This past May, I told a small group of my readers to invest in gold. At the time, it was trading at $1,200 an ounce. Right now, the price of gold is right around $1,325 an ounce.

That is a nice 10% gain in six months. A solid performance in today’s market.

But my readers have done much, much better than that.

Seven times better, in fact.

Because I not only told my readers to invest in gold back in May… I told them to do it in a smarter way.

With gold over $1,200 an ounce, you would need to make quite an investment to really take advantage of a move in gold. Just owning half a pound of gold would cost you nearly $10,000.

Instead, I told my readers to spend just $54.

Not much money, I know. But that is the point.

Small investments are a great way to generate extra cash flow every month. You will see how in a minute…

My readers’ “small” $54 investment bought them 100 shares in perhaps the best run gold company around. The company is led by a Harvard educated Ph.D. He goes in with a world-class database and identifies where the gold is.

The latest drill results from a site in Mexico showed gold in all six of the company’s test holes.

Once the viability of a find is established, they start using other people’s money.

You see, the company doesn’t want to get bogged down in a full-scale mining operation. They want to be light and nimble, exploring all over the world. So when they find gold, they partner with a much larger company that’s desperate for a discovery. And the large company pays for the very expensive mining operation.

It’s brilliant when you think about it. They spend as little as possible to make as much as possible.

But my readers don’t have to worry about making this kind of in-depth analysis of a company. I do all the research for them. All they need to do is follow my buy recommendation to make sure they get involved.

Then, when it is time to sell and cash out their gains, they get an e-mail from me.

Take, for example, my recommendation to my readers to buy L-1 Identity Solutions. The company is involved in the booming security industry. Only a few months after I recommended it, the company was bought out at a nice premium. My readers will make 67% when the transaction is complete. That’s a huge gain in only five months.

Back to my gold exploration company…

My readers have made 70% on the company since I told them about it in May. That is 7 times the return of physical gold over the same time period.

All for $54!

That small stake is now worth $92, and the sky is the limit.

That is the philosophy behind “The World’s Least Expensive Portfolio.”

It is about taking small stakes of money (often less than the cost of a meal for two at a nice restaurant) and turning them into larger bundles of cash.

And the gold company is just one of our winners.

I told my readers about a company that supplied a key component to Apple for the new iPhone and iPad. A small $100 investment is now worth almost $150. That’s a 50% gain in only six months.

And another one of my recommendations recently announced it was being acquired, and my readers are cashing out a $43 investment for $72, a 65% gain in only five months.

At the Liberty Street League, we believe that investing should not only give you a chance to make a second stream of income without investing large sums of money… it should be fun too.

So if you are looking for a fun and extremely inexpensive way to create another source of income for yourself, you should look into “The World’s Least Expensive Portfolio” that I created for the Liberty Street League. Your total investment in the portfolio will be under $800, and, as you can see, the gains are impressive.

[Ed. Note: Christian Hill is an investment analyst and creator of the “Trend Trader” portfolio and “The World’s Least Expensive Portfolio” for ETR’s premium wealth-building service, the Liberty Street League. The Trend Trader portfolio focuses on solid, established companies poised to capitalize on big trends just around the corner. In The World’s Least Expensive Portfolio, Christian “swings for the fences” by investing small amounts — no more than $100 at a time — in stocks with the potential for huge gains. Investing in the entire portfolio won’t set you back more than $800.]

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