The construction of an All-Weather Mutual Fund Portfolio

Equity mutual funds perform differently in different time periods as investment styles and sectors come in and go out of favor. While screening tools readily provide performance data and make the task of identifying top mutual funds relatively easy, there is more to constructing an all-weather portfolio than screening for the top funds.

This article describes methods of constructing an all-weather portfolio. Before getting into the nitty-gritty of constructing an all-weather portfolio, it helps to know how equity mutual funds are classified and how their performance is impacted by market conditions.

Classification by Market Capitalization & Style

Equity funds are commonly classified based on market capitalization of the companies in which they invest their assets and investment style.

Market capitalization is divided into three categories: large, medium, and small. Investment style likewise is divided into three categories: value, growth, and blend.

Combining both types of classifications, equity mutual funds typically fall into one of nine boxes on a 3 x 3 matrix. This classification system works well in analyzing diversified funds.

Classification by Sector & Industry Group

Instead of dividing the equity market by market capitalization and investment characteristics such as value or growth, an alternative way is to slice it by sectors. The Global Industry Classification System jointly developed by Standard & Poor's and Morgan Stanley Capital International, for example, classifies the equity market into ten sectors, such as financials and information technology. Each sector in turn is divided into several industry groups. This classification system is particularly useful for analyzing sector funds that invest their assets in a given sector like information technology or industry group like computer hardware.

Impact of Business Cycle

The net asset value per share of a fund changes in response to the prices of stocks held in its portfolio. Generally speaking, stock prices are impacted by business conditions. The business cycle has various phases to it: Recovery, Boom, Slowdown, and Recession. Different parts of the stock market as seen from market capitalization, style, or sector perspectives perform differently in different phases of the business cycle.

Impact on Diversified Funds

Growth style funds, in general, fare well during construction, such as recreation and recovery and value style funds during contraction phases such as slowdown and recession. Similarly, from a capitalization perspective, small cap funds tend better during expansion and large-cap funds to perform during contraction.

Whereas, the recent boom-bust cycle, Spectra Fund, Large Cap Growth Fund, under the star performers during the boom of 1997-1999. Spectra gained 141% in three years to October 31, 1999.However, Spectra fared badly during the 2000-2002 slowdown and lost 52% in two years to October 31, 2002.

In complete contrast, Hotchkis & Wiley Small Cap Value Fund, which may require the boom years 1997-1999, among the best funds during the 2000-2002 slowdown. Following the loss of 30% for the period of two years to June 30, 2000, Hotchkis gained 88% in two years to June 30, 2002.

Impact on sector funds

How to diversifyfunds, certain sector funds tend to perform better during some phases of the business cycle. Sector funds that invest in economically sensitive sectors such as technology typically tend to perform better during expansion phases. Sector funds that invest in economically less sensitive sectors like consumer staples typically tend to perform better during contraction phases. As a result, a sector fund that performs best in one time-period may not perform as well in another time-period.

Among the 41 Fidelity sector funds, Fidelity Select Energy Services was the top fund in 2005 with a 54% gain. However in 2003, the same fund gained just 8% to be the worst performer.

Constructing an All-Weather Portfolio

Can one select the top fund by knowing what stage the business cycle is in? Unfortunately, things do not get that easy.

Getting the turning points of the business cycle right is less than a science. Although certain styles and sectors are expected to do better during particular stages of the business cycle, there is no certainty they will do so each time. Additionally, stock prices tend to anticipate and lead the business cycle. The performance of a fund therefore usually varies from one economic cycle to another.

So, rather than chase the top funds, a prudent course is to construct a robust, all-weather portfolio.

A) Constructing with Diversified Funds

One way to construct an all-weather portfolio is to use diversified funds that emphasize different types of market capitalizations and investment styles. To simplify the task, one may construct a portfolio using a large cap-growth fund, a large cap-value fund, a small cap-growth fund, and a small cap-value fund.

