In investing knowledge is power. So it is very important to have good sources for news and insights. The sources below will give every investor a lot of this.
New information is discounted in the market so news is important.
Bloomberg is a great news site. I go to this site everyday for all kinds of financial information. This company was started by the famous businessman New York mayor Bloomberg. There is also much financial news on cnn at cnn money.
But only news is not enough. It is also important to get some insights from great financial journalists.
For this businessweek is a good site. It has articles on mny subjects including technology and emerging markets.
Monday
Single Stocks
Many investors buy their own stocks. Buying single stocks was very expansive in the past because of transaction costs but because of better technology the cost has gone down a lot. A big reason to invest this way is because it is a lot of fun. It is also possible to buy international stocks, including in emerging markets.
But i think the disadvantages of this way of investing out way the positive ones. If it is very hard to outperform a benchmark for a pro than what are your chances?. It is also very hard for small investors to find enough diversification this way. If one company you own goes out of business and it is more than 10% of your portfolio you take a big hit. Because of the high risks and rewards for individual stocks the investor also runs the risk of becoming a gambler in staid of an investor.
I have stopped buying single stocks a long time ago. Sure it was a lot fun, i felt like a good business men while doing it. But when i look back at it now i know the risk and reward relation is better when buying funds or ETFs. It is still possible to use strategy this way by looking at good regions and sectors to invest in. But i no longer have to worry about one single company going bankrupt.
But i think the disadvantages of this way of investing out way the positive ones. If it is very hard to outperform a benchmark for a pro than what are your chances?. It is also very hard for small investors to find enough diversification this way. If one company you own goes out of business and it is more than 10% of your portfolio you take a big hit. Because of the high risks and rewards for individual stocks the investor also runs the risk of becoming a gambler in staid of an investor.
I have stopped buying single stocks a long time ago. Sure it was a lot fun, i felt like a good business men while doing it. But when i look back at it now i know the risk and reward relation is better when buying funds or ETFs. It is still possible to use strategy this way by looking at good regions and sectors to invest in. But i no longer have to worry about one single company going bankrupt.
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