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Sphinx Asia News Letter 1st Quarter [Jan. 2011 – Mar.
2011]
News Letter / Sphinx Asia Wealth Management
We are recommending five (5) stocks for immediate purchase to implement a portfolio sector
and issue shift in equities that emphasizes the undervalued nature of corporate assets
where the whole is priced at less than the sum of its parts. This situation is emanating from
segments of the Chinese market.
We have, as well, a certain turnaround situation in the US industrial sector. In addition, we

are the beneficiaries of some highly regarded private research, that our clients have
successfully relied upon in the past, to identify terrific opportunities in emerging industries
and technologies; all poised for big quick moves once these fundamental realities become
evident to main stream investors.
We also have a new recommendation in the gold market where we have generated
substantial gains for our clients in the past.
From these recommendations, our clients will have great opportunities for massive gains
over the next 6 months to 2 years. These 5 stock picks are now must own positions that will
move higher regardless of overall market sentiment.
Buy Gammon Gold (NYSE: GRS)
Buy Yahoo!, Inc. (NASDAQ:YHOO)
Buy General Motors (NYSE: GM)
Buy GreenCell Technologies (XETRA: GT5.DE)
Buy DirectView Holdings, Inc. (OTC.BB: DIRV)
Sphinx Asia Ltd. Tel.: +886 2 8758 2782 Fax.: +886 2 8758 2864 Email: info@sphinxasia.com
37F Taipei 101 Tower, No.7, Sec.5, Xinyi Road, Taipei, 110, Taiwan
www.sphinxasia.com
Sphinx Asia News Letter 1st Quarter [Jan. 2011 – Mar. 2011]
www.sphinxasia.com
Buy Gammon Gold (NYSE: GRS)
GOLD
We have been long gold now for quite a while. Our position in Canadian gold producer
Goldcorp Inc. (NYSE: GG) based in British Columbia provided our clients with yet another
profitable gold trade. We have taken recent gains of +95% in Goldcorp Inc. (22 to 43; Oct ’08
to Aug ’10).
We now want to buy Gammon Gold (NYSE: GRS) for the next big leg up in this exciting
market.
Gold Prices
China has just dropped a Bombshell announcement and that Means This Market Will Soar in
2011. Shen Xiagrong, chairman of the powerful Shanghai Gold Exchange, revealed that
China’s gold imports had rocketed almost fivefold in 2010.
Imports were up to 209 metric tons, compared to 45 tons for all of 2009. That’s a lot of gold.
It’s 5% of the entire gold reserve held at the United States Bullion Depository at Fort Knox.
And about 70% to 80% of these imports were in mini gold bars—exactly the kinds of bars
Chinese investors like to hold.
This import surge is even more impressive when you consider that China is also the biggest
gold producer.
This means two things:
1. Ordinary Chinese and the Chinese government, which has to approve these imports, are
worried about inflation. Chinese savers are actually now losing purchasing power by putting
their money on deposit with a bank.
One-year Yuan deposits with the Bank of China, for example, earn about 2.5% in interest.
With inflation running at 4.4%...and expected to rise above 5% ... that’s a loss in purchasing
power of more than 2%.
2. The gold price could be about to go stratospheric. The rise in Chinese demand is nothing
less than stunning. Ten years ago Chinese investment gold demand—demand not related to
jewelry, etc.—was about three to four tons a year. This year it could be above 150 tons—
about 8% of global investment demand.
Global demand will explode against a short supply.