In evaluating funds in each category, focus on the long-term track record and see how the funds have fared in different market environments. Complement this by evaluating each fund on non-performance-based metrics such as manager tenure, price volatility or risk, mutual fund fees, and mutual fund fiduciary grade. Choose the best available fund in each category and build your portfolio with managers of a 'dream team' caliber.

Alternatively, if you want to restrict yourself to only one fund to start with, you may consider a total market index fund which spans all capitalizations and styles.

B) Constructing with Sector Funds

Sector funds can also be used to construct an all-weather portfolio. This approach offers the advantage of creating customized diversified portfolios by including sectors and industry groups which are likely to outperform the market indexes and excluding those which are likely to under-perform.

The reward potential can be enhanced by concentrating in a few sectors or industry groups. Diversification across several sectors and industry groups serves to mitigate risk. By optimizing the balance between concentration and diversification, one can achieve superior Nominal and risk-adjusted returns.

The alpha-profit Core model portfolio exemplifies this approach. During the 33 months to 30 September 2003 30 June 2006, won the alpha-profit Core model portfolio 57% vs 39% for the Dow Jones Wilshire 5000 Total Market Index.

Key points

1. There are more important funds for all times and latitudes.

2. A prudent course is to provide a rugged, all-season portfolio construction.

3. diversified funds and sector funds maybe used to construct an all-weather portfolio.

Notes: This report is for information purposes only. Nothing herein should be construed as an offer to buy or sell securities or to give individual investment advice. This report does not have regard to the specific investment objectives, financial situation, and particular needs of any specific person who may receive this report. The information contained in this report is obtained from various sources believed to be accurate and is provided without warranties of any kind. AlphaProfit Investments, LLC does not represent that this information, including any third party information, is accurate or complete and it should not be relied upon as such. AlphaProfit Investments, LLC is not responsible for any errors or omissions herein. Opinions expressed herein reflect the opinion of AlphaProfit Investments, LLC and are subject to change without notice. AlphaProfit Investments, LLC disclaims any liability for any direct or incidental loss incurred by applying any of the information in this report. The third-party trademarks or service marks appearing within this report are the property of their respective owners. All other trademarks appearing herein are the property of AlphaProfit Investments, LLC. Owners and employees of AlphaProfit Investments, LLC for their own accounts invest in the Fidelity Mutual Funds included in the AlphaProfit Core and Focus model portfolios. AlphaProfit Investments, LLC neither is associated with nor receives any compensation from Fidelity Investments or other mutual fund companies mentioned in this report. Past performance is neither an indication of nor a guarantee for future results. This document may be reproduced only in its entirety including the author's bio and hyperlinks to AlphaProfit's web site. Copyright © 2006 AlphaProfit Investments, LLC. All rights reserved.

Explore Singapore, the Fascinating Mosaic of Cultural Diffusion!

Singapore History:

It would not be an exaggeration to say that millions of global tourists, flocking to Singapore in search of fashion, shopping, glitz and glamour hardly know the proper history of this island city-state located on the southern tip of the Malay Peninsula. It is a wonder, that being the smallest country in Southeast Asia, Singapore happens to be the site of several ancient port cities and a possession of several empires in its "not-so-well-known" history.

To start with, when Singapore was colonized by the United Kingdom in the 19th century, it was nothing but a small Malay fishing village, the first records of its existence being made in the Chinese texts as early as the 3rd century. The island which then bore the javanese name "Temasek" and which happened to be an outpost of the Sumatran Srivijaya (an ancient Malay kingdom on the island of Sumatra) empire, gradually rose to become a significant trading city. However, throughout history, it had to bear the brunt of several political conflicts, which altered its destiny in course of time.

For example, Singapore was a part of the Sultanate of Johore, untill it was set ablaze by portuguese troops in the Malay-Portugal wars in 1617. Again, in 1819, British East India Company made a treaty with the Sultan of Johore and established Singapore as a trading post and settlement. Later, seeing instant growth and immigration from various ethnic groups to Singapore, it was declared a crown colony by Britain in 1867. Its status was soon raised to that of an entrepot town by the ruling British empire due to its strategic location along the busy shipping routes connecting Europe to China.

