announced its decision to begin tapering its stimulus efforts.

As you know, I (Porter) expect a severe correction in stocks as interest rates start to rise. But when will I jump back into the market?

 My biggest problem with stocks right now is that I don't see a lot of value out there. People who are bullish on stocks are convinced that the valuations we have now are reasonable because interest rates are so low. They see a correlation between low interest rates and high stock valuation as being normal and healthy. I'm in the other camp, I believe that stocks are fully valued on an absolute basis, period... no matter what interest rates are.

If you look at the median price-to-earnings (P/E) ratio on the S&P 500, it's now higher than it was in 2000. Stocks are fully valued, if not at near-record-high valuations. And I am not excusing that because of interest rates. I mean if you look at real interest rates – which are what really should matter – they are still relatively low. The reason why real interest rates are so low is that the Fed has manipulated nominal interest rates.

 So I don't see the interest rates in our economy right now as being real. I don't see them as being market derived. The whole explanation for how stocks could continue to go is predicated on the Fed continuing to manipulate rates. I do not believe the Fed can do that. It can't continue to manipulate rates because if it does, we'll lose all credibility in the currency markets... And that would cause catastrophe.

 So I believe real rates will go up. And given the huge debt loads in the U.S and Europe, real rates need to be somewhere between 2.5% and 5%. Imagine inflation is running somewhere between 2.5% and 4.5%, which is not an aggressive estimate in my book.

For ease of numbers, let's say inflation is 3% and real rates need to be 3%... That's a 6% yield on 10-year Treasurys.

And believe me, if interest rates were 3% in real terms and 6% in nominal terms, the S&P 500 would not be trading at 20 times earnings, like it is today... No way.

 I see us heading back down to much lower multiples, much lower valuation for stocks. You should see the S&P 500 trading at something between 12 and 14 times earnings, which implies a near 50% decrease to valuation. So I think stocks will struggle to advance next year. And I wouldn't be surprised if we saw a 50% decline in valuation.

I'd be looking to buy more then.

– Porter Stansberry and Sean Goldsmith

Stansberry & Associates Hall of Fame
(Top 10 all-time, highest-returning closed positions across all S&A portfolios)