Tip of the Day

Research Before You Invest

by InvestorGuide Staff
If you're going to invest in stocks, learn as much as you can about the companies you're considering. Understand before you invest. Research, research, research. Read books. Consider joining an investment club or an organization like the American Association of Individual Investors. Experiment with various strategies before you put your own money on the line. Examine historical data or participate in a stock market simulation. Try a momentum portfolio, a technical analysis portfolio, a bottom fisher portfolio, a dividend portfolio, a price/earnings growth portfolio, an intuition portfolio, a mega trends portfolio, and any others you think of. In the process you'll find out which ones work best for you. Learn from your own mistakes, and learn from the mistakes of others. If you don't have time for all this work, consider mutual funds, especially index funds.