Destiny had written a few more dramatic twists and turns for Singapore, "The Lion City", as it also called. Further occupied by the Japanese Empire in World War II, it finally became part of the merger which formed the "Federation of Malaysia. Finally, after much tussels with the Federal government in Kuala Lumpur, the nation ultimately acquired independence in 1965.

However, what we see today as a tousists' paradise was for many years, a fledgling nation struggling for self-sufficiency. Overburdened with mass unemployment, housing shortages and lack of land and natural resources such as petroleum, it was a sociopolitically volatile and economically undeveloped nation, relying massively on foreign investment and government-led industrialisation. The situation started changing after Lee Kuan Yew joined as prime minister in 1959. Within three decades, his administration curbed unemployment, raised the standard of living and developed Singapore's economic infrastructure, thus elevating Singapore into a developing nation and subsequently to developed status.

In the recent years, the country has tackled various disasters, the major ones being the 1997 Asian financial crisis, the SARS outbreak in 2003, and terrorist threats posed by the Jemaah Islamiah (JI).

Singapore Economy:

It is really heartening to know that with 63 surrounding islets and with a total land area of 682 square km, the main island of Singapore, with its market-based economy, has grown into a thriving centre of commerce and industry in just 150 years. Successfully increasing its manufacturing base after being a 'backward fishing village' for many years, Singapore today thrives on various industries including shipping (Singapore today is the busiest port in the world with over 600 shipping lines sending super tankers, container ships and passenger liners), electronic components manufacturing and above all its booming travel/tourism industry. The island city state located at the tip of the Malay Peninsula that has suffered various political and economic onslaughts is now home to four million people, also boasting of one of the highest per capita gross domestic products in the world. The economic progress of Singapore as a nation can be an enriching example of how a mere "fishing village" and a British naval base for decades can be reborn as an important financial, commercial and educational center for South East Asia.

The credit for this resurrection goes to the PAP Government, who, assisted by a far-sighted Dutch economic adviser, realized the need of maintaining its colonial inheritance by attracting foreign capital from the developed world to establish export-oriented industries, while at the same time building up a modern service sector in Singapore based on banking and financial services. Needless to say, this economic strategy proved a phenomenal success, producing real growth that averaged 8.0% from 1960 to 1999. Thus, relying on foreign investment and expertise, while at the same time building up strong state enterprises, the provision of infrastructure, housing, transport and other basic services for the local population began increasing notably, and the old Singapore consisting of overcrowded and unsanitary slums was demolished strategically.

In recent years, the trade policies of the Singapore government which included commitment to free trade, active export promotion strategy, the 'open arms' policy towards multinationals and the support of trade liberalization have made Singapore an economically stable nation. In due course of time, Singapore has also developed an export trade that thrives on medium and high-technology electronics components. Such trade undoubtedly focuses on the key-strengths of Singapore, including "hi-tech" sectors as information technology and bio-technology.

Singapore Culture/Religion:

A cosmopolitan society with harmonious interaction among various different races, the inherent cultural diversity of the island is a source of one of the prime attractions of the nation. To be precise, this cultural diversity is the ultimate result of the diversity of the population, the intermingling of various ethnic groups and the amalagamation of Chinese, Malay and Indian immigrants. It is not unnatural for one to witness a Malay wedding taking place beside a Chinese wedding at a void deck, on the ground floor of a HDB apartment block in the Singapore city. Infrequent intermarriage between the Chinese and Indians are not unusual occurences in Singapore. Besides indigenous Malay population, Singapore houses a majority of third generation Chinese as well as Indian and Arab immigrants. Thus, the diverse mix of races result in a significant degree of cultural diffusion with its unique combination of ethnic groups. Maybe that is one of the reasons why one would find very little culture that is specifically Singaporean. However, there exists a Eurasian community and a community of Peranakan or "Straits Chinese," (a community of mixed Chinese and Malay descent).

