Bird Flu Stocks - Is the Opportunity Real?

Everyone seems to be talking about the Avian Flu, otherwise known as the H5N1 virus. We believe the virus and danger is real, but are the investment opporunities for real?

Watching the public market clamor for "Bird Flu Stocks" reminds us of the "Internet Stock" bubble.

We challenge investors to carefully think about whether the bird flu is a great threat or just a great media story. With all the media coverage, would you be surprised to learn that in the entire world, the virus has only infected a total of 194 people and killed a total of 110 people?

The current strain of the virus is not spread among humans. Every person previously infected with the virus had direct contact with sick birds (mainly chickens). However, experts seem to agree that if the virus mutates into a contagious form, it is possible that it will kill millions of people.

Big problems always present tremendous investment opportunities. Investors in companies who develop the products and services that truly solve any large problem can make millions. In anticipation of large profits, it should come as no surprise that many investors have driven the market value of "bird flu stocks" to very high levels. The combined market value of these stocks now exceeds several billion dollars. Investors are assuming these companies will generate large profits.

Well, what if investors are wrong? What if the fancy solutions being touted by many of the bird flu stocks are not as important as we are led to believe?

Recently, a company in England announced that initial tests prove that a simple hand spray (which is already sold in major department stores) is more than 99.8% efficient in killing H5N1. The product was originally developed several years ago to prevent the spread of certain germs and is entirely safe for use by humans.

According to the Center for Disease Control and Prevention, avoiding close contact with others, covering your mouth and nose, cleaning your hands and avoiding to touch your eyes, nose or mouth - are the primary ways to prevent getting germs.

When you take a step back from all the hype, the reality is that simply wearing a medical mask and washing hands frequently, will virtually assure that a person will not get infected.

Sometimes, the simple answers provide the best solutions. If medical masks and soap are the most effective defense, what becomes of all these "bird flu stocks"?

Joel Arberman is the Managing Member of Stock Aware, LLC. We publish a free investment research and analysis newsletter and offer investor awareness services. Learn more at www.StockAware.com

How The Bird Flu Virus Lives And Spreads

Bird flu is a serious and dangerous virus. With so much controversy over this deadly disease, it is a good idea to have some kind of idea what you are up against. Knowing how the virus lives and spreads makes it easier to protect yourself from infection.

First, it should be understood that bird flu is much like the other strains of influenza. Like the flu that goes around every year, bird flu is transmitted from the exchange of the virus through droplets of saliva, mucus, or other excretions. However, bird flu is not transmitted from human contact, but through the handling or ingestion of infected poultry. It is more common for people to be impacted by bird flu that handle birds for agricultural purposes or eat infected fowl that is not properly handled.

The virus lives within poultry and survives in the feces of the animal for several days, if not weeks. Therefore, regular contact with birds, especially in dense populations, increases the possibility of contracting the disease. To avoid infection, limit contact with potentially dangerous poultry.

It should also be clear that this particular virus was not always a threat to humans. Prior to 1997, there were no known cases of H5N1, the deadly strain of bird flu, infecting humans. Since the virus first came to pass in the early 1900's, it has mutated and transformed into a different form. This mutation is vital to the ongoing vitality of influenza and is the primary source for the concern surrounding H5N1. The virus continually manipulates itself to bypass treatment techniques and survive in varying environments.

Once the virus is transmitted to a person, it is incredibly interesting what takes place. There are two factors within the immune system that contribute to the devastation of the virus. First, the virus causes an exaggerated response in cytokines, hormones that regulate the immune system. This increase makes the immune system unstable and actually has a negative effect on the body itself, as well as making fighting infection difficult. Secondly, other aspects of the immune system are suppressed, allowing the virus to run rampant within the body.

Since the virus is not bacterial in nature, antibiotics are ineffective in treating the disease. In many illnesses, antibiotics are administered, which suppress the immune system and fight the infection; however, this is not an option due to the nature of bird flu; therefore, the most effective treatment is prevention.

Sarah is an acclaimed writer on medical matters, and has written extensively on the subjects of Attention Deficit Disorder, Bird Flu and Cohn's Disease. For more of her articles, go to http://www.imedicalvillage.com now.