www.sphinxasia.com
The world faces a big gold supply crunch over the next decade. Against this backdrop,
increased demand from China could send gold prices soaring past the $2,000/oz mark
before long.
We are still strong buyers of the financial leverage that gold mining stocks provide compared
to owning the metal itself. We focus on the extraction economics of proven reserves as gold
prices rise.
An under valued opportunity
It's always difficult to pare a long list of potential highfliers down to a single favorite stock, but
when I asked myself which of my own gold and silver holdings I'd be buying more of at this
juncture, Gammon Gold came out right on top. I consider Gammon the ideal combination of
existing market heft, incredible growth potential, and a decidedly undervalued share price. I
expect Gammon shares to appreciate handsomely.
Gammon's recent exploration success forms a core of my updated investment thesis. During
the first half of 2010 alone, Gammon discovered three new deposits at its Ocampo gold and
silver mine, and it swiftly replaced nearly two-thirds of estimated 2010 production with
127,750 gold-equivalent ounces (GEOs) in new reserves. One of those three deposits,
Santa Eduviges, has been fast-tracked for development, and production is expected to
commence any day now.
Capital Gold's (AMEX:CGC) board has unanimously endorsed Gammon's proposed merger.
The pro forma company emerges as a titan among the smaller mid-tier gold producers.
Capital Gold's El Chanante mine will double Gammon's gold reserves to 3 million ounces --
apart from Gammon's existing trove of 66 million ounces of silver. Gammon sees pro forma
production averaging 230,000 ounces of gold per year for 2011 and 2012 at a jaw-dropping
production cost of $78 per ounce.
As of Sept. 30, Gammon held a cash balance of $107 million and carried a debt-to-equity
ratio of just 3.7%. Between that capital strength and the prospect of a Capital Gold merger, I
see a golden opportunity to capitalize upon one of the industry's most promising turnaround
stories.
A forthcoming preliminary assessment of Gammon's Guadalupe y Calvo project, a

cementing of the Capital Gold merger, and impressive reserve expansion from that
successful 2010 exploration campaign could all provide dramatic upside catalysts during
2010.
We recommend the purchase of Gammon Gold (NYSE: GRS) at $8.00 per share
www.sphinxasia.com
Buy Yahoo!, Inc. (NASDAQ:YHOO)
In 2011 we are stepping up our guard and will play a little defense. That means becoming a
more selective stock picker and looking for companies that have a large margin of safety.
With that in mind, my top stock idea for 2011 is a company whose CEO says, "When you get
30 miles outside of Silicon Valley and New York, it has a great reputation." I see a ton of
value in Yahoo!
We see Valuable Assets!!
It's certainly been a tumultuous couple of years for Yahoo! It is a company that the
investment community has had difficulty understanding. Some astute research analysts,
including ourselves, have finally got it: content, communications, media, and innovation.
Yahoo! has always stood for those words. It went off track a bit when people thought it was a
search company.
With Yahoo!'s search business now in the hands of Microsoft, it can focus on some of its
highly valued social assets.
Yahoo! is actually the leader by a wide margin in a social network that has been around long
before Facebook. Yahoo!'s fantasy sports games bring more than 30 million unique users to
the site monthly, and not just any users: The majority are from the highly coveted age 25-49
male demographic. This had made Yahoo! Sports the most visited sports site on the
Internet, commanding 20% of all time spent surfing online sports properties.
The company's continuous improvement of Yahoo! Sports is a stark contrast to what many
believe are the company's two crown jewels: Yahoo! Finance and Flickr. While both sites
are widely used, Yahoo! hasn't really added any value to either for years. Yahoo! Finance
had 17 times as much traffic as Google's comparable finance site in 2009, but Google
continues to upgrade its content.
These assets do remain valuable, but, similar to the company as a whole, they just need
some direction.
The real value
While I do think that the value in these assets will be unlocked at some point, it is not what
excites me about the stock in the coming year. What does excite me is the initial public
www.sphinxasia.com
offerings (IPOs) of Chinese companies E-Commerce China Dangdang (NYSE: DANG) and
Yoku.com (NYSE: YOKU) that show how undervalued Yahoo! is.
Both companies recently completed IPOs in the U.S. and have already achieved values of
greater than $2 billion and $3.5 billion in market capitalization, respectively.
This is the key to Yahoo’s value. Yahoo! owns 40% of China’s Alibaba. Many analysts had
valued Yahoo's stake in Alibaba around $11 billion, but if these recent IPOs are any
indication, those estimates woefully underestimate the price the market is willing to pay for a
similar IPO or spin-off of Alibaba's top online shopping site, Taobao, which has more traffic
and sells more merchandise than Amazon.
This helps explain why analysts believe Taobao accounts for 75% of China's rapidly growing
online commerce market, while Dangdang's Internet retailer site (a much smaller competitor
of China's largest e-commerce company) accounted for less than 1%.
Even Yahoo! can't screw this up
A barely profitable Dangdang, trades at more than 300 times EBITDA. If we apply a similar
evaluation to Taobao -- the rapidly growing leader in the fastest-growing Internet market in
the world, in which only about a third of the population is online today -- you begin to see just
how much this company might be worth.
This doesn't even take into account Alibaba's other properties such as Alipay, which is
China's equivalent to eBay's crown jewel, Paypal. Alipay recently overtook its U.S.
counterpart as the largest online third-party payment platform in the world. Alibaba's other
properties include the Craigslist of China, Koubei, and publicly traded Alibaba.com, which is
the leader in e-commerce for Chinese exporters. The best part of all is that Yahoo! can't
screw up a company it doesn't run, at least on its own.
With that being said, it is hard for me to come up with a valuation that doesn't have the total
value of Yahoo!'s Alibaba stake worth more than the company's entire $22 billion market
capitalization.
I do believe that the company is woefully undervalued and under pressure to unlock some of
this value soon. For Yahoo! and its investors, I believe 2011 will be less about the whole and
more about extremely undervalued parts.
We want to own these assets. We want to Buy Yahoo NOW!
We recommend the purchase of Yahoo!, Inc. (NASDAQ:YHOO) at $16.80 per