Such a significant degree of cultural diffusion has given Singapore a rich mixture of diversity for its young age. One of the prime examples is the Singapore's cuisine, a massive cultural attraction for tourists. Chinese, Indian, Malay, Indonesian, Italian, Peranakan, Spanish, French, Thai and even Fusion tops the menu. To speak of art and culture, Singapore is identified globally an emerging cultural centre for arts and culture, including theatre and music. Often called the "gateway between the East and West", it has seen the emergence of several performing arts groups, especially in theatrical arts. A number of productions were staged successfully and several groups, including TheatreWorks, have performed overseas too.

As a cosmopolitian and multi-racial society, Singapore has also been the seat of major festivals from various ethnic groups associated with their respective religions. Those again, reflect the diversity of races residing there. While the Chinese are predominantly followers of Buddhism and Taoism, there are even Christians, Catholics and "free thinkers": ones who don't confirm to any religious faith. Thus, in today's Singapore, religions tend to cross racial boundaries and even merge in unusual ways, combining a little of the mysteries of the older generation with the realistic world of today.

Singapore Travel/Tourism:

Celebrated and renowned worldwide as a delightful haven for tourists, Singapore has been able to earn major revenues courtesy its booming tourism industry. With the rise of tourism in Singapore, there is a stiff competition among hotels to run for the best slot. There are cheap airline travels to Singapore today, including apex fare, discounted airfares to Singapore and the like. A seat for the world's most delectable seafood, awe-inspiring sea-beaches, impressive bird-parks and night safaris that account for wonderful wildlife adventure, Singapore today happens to be a little dynamo in Southeast Asia, embodying the finest of both East and West. Truly, the dynamic city rich in contrast and colour captures the hearts of millions of global tourists with its harmonious blend of culture, cuisine, arts and architecture and above all, its unbridled energy.

While on entering this cosmopolitan, multi-cultural city, one experiences the mélange of flavours from around the globe, the multicultural heritage of the nation is bound to sweep one off his feet as he discovers an ever-changing mosaic of fascinating contrasts. Thus, the amalgamation of ancient beliefs and contemporary culture, of rich legacies and sleek modern living makes Singapore an ever-youthful, ever-enchanting nation for tourists.

Tourist interests in Singapore: While tourism is continually infesting ChinaTown, a cultural section of Singapore, with shops and street vendors offering a glimpse into the days of old, the Asian Civilizations Museum (a diverse cultural museum) is there to exhibit antiques like a ninth-century Buddha and a Chinese snuff box. For lovers of art and architecture, the Thian Hock Keng Temple (Historic Taoist temple near Singapore's waterfront) happens to be a "must watch" religious site. Another wonder is the unforgettable Singapore Art Museum, which, since its opening in 1996, offers an immense rotating collection of Singaporean and Malay sculpture and art. If you are a connoisseur of shopping and fine dining, there is Orchard Road, the ritzy shopping and dining area, often referred to as the "Park Avenue" of Singapore. For the lovers of spectacular underwater beauty, there is the Underwater World of Sentosa, showcasing the awe-inspiring beauty of a whole different world beneath the seas.

All said and done, the strategic location of Singapore, its cultural contrasts and diverse tourist attractions contribute to its success as a leading destination for both business and pleasure.

Airline Rewards Card

It does not take long for us to get a credit card right? It usually takes us a lot harder to choose an airline rewards card. It is because we want to get the most rewards out of our airline card. There are many kinds of cards and you might get confused with the terms. You might expect one thing and get another. An airline rewards card will not earn points every time you travel. What the card can do for you is to offer better rates and lower fees than any airline credit card. You will be able to earn miles every time you use the card for your everyday purchases. The points or the miles accumulated can be redeemed when you want to buy airline tickets. This can be used for any airline and it does not have any expiration date.

