Profitable Investing Tips
Best Stocks to Invest In
For generations, the U.S. stock market has been the best and most reliable money-making machine on the planet. But, how to get started investing and take advantage of the stock market’s power is always the issue. The average return on the basket of stocks in the S&P 500 has been 10% per year per year ever since the index began as the Composite Index of 90 stocks back in 1926. Today the S&P 500 is a group of 500 stocks that accurately mirror the U.S. stock market as well as the U.S. economy. Are the best stocks to invest in […]
Proven Stock Market Strategies
There is always someone giving investment “advice” as they promote one stock or another. But, what proven stock market strategies can you follow profitably over time? In this article, we look at a general approach to reliably profitable investing and then at specifics. For most investors, the best approaches are the simple ones. These are folks who have money they want to put away for retirement, a rainy day, putting the kids through college, or starting their own business. These folks have neither the time nor the inclination to get overly involved in the details of stock market investing but […]
Can Passive Investment Be Risky?
Over just the last few years the proportion of the US stock market that is invested passively has moved up to 45%. Investors are attracted to ETFs (exchange traded funds) because of their low overhead. And, many have outperformed actively traded vehicles like mutual funds and other actively managed investment vehicles. But, can passive investment be risky?
Passive Investment Is on the Rise in the US Stock Market
CNBC reported that passive investing automatically tracking indexes has risen to nearly half of the US stock market.
Passive investing, made up of funds tracking market barometers, has now taken over nearly half the stock […]
Investing in Stocks
The reason for investing in stocks is to attain financial security. While some people may make a spectacular investment decision by chance, the vast majority who succeed at investing in stocks save their money and invest over a long period of time. Success in investing starts with defining your goals. What do you want to get out of investing? Make a list with the most important goals like having enough money for retirement, putting your children through college, or saving up to start your own business at the top of the list. Then consider how many years are left for […]
How to Spot a Value Trap Investment
Over the years we have often cautioned investors to beware of penny stocks, especially those that have seen better days. While investing in a grand old name in hopes of a recovery it is important to learn how to spot a value trap investment. This issue came up recently when we wondered what was wrong at Kraft Heinz. As bargains become harder to find in an aging bull market there is a temptation to go bottom feeding in search of an investment miracle. Here is some advice about what to watch out for.
Kraft Heinz Products
Spotting a Value Trap
A couple of […]
Why Invest in Boeing?
Not long ago we wrote about whether or not Boeing would need to outsource production in order to remain profitable. That question largely had to do with the threat of a long-term trade war and Boeing potentially losing markets as a result. The trade war may well be on its way to at least a temporary resolution so the question is why invest in Boeing over the long term? Essentially Boeing is a cash cow with a dominant position in an increasingly higher and higher cost of entry business. Its only real competitor is Airbus as the two of them […]
How Can You Invest in Artificial Intelligence?
Back in the day when Jobs and Wozniak invented the Apple computer they simply used existing technology to provide folks with their own personal computer. As computer technology has advanced over the last forty years it has been incorporated into PCs, laptops, tablets, and smart phones. Investors who profited were the ones who put their money in companies that made the best use of better and better technology. Today the “new wave” of technology is artificial intelligence. How can you invest in artificial intelligence? There are not very many companies that are pure AI investments. But, many of the tech […]
What Was Wrong at Kraft Heinz?
Last week the stock of the packaged food giant, Kraft Heinz, took a nosedive. The stock fell by 28% on news of a SEC investigation of the company’s accounting practices but more so the nosedive was due to gigantic losses in the last year. The package food business is very competitive and companies need to balance quality, price, advertising, and new product lines in order to stay competitive as much so as to gain an advantage. What was wrong at Kraft Heinz was that they seem to have lost their way. Cost cutting became the order of the day in […]