share
www.sphinxasia.com
Editors Note:
There are two Alibabas -- Alibaba.com, which is publicly traded, and Alibaba Group, which is a private holding
company over Alibaba.com.
The group owns a number of ecommerce businesses, but the three most valuable are Alibaba.com, Taobao and
Alipay. Yahoo owns a 39% stake in the group and thus a 39% stake in all the ecommerce businesses, including
Taobao and Alipay.
The one exception is Allibaba.com. This is because public shareholders own roughly 25% of Alibaba.com. Thus
Alibaba Group owns 75% of Alibaba.com; if Yahoo owns 39% of Alibaba Group, it implicitly owns only 29% of
Alibaba.com (75% X 39% = 29%). Make sense?
www.sphinxasia.com
Buy General Motors (NYSE: GM)
A few years ago, it would have been unthinkable to recommend a buy on GM the
global poster child for mismanagement, ineptitude, and the decline of American industrial
might. Now GM is getting buy recommendations from savvy Wall Street analysts.But that
was then, and this is now.
And now, just this past week, several big Wall Street names opened coverage on the
General with solid buy ratings.
GM now looks like a very different company, one that seems to have learned from its long
list of past mistakes. Post-bankruptcy GM has become a very different animal from the
company that we'd come to know and mostly not loved.
With robust new management finally in place Ford and a successful IPO in the rearview
mirror, the "Government Motors" stigma may finally be starting to fade.
Consider what we've seen in recent months, and remember that we're talking about General
Motors here:
 Solid profits. Years of restructuring efforts left rival in a position to be very profitable
once the economic disaster started to recede, and GM, with a little help from the
Feds, sees the company about to post its first profitable year since 2004.
 Management with a clue. The company's CEO shuffle and recharged executives
one level down were a pleasant surprise. New Leaders have demonstrated in both
words and deeds that they understand the steps needed to chart a better future. The
company appears to be executing well, top to bottom.
 Stronger products. GM's product pipeline is a couple of years behind Ford's world-
beating renaissance, but early signs are strong. The much-hyped Chevy Volt actually
lived up to expectations and first-year sales may well exceed GM's optimistic
estimates. GM's once-vaunted design department, a key source of the company's
strength during its heyday, began to reassert itself with cars like the daring Cadillac
CTS coupe. Quality ratings on the company's newer models are growing. Buyers are
seeing the improvements -- sales incentives are finally falling, and margins are up.
The IPO has put another big check in the government's pocket, and now that GM's viability
and profitability seem to have been established, it's increasingly clear that it's only a matter
of time before all of the bailout funds are repaid in full.
www.sphinxasia.com
Not only are car sales up, Americans are buying more U.S. cars. Overall, the industry sold
11.6 million vehicles in 2010, up 11% from 2009.
The resurrected and reorganized General Motors ended the year on a high note, remaining
number 1 in market share in December and increasing sales 7% for the year. Shares of GM
are still trading higher than their IPO price.
Assuming the economic recovery continues, a 40% or 50% return over the next few years
seems like a reasonable possibility, with relatively little downside risk from here.
We recommend the purchase of General Motors (NYSE: GM) at $38 per share
www.sphinxasia.com
Buy GreenCell Technologies (XETRA: GT5.DE)
An emerging technology that looks very exciting is GreenCell Technologies