However, you might get disappointed because one of the problems with the usage of this card is the availability of flights. Accumulating points is easy, booking the flight is harder. Most airlines only assign a few limited number of seats for passengers that have these kinds of cards. But there is away to use them and that is why a lot of people still get them. So what should you do is to plan early. Get an airline rewards card and book early.

The technique is to find out what kind of card that you want. Consider all your options so you will get exactly what you need when it comes to an airline rewards card.

Stop Advertising and Start a Conversation

When people share information, ideas, and sentiments, it's called "conversation." If people were not equipped with the natural ability to listen, think and respond, then "conversation" would be called "advertising."

In the past, companies had to use advertising to communicate. But today, with all the advancements in communication technology, companies, like people, can listen, think and respond. It's time for these companies to stop advertising. And start a conversation. It's time for Conversational Marketing.

Conversational Marketing isn't a completely new idea. Perhaps the earliest sign of Conversational Marketing were those ads fifty years ago that sported body copy that was "conversational." Instead of flat, lifeless copy that espoused the features and benefits of the client's product, some copywriter began speaking to consumers like they were really there.

That copywriter was Bill Bernbach, the man who radically revolutionized advertising creative as we know it. And because of Bill's insight and creativity, advertisers learned that they could be more effective if they talked to consumers instead of themselves. Advertisers learned to talk to consumers as if they were really having a real conversation with them. Right there in their own living room.

Conversational Marketing is the natural endgame in advertising's compromise between genuine communication and fabricated communication. The advertising industry has been heading in this direction for the last fifty years. And headed even faster for the last ten years. The evolution of Conversational Marketing has left a wide trail that's easy to follow.

Remember "direct marketing"? This is the notion that marketers will communicate directly with individuals. Which became "direct response marketing" which realized if you communicate with someone directly, you should give that someone some way to communicate back. And that lead to "relationship marketing". Here's where the industry realized that if they talk to you and you talk back then what you have here is a "relationship."

What you also have is a conversation. But let's not stray too far away from "relationship" just yet. Because it seems that after a few years of this "direct-response-relationship-marketing" going on in the mailboxes across America, along came the World Wide Web. (Yeah, remember how everyone actually called it that for the first couple of years.)

The Internet came along and changed everything. Because the one thing that no one expected to happen, happened. Consumers began initiating the conversation with brands and businesses online. They were actually using those powerful search engines to look up things like Palmolive and Chuck E Cheese and Valvoline so they could ask a question or get a free sample.

And out of this unexpected behavior was born "one-to-one marketing". Which basically describes an e-commerce transaction. Suddenly every other advertiser out there learned about the value of customer data. Not only did marketers sell to consumers online, but they learned so much in the process. What's your favorite color? Who's your favorite band? How many glasses of Ovaltine do you drink in a day?

So, what's a marketer supposed to do with all of this information? "CRM." Customer Relationship Management. It seems that businesses were getting so much genuine dialogue with their customers that they needed entirely new systems to be built just to manage it. Of course, the first order of business for the marketers of these businesses was to make the term "CRM" completely meaningless.

Everybody in the industry, clients and agencies alike, began calling just about everything they did "CRM". If they sent out an email newsletter, it was called "CRM". If they collected information about a customer and added it to a database, it was called "CRM". If they did a customer survey, it was called "CRM". Of course all of these things can be part of a "CRM" program. The problem is that for most marketers, there isn't a program in place--just some convenient jargon.

It's not much of a surprise, though. The thing that everybody is using "CRM" to describe is a thing much bigger than just managing customer relationships. The thing that everybody is using "CRM" to describe is actually the basis of the business to customer relationship. A basis that has seemingly evolved overnight while most businesses' ad agencies were busy crafting television commercials.

And can you blame the ad agencies for ignoring this profound sea change? After all, what do email newsletters, surveys, and databases have to do with advertising? Who cares about that stuff anyway? As it turns out, the clients are the ones that care. And so now you have everybody and their brother crafting "CRM" campaigns. Customer Relationship Management campaigns? Ad agencies just don't seem to get it.

