Description
This article is from the How to Start an
Investment Program tutorial, author unknown.
Developing A Method Of Stock Selection
In the previous chapters on Index Funds and Mutual Funds, you were
presented with two simple approaches to begin your investment
portfolio. With an Index Fund, you could match the overall stock
market return without doing any research on your part-- kind of like
accepting an automatic "B" on an important exam. For those
of you who wanted to try for an "A" on the exam, with full
knowledge that you might wind up with a "C" or worse,
selecting the proper mutual fund was your challenge. Now, I will
introduce to you a method of selecting a portfolio of individual
stocks that you may want to consider. Like selecting a mutual fund, it
comes with no guarantee of matching the S&P average, but
historically, it has done even better.
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investing, mutual funds, index funds, brokerage house, selecting stocks, value stocks, growth stocks, dow jones