www.greencelltek.com
Update and continued Buy recommendation as of 18 / 01 / 2011
GreenCell Technologies continues its upside momentum driven by aggressive buying on

latest news releases since our first recommendation at price 1.95
―Sizable Fleet Long-Haul Trucking Company contracts could be close at hand‖

Analysts conference call Thursday, January 13 th.
Listed on the Frankfurt Exchange: GT5 - Last Trade € 2.81 per share
October 22, 2010
GreenCell begins Extensive Testing Phase with Long-Haul Trucking Companies
(Toronto) — GreenCell Technologies is proud to announce it has successfully completed

another round of advanced testing with significant HydroCell™ results. The integrated
GreenCell Hydrogen Enrichment System is now expected to double anticipated hydrogen
output, and further increase fuel efficiencies in diesel trucks around the world.
www.sphinxasia.com
These new results augment earlier tests conducted from November 2009 to January 2010,
whereby Electronic Control Data was downloaded from vehicles equipped with the
HydroCell™ and directly compared to those without the HydroCell™ running the same route
and under the same conditions.
Hydrogen, as a fuel, is emission free and the only by-product of combustion is water. It is
the most abundant element in the universe and is the fuel of choice for the Space Shuttle’s
main engine. The addition of a GreenCell Hydrogen Enrichment System is similar to adding
a Supercharger to an engine.
This special situation comes to us from proprietary research in the field of Hydrogen-
on-demand and we now recommend GreenCell Technologies
GreenCell Technologies is a Canadian company dedicated to designing and bringing to

market, technology-based products in the alternative energy market. The current product is
called the HydroCell, an on-board on-demand hydrogen generator engineered specifically
for Diesel Transport Trucks.
The HydroCell produces Hydrogen Gas, on demand, and adds it to the air drawn into a
diesel engine. This small quantity of Hydrogen has large effects on the combustion process.
The result is approximately 10% fuel savings and up to a 60% reduction in greenhouse gas
emissions (nitrous oxides, hydrocarbons and carbon monoxide).
GreenCell Technologies is also involved in the Solar Energy market. They are currently
conducting research and developing strategies to open an alternative energy division that
will offer product, consultation and installation services for the Canadian market.
GreenCell Technologies, through their most recent round of testing, have discovered a
method to double existing hydrogen output. See announcement as follows:
January 10, 2010 – ―GreenCell Technologies is pleased to announce that they have
discovered a method to double the existing hydrogen output of their proprietary Hydrogen
Enrichment System the HydroCell.‖
In addition to this recent discovery the company has been conducting extensive lab tests to
establish the most efficient electrolyte mixture and the optimal Anode to Cathode distance
for maximum hydrogen production. Both tests have led to modifications that not only
increase the hydrogen output but also result in significantly reduced manufacturing costs.
www.sphinxasia.com
Additional testing further to that conducted in November 2009, is currently underway from
the 5th of January 2010 utilizing trucks installed with the Hydrocell running.
The company will expand into larger facilities in February and based on the most recent
testing as well as the success of other Green Energy IPO's the company is expecting a very
successful launch of its commercial product into the Long-Haul Trucking market.
We recommend the purchase of GreenCell Technologies (XETRA: GT5.DE) at €

