The Conglomerate Renaissance

To the "robber barons," huge businesses made perfect sense...

In the 19th and early 20th centuries, tycoons like Andrew Carnegie, John D. Rockefeller, and Cornelius Vanderbilt built their empires by defeating or buying rival companies.

They argued that the country would be more efficient with one primary steelmaker, one primary oil company, and one primary railroad than with lots of fragmented competitors. It's the same philosophy that explains why Americans can't usually choose among rival companies to deliver their tap water or electricity.

But let's not pretend that Carnegie, Rockefeller, or Vanderbilt were altruistic. They became some of the richest men in American history by steamrolling the competition. As their companies grew larger, it became increasingly harder for anyone to take them down.

That's when Congress stepped in...

First came the Sherman Anti-Trust Act of 1890. It followed up with the Clayton Antitrust Act in 1914 and the Celler-Kefauver Act in 1950.

But industry titans still wanted to grow through acquisitions.

No longer so free to join forces with rivals, they developed a new solution... They started buying unrelated businesses that were not part of the same industry in any way. Thus started a new boom in conglomerates.

But when they had to thread their way through loopholes, they couldn't realize the incredible advantages that made John D. Rockefeller into America's richest man.

One single business that owns 90% of America's oil production gives it economies of scale and pricing pressure. One single business that makes helicopters and lumber turned out to be less powerful.

As the 1960s came to a close, the first conglomerate bubble popped.

President Richard Nixon came into office, and despite his reputation as a business-friendly Republican, he didn't care for conglomerates and encouraged harsher regulations.

Then recession struck, and all the debt these conglomerates had racked up from acquisitions became too much to bear in a slowing economy.

By the 1980s, the shells of old conglomerates were being bought by "corporate raiders" who mounted hostile takeovers and sold the companies off for parts.

Then, in the 1990s, we saw another wave of consolidations.

In this era, the buzzword "synergy" led firms to merge to recognize cost savings and cross-selling opportunities. Underneath, though, it still meant big accumulations of businesses... which may or may not have fit well together.

This generation brought us giants like General Electric, Citibank, DaimlerChrysler, and ExxonMobil.

In recent decades, the luster of conglomerates has faded.

And the Biden administration sued to block dozens of mergers over a four-year period – averaging about six per year.

But under President Donald Trump, mergers are back. Some of this year's biggest deals include...

• Alphabet buying cybersecurity company Wiz for $32 billion

• T-Mobile US acquiring most of U.S. Cellular's operations for $4.4 billion

• The $8 billion merger of Paramount Global and Skydance Media

Investors are betting on this merger-friendly attitude to continue, including my friend and the founder of our corporate affiliate Altimetry, Joel Litman.

For years, Joel has spotted the companies Wall Street misunderstands – firms that look weak or unprofitable on paper but are actually surging beneath the surface. When bigger players finally recognize these distortions, the result is often a surprise acquisition that sends shares rocketing 80%, 100%, even 200% in a single day.

And right now, Joel believes a tiny, overlooked company is quietly setting up for what could be the biggest opportunity of the year – a potential one-day double triggered by an imminent buyout announcement.

But investors only have a small window to get positioned ahead of the crowd.

Joel will unveil all the details in a special presentation on Monday morning. Make sure to reserve your spot now.

Now, let's get to this week's Q&A... And as always, keep sending your comments, questions, and topic suggestions to feedback@healthandwealthbulletin.com. My team and I read every e-mail.

Iron Supplement Risks

Q: Dear Doc, I believe it was on Alliance Day you made a comment that men should not be taking iron supplements. I am a regular blood donor and I have been taking an iron pill daily for years so I don't fall below the hemoglobin threshold required to donate. Why do you say not to take iron? Thanks. – D.S.

A: There's a fine balance between too much iron in your body and too little.

Iron is a necessary mineral that carries oxygen throughout your body via red blood cells – it's the center element in the hemoglobin molecule.

But most people in the U.S. get the necessary amount of iron from food. According to the Centers for Disease Control and Prevention, only about 10% of Americans 65 and older have iron-deficiency anemia. And only about 2% of men of any age have iron-deficiency anemia. However, nearly 20% of people take a supplement containing iron, according to the National Institutes of Health.

Pre-menopausal women only need about 18 milligrams of iron a day – what you'd get in a bowl of iron-fortified cereal. While men and post-menopausal women only need about 8 milligrams a day. But some supplements contain 65 milligrams or more of iron. As we've warned before, supplements' excessive iron puts people at risk of overdosing. This could lead to joint damage, diabetes, and organ failure.

To prevent iron deficiency, most folks can do what I do... Instead of using supplements, strive for a nutrient-rich diet. If you maintain a diet packed with leafy green vegetables, berries, citrus fruits, and meats, you can prevent anemia from occurring in the first place. And you can increase your body's iron absorption by getting plenty of vitamin C.

Now, D.S., your case is different from the typical person. Because you donate blood so often, an iron-rich diet isn't always enough.

Most blood-donation services suggest taking a supplement of 18 to 38 mg for 56 to 60 days after your donation. If you donate as often as allowed, that means taking a daily supplement throughout the year.

But your supplement needs depend on how often you donate, what you eat, and your normal iron levels. Even with donating, you might not need to take iron supplements every day if you're getting enough iron in your food.

So I'd recommend having your doctor check your hemoglobin levels before and after a donation. This will help you better understand your personal health picture, whether you need iron supplementation, and, if so, how much you personally should take.

Finally, for folks who aren't donating blood regularly... if you're experiencing symptoms of anemia, visit your doctor. Anemia (especially in people who aren't menstruating) can be a symptom of serious illnesses like colon cancer. A doctor has several ways to test you for anemia with physical exams and simple blood tests.

What We're Reading...

• Did you miss it? Health care stocks can rip from here.

• Something different: The search for flight MH370 resumes... 11 years after it disappeared.

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

Dr. David Eifrig and the Health & Wealth Bulletin Research Team
December 5, 2025