Fifty years ago, Bill Bernbach inspired advertisers to talk with consumers like they were real people. Back then, no one thought about the listening. So the advertisers marched off and created millions of ads just like good ol' Bill would've done 'em. After a few generations of advertisers doing the same old routine, consumers learned to tune it out. And why not? Who's listening?

What would have happened if fifty years ago, the industry would have looked at Bill's ads and said, "Wow! This is great! People are going to talk about this one. We better come up with a way to pick up on their conversation." What would have happened to advertising as we know it if all the energy that went into to trying re-create Bill's magic had been spent trying to support the next part of the conversation. The part where the consumer gets to respond.

Maybe it was inevitable. The power of the consumer is so great that they just had to be heard. They say in a capitalistic society, consumers vote with their wallet. Obviously that wasn't enough of a voice. Which might explain why we have consumers creating Doritos commercials for the Super Bowl. And posting their favorite ads on their MySpace page. And writing about their frustrations with their recent airline experience on their blog. And producing their own video commentary in response to advertising videos they see on YouTube. Whatever the forces are behind this communication revolution, one thing is clear. You can't have a relationship with a customer without having a conversation.

The good news is you already know how to have a conversation. Now you just need to carry this knowledge over to your marketing communications. For example, you know in order to have a conversation there must be a two-way exchange. Someone is talking. Someone else is listening. So the first step in Conversational Marketing is to make sure you can listen. Here are some obvious signs that your marketing communications are ready to listen.

You have a specific call to action. Write. Call. Email. Click.

You make a specific invitation. Join. Register. Sign up. Opt in.

You ask a question. Survey. Poll. Vote.

You open yourself to questions. Search. Feedback. Chat.

Now that you're listening, make sure you're paying attention. Don't listen like the 50s husband with your head buried in the Sports section. "Yes, dear. Uh-huh. That's right, dear." Here are some signs you are really paying attention.

You have a single customer database. It's not divided up into separate databases serving separate departments in your company or performing separate functions for your customers.

Your customer database not only collects data important to your business goals (name, address, payment method) but it also collects data important to your customers' interests (survey answers, search queries, comments).

You make intelligent responses. You send a thank you email when they leave a comment. You customize your newsletter by highlighting content you know they are interested in. You reply to their emails with a personal response as often as possible.

These are the basic signs of Conversational Marketing. You can take your conversation up a notch by inviting your customers to join a discussion group, sign onto a bulletin board, join a focus group, or become an advocate by sharing the conversation with their friends and associates.

Knowing what tactics to employ that enable conversations with your customers is important, but none of it will be effective without a Conversation Strategy in place. So, before you update your website, revise your email newsletter, start a podcast, or open the phone lines, make sure you understand who and where your customers are. And then devise a plan that intersects your business goals and objectives with their needs and expectations. Do this, and you are sure to strike up a very effective conversation indeed.

And soon, you won't be working for an ad agency or a marketing firm anymore. You'll be going to work for a Business Conversations Company. You'll be producing Conversational Marketing. And kids in college will be taking Conversational Marketing Communications 101. And majoring in Business Conversations. And your family will finally understand what it is you do at work because everybody understands what a conversation is.

Airline Baggage Regulations and Tips for Your Next Trip

Before you get out your packing list and begin loading your suitcase for your next vacation, it is essential that you check out the airline baggage regulations for your particular airline you are flying with.

One thing to check is the baggage limits. You are limited to the size and weight of each suitcase, so you will want to be sure you know what these are. If you go over the limit, you will be charged a rather high fee, and your only other option at that point would be to purchase another bag in one of the airport gift shops which would probably cost more than the fee. So it pays to get this information beforehand. Each airline is different, so the weight limit of one may not be the same as another one. Also, some are more strict in adhering to these rules. On my last trip, my friend was over by a few pounds and the check-in person allowed it but did point out that others might not and that it could have been a costly mistake. In my experience the normal is to allow 2 pieces of luggage weighing no more than 50 pounds each. But again, this is not the same for all, so do check your individual carrier.