2.80 per share per share
www.sphinxasia.com
Buy DirectView Holdings, Inc. (OTC.BB: DIRV)
At .08 (eights cents per share)?
Why recommend this Penny Stock? Because to start with Trading Penny Stocks is the
easiest way to make the large profits with the least amount of startup capital. Why? Because
it is hard to find a $50 dollar stock that goes to $100 dollars in a short time but every week 1
cent stocks go to 2 cents, 10 cent stocks go to 20 cents, 50 cent stocks go to a $1 dollar,
and 1 dollar stocks go to 2 dollars. Because these stocks are so, small investors can still
take a large share position and cash out with HUGE profits.
If you’re a new to trading a penny stock , don’t worry, we very seldom recommend stocks
under a dollar unless we come across one that is, so obvious to us, an explosive
opportunity that we just know, at these levels, this issue could generate returns in the +
1,000’s % range.
Here is the story on DirectView Holdings, Inc.
There operations are conducted within two divisions:
1. The Video Conferencing Division which is a full-service provider of teleconferencing

products and services to businesses and organizations.
2. The Security Division which provides surveillance systems, digital video recording
and services to businesses and organizations.
Their video conferencing products and services enable clients to cost-effectively conduct
remote meetings by linking participants in geographically dispersed locations. Our primary
focus is to provide high value-added conferencing products and services to organizations
such as commercial, government, medical and educational sectors. We generate revenue
through the sale of conferencing services based upon usage, the sale and installation of
video equipment and the sale of maintenance agreements.
They also are a provider of the latest technologies in surveillance systems, digital video
recording and services. The systems provide onsite and remote video and audio
surveillance. They generate revenue through the sale and installation of surveillance
systems and the sale of maintenance agreements.
Keys to the success of this company are two fold. They will need to rapidly acquire large
corporate contrast for multiple site locations nationwide and embark on a successful
acquisition program to expand there service and product capabilities and most important
market share.
www.sphinxasia.com
Through our close contacts with management and our extensive research of these currently
fragmented local markets for value added reseller services we fell this company is on the
cutting edge to accomplish these to key requirements. Their growth could be explosive given
their Business Model and Execution Plan. We think they will end up as the premier providers
nationwide in just a few years. They have really done their research on target company
acquisitions within these two market provider groups.
A large contract announcement from a top national company will send this stock to the
moon!!!
This was the first indication of such an impending announcement in June.
BOCA RATON, FL--(Marketwire - 06/17/10) - DirectView Holdings, Inc. publicly traded as

(OTC.BB:DIRV), a company focused on ownership and management of leading video and
security technology companies, is pleased to announce the company's wholly owned
subsidiary DirectView Security Systems, Inc. has been chosen for a top 5 US financial
institution for security implementations.
DirectView Security Systems, Inc. will be installing and retrofitting bank branch locations with
state of the art surveillance (CCTV) systems, access control and alarms. The financial
institution has branch locations across the US and the company will be performing services
at a number of them.
Commenting on this release, Mr. Roger Ralston, CEO and Chairman of DirectView Holdings
Inc., stated, ―We are very proud to be selected for this institution's bank branch locations'
security needs, but due to the nature of the scope of our assignment we will not be releasing
the name of the banking institution at this time in this format."
When the details of this business win are confirmed to the market, by the banking institution
itself, the stock will break-out. Our analysts tell us that this project is now well underway and
the security nature of the business will keep the contract well under wraps and under the
radar for at least awhile.
You can see that time is of the essence with this trade, especially now that shares are
priced at only eight cents.
Video conferencing is already big business but it is about to get even bigger now that
productivity is paramount and corporate budgets have been squeezed .There are countless
circumstances where people cannot wait to meet, be seen nor have important decisions
delayed. There are many companies that would rather their regional meetings take place
over videoconferencing rather than bringing them all together by travel at high costs and loss
of productivity. Visual communication is perhaps the most natural form of communication.
www.sphinxasia.com
Think about all the things you must do if you are to make that meeting in Mumbai, Tokyo or
Dallas, Texas. Travel time to the airport, check-in, cramped airplane, baggage pick-up…well
you get it. And, then will you actually be on time for the meeting?
Big market here in Video Conferencing!!
This company, we feel, is poised to become, in a ―branded sense‖, the Starbucks of Video
Conferencing and Video Security nationwide.
Recently, the stock had a nine shares for one (9:1) stock dividend. Trading at approximately
.72 (or 72 cents per share), at the time of announcement, this explains the current price
quote of .08 (or eight cents per share). Many times companies must drastically expand the
outstanding shares if acquisitions are in the corporate mix.
BOCA RATON, FL--(Marketwire - 11/15/10) – ―DirectView Holdings, Inc. (OTC.BB:DIRV)

