Introduction In part 1 of this series titled “How Many Stocks Should I Own?” found here, I focused primarily on how many stocks an investor might need to hold in a stock portfolio for adequate diversification. In this part 2, my focus will shift to category selections. Instead of how many stocks to own, this Read more about Stock Selection Options by Category: Part 2A[…]
Introduction Most investors suffer from what I believe is an unhealthy (unprofitable) obsession with the stock market. Financial writers and professional investors never tire about offering up their opinion on what the market will do next – especially short term. Individual investors also are deeply concerned with how the markets are doing on a daily Read more about Should You Care That The Market Is Overvalued- It Depends![…]
Achieving long-term success as a dividend growth investor implies a long-term buy-and-hold strategy. The reasons why are simple and straightforward. The primary objective of a committed dividend growth investor is to achieve a growing dividend income stream. This primary objective further implies achieving an increasing level of income that can fight inflation while simultaneously being capable of raising their standard of living over time.
What is the best way to design or construct a common stock portfolio? This is a question I am often asked and my short answer is always the same – it depends. The truth is, there is no perfect method or strategy for designing a stock portfolio that is right for every individual investor. However, there are principles of sound investing that every investor can follow and apply when designing a common stock portfolio that’s just right for them. […]
In the long run it really doesn’t matter what the market’s doing. Unless, of course, you own an index fund, then it matters a lot. However, if you own individual companies then only their business results truly matter. The evidence is overwhelming. In the long run earnings determine market price. There is also the issue Read more about Earnings Determine Market Price![…]