One thing you can do if you find yourself with a suitcase that is too heavy, assuming you have two pieces of luggage, is to transfer some of your clothes from one to the other. But this is a hassle so it's much easier to just be prepared beforehand.

If you are carrying unusual items to check onto the plane such as a surfboard, skis, or something with an irregular shape, call ahead to find out if you will need to put it in a box or if you can just check it as is. Save time by knowing just what to expect.

As far as carry-ons, you normally can bring one bag that will fit under the seat in front of you or in the overhead compartment. These are restricted in size, and you will probably have to verify this fits the size limit before you will be allowed to bring it on board. In the past these regulations were much more lax than they are today. Remember that there are restrictions on what you can carry in your pocket, you will get a list before leaving for the airport.

Airport rules change often, be safe, follow these tips and luggage rules, and you're much better prepared when you arrive at the airport.

Last Minute Low Price Airline Tickets - 3 Tips to Get Tickets Fast and Cheap

If you are looking for last minute low price airline tickets then you are in for a treat! I am going to show you how to get great deals in airfares even if you are running out of time. First and foremost you need to understand that some of these methods may be a bit unusual, but they do work, so take advantage of what I am telling you!

1. First and foremost to get cheap tickets you need to understand the process the airlines use. It really is an issue of supply and demand. One of the best and most basic ideas for getting great deals on airfares is to simply go for the flights that no one else wants. Right now with the economy in bad shape people are not flying as much, which makes getting a great deal on airplane tickets even easier.

2. You need to call right after midnight in order to get the best deals. Calling the airline right after midnight means that the automatic updates should have already kicked in, which means that any current deals will be displayed. If you are one of the first people to call in then you can get some really good deals, and not many people know this tip so it works great!

3. A third option and the best in my opinion is to find a friend in the business! People who work for the airlines or used to work for the airlines simply know things like how to get last minute low price airline tickets. Many people in mainstream society will not know all of the ins and outs to the business, but someone with experience in the field can point you in the right direction and really help you get some great deals.

I would strongly consider finding someone who really knows what they are talking about discussing last minute low price airline tickets. If you do this, then you will be way ahead of the game, and it is not as hard as you may think!

How to Get Free Airplane Tickets

Have you ever wondered how to get free airplane tickets? The airline industry is notorious for offering airplane tickets are ridiculously high prices. Yet smart travelers know how to fly on the cheap and at little to no cost. With the rising costs of fuel, the airline industry is taking a beating. Airlines are struggling to make razor-thin profit margins while competing to keep airfares as low as possible. But it is getting more and more difficult to find reasonably priced airfare in this day and age, as airlines raise their prices.

Airfares have increased significantly over the years. But did you know that there are ways to fly for free? For example:

Give up your tickets on standby.
Rack up airline miles using your credit cards.
Redeem points for rental car, hotel, and previous airline flights.
Sign up for subscriptions or make a purchase in which airline tickets are offered for free.
Sign up for a timeshare tour. Yes you will need to spend part of your time with the people that are providing the sales pitch, but then you will have the rest of your time to vacation or do other things.
Sign up for an airfare discount program. You may have to pay a monthly membership fee but you will get offers from time to time for extremely low-cost, if not free, airplane ticket vouchers.
Bid for low-cost airplane tickets on auction websites or online classifieds.

This list is by no means exhaustive.

What's the Catch?

Flying for free is not easy. If it was easy for just anyone to claim free airplane tickets anytime they want, then everybody would be doing it and the airlines would be out of business.

On the contrary, getting free airline tickets requires deliberate planning, shopping around, and research. It may be coupled with the purchases of other items. Also, more than likely you may not get to fly on the flight of your choice. You may have to take connecting flights with stop-overs.

But at the end of the day, the effort is worth the cost savings in airfare alone!