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How to Make a Killing in the Stock Market

July 10, 2014

Buy one stock and pray.

 

Dividing your funds into two stocks starts you on the road to diversification and will reduce your risk, but it also reduces your upside and potential to make a killing.  Buying five stocks puts you in the situation of assuming the market risk and returns similar to the entire group the five stocks were chosen from.  Forget about making a killing!

 

If your purpose is to make a killing, buy the one stock.  If your purpose in investing is to build your wealth to secure your financial future, then you need to diversify your portfolio in asset categories and within each category.

 

Decide what is best for you, get the best advice you can and then implement your plan.

One Comment leave one →
  1. Robert Nagler permalink
    July 10, 2014 4:48 pm

    HI ED BUY DIVIDENDS HIGH CAP STOCKS AND REINVEST THE DIVIDENDS TO ]
    BUY ADDITIONAL SHARE YOU ARE LOWING YOUR COST AMD THEVALUE OF YOUR INVESTMENT WILL INCREASE IN TIME

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