announced today that its Board of Directors declared a stock dividend payable in shares of
its common stock to its stockholders of record on November 9, 2010. The Financial Industry
Regulatory Authority (FINRA) has approved the dividend payment. The dividend payment
date is today, November 15, 2010. Each stockholder will receive nine shares of common
stock for each one share owned on the record date.‖
A 50,000 share purchase of DirectView Holdings, Inc. at the current .08 per share will cost
you only $4,000. This is our minimum offering block; if a penny stock looks like something
you want to do.
We recommend the purchase of DirectView Holdings, Inc. (OTC.BB: DIRV) at

.08 per share per share
www.sphinxasia.com
We would enjoy developing a lasting relationship with all our clients as we stress winning
situations and a philosophy of concentration of financial commitments to individual equities
that will overshadow meager to average results from over-diversification strategies.
Best Regards,
[Foster Mc Millan, PhD, CFA]
Director of Investment Research,
Sphinx Asia Wealth Management
www.sphinxasia.com

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Sphinx Asia News Letter 1st Quarter [Jan. 2011 – Mar.

News Letter / Sphinx Asia Wealth Management

We have, as well, a certain turnaround situation in the US industrial sector. In addition, we

Buy Gammon Gold (NYSE: GRS)

Buy Yahoo!, Inc. (NASDAQ:YHOO)

Buy General Motors (NYSE: GM)

Buy GreenCell Technologies (XETRA: GT5.DE)

Buy DirectView Holdings, Inc. (OTC.BB: DIRV)

Buy Gammon Gold (NYSE: GRS)

This means two things:

Global demand will explode against a short supply.

An under valued opportunity

A forthcoming preliminary assessment of Gammon's Guadalupe y Calvo project, a

Buy Yahoo!, Inc. (NASDAQ:YHOO)

We see Valuable Assets!!

The real value

Even Yahoo! can't screw this up

We want to own these assets. We want to Buy Yahoo NOW!

We recommend the purchase of Yahoo!, Inc. (NASDAQ:YHOO) at $16.80 per

Buy General Motors (NYSE: GM)

Buy GreenCell Technologies (XETRA: GT5.DE)

An emerging technology that looks very exciting is GreenCell Technologies

Update and continued Buy recommendation as of 18 / 01 / 2011

GreenCell Technologies continues its upside momentum driven by aggressive buying on

―Sizable Fleet Long-Haul Trucking Company contracts could be close at hand‖

October 22, 2010

GreenCell begins Extensive Testing Phase with Long-Haul Trucking Companies

(Toronto) — GreenCell Technologies is proud to announce it has successfully completed

GreenCell Technologies is a Canadian company dedicated to designing and bringing to

We recommend the purchase of GreenCell Technologies (XETRA: GT5.DE) at €

Buy DirectView Holdings, Inc. (OTC.BB: DIRV)

At .08 (eights cents per share)?

Here is the story on DirectView Holdings, Inc.

There operations are conducted within two divisions:

1. The Video Conferencing Division which is a full-service provider of teleconferencing

This was the first indication of such an impending announcement in June.

BOCA RATON, FL--(Marketwire - 06/17/10) - DirectView Holdings, Inc. publicly traded as

Big market here in Video Conferencing!!

BOCA RATON, FL--(Marketwire - 11/15/10) – ―DirectView Holdings, Inc. (OTC.BB:DIRV)

We recommend the purchase of DirectView Holdings, Inc. (OTC.BB: DIRV) at

[Foster Mc Millan, PhD, CFA]

Director of Investment Research,

Sphinx Asia Wealth Management

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