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New to stock investing. Need some suggestions.

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  • #16
    IMO First invest in, and continue to invest into VTSAX, and maybe a little VTIAX. No bonds now.
    After that, slowly start to read about all the different aspects and possibilities of investing. Or not.

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    • #17
      The second edition of The Millionaire Teacher has just been released and looks pretty good--I'm going to have to read that.

      I still stand by my tried-and-true--Morningstar.com They provide a ton of information for free, have many totally free mini classes in stocks, bonds, personal finance and are a great introduction to investing. If you go there to look at a particular company, all the financials are right there. I like all the analysis reports, but I think they're all on the premium side. They also have lots of videos about different investment areas.

      I also often re-read the earlier books by or about Warren Buffett. I liked his style of valuing companies. (He recently dumped a ton of money into Bank of America, so I'm not sure what his current agenda is.)

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      • #18
        The thing about holding stocks of individual companies is the volatility. How would you know inside information about these companies like the insiders would? Or in other words,, when to get out?

        Why not hold a low cost mutual fund which holds over 3500 of the best companies in the usa and pay the manager 0.05% to pick them? VTSAX

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        • #19
          Originally posted by rerod View Post
          The thing about holding stocks of individual companies is the volatility. How would you know inside information about these companies like the insiders would? Or in other words,, when to get out?

          Why not hold a low cost mutual fund which holds over 3500 of the best companies in the usa and pay the manager 0.05% to pick them? VTSAX
          If you hold 10 of the Dow Dogs, you're going to outperform that malt-o-meal mutual fund about 80% of the time, often by a wide margin. A 15-20 year average, it's not even close.
          Last edited by TexasHusker; 12-28-2016, 05:44 PM.

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          • #20
            Originally posted by TexasHusker View Post
            If you hold 10 of the Dow Dogs, you're going to outperform that malt-o-meal mutual fund about 80% of the time, often by a wide margin. A 15-20 year average, it's not even close.
            Im sure there are huge gains to be made if you can pick and then get out of the best 10 stocks.

            I'm happy with 6-7% gains in my set it and forget it port.

            Gloom and doom preachers are correct, eventually.

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            • #21
              Originally posted by TexasHusker View Post
              If you hold 10 of the Dow Dogs, you're going to outperform that malt-o-meal mutual fund about 80% of the time, often by a wide margin. A 15-20 year average, it's not even close.
              Wrong. If it were this simple, everybody would do it. And looking at a 15 year time frame is far too short to draw any conclusions.

              To the OP - invest in a low cost mutual fund that holds the entire market like VTSMX. VTSAX is also a find choice.
              seek knowledge, not answers
              personal finance

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              • #22
                Originally posted by rerod View Post
                Im sure there are huge gains to be made if you can pick and then get out of the best 10 stocks.

                I'm happy with 6-7% gains in my set it and forget it port.

                Gloom and doom preachers are correct, eventually.
                Dow Dogs isn't about picking the right stocks and getting in and out.

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                • #23
                  Originally posted by TexasHusker View Post
                  Dow Dogs isn't about picking the right stocks and getting in and out.
                  You used this Dow Dogs site for your stock picks?

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                  • #24
                    Originally posted by rerod View Post
                    You used this Dow Dogs site for your stock picks?
                    The Dow Dogs play is a straightforward investment strategy based on companies that are paying healthy dividends -that's sound investment strategy regardless of what you call it.

                    It's the safest stock strategy that I know, and the historical performance of the strategy attests to its effectiveness.

                    I used to do quite a bit of equity investing through my 20s and 30s and always had a large chunk in the Dow Dogs. I gave up equities in search of better returns in things that are apparently unmentionable on the forum.

                    That being said, if you are happy with 6-7 percent annual returns as you stated, there's a whole works of plug and play investments at your disposal.
                    Last edited by TexasHusker; 12-29-2016, 12:51 PM.

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                    • #25
                      Originally posted by feh View Post
                      Wrong. If it were this simple, everybody would do it. And looking at a 15 year time frame is far too short to draw any conclusions.

                      To the OP - invest in a low cost mutual fund that holds the entire market like VTSMX. VTSAX is also a find choice.
                      15 years is a decent history my friend. And you can calculate the annual returns of Dow Dogs going back 100 years if you care to - it's not that hard. But by all means stick with your fine choices.

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                      • #26
                        Originally posted by nick21hound
                        Hi, i am wanting to start investing in stocks and i think it's a good time because share prices are lower.
                        Where did you hear that manifestly bogus piece of fake news?

                        Can any one suggest me from which company i should start from?
                        • How much do you (currently!) have to invest? (It's ok to have as little as $50 as long as you invest regularly.)
                        • How old are you?
                        • What's your risk tolerance?
                        • What's your end purpose for this money?
                        • Do you want to become an active trader or a passive investor?
                        • Most importantly: does your employer offer a 401(k) with matching?

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                        • #27
                          Originally posted by nick21hound
                          Hi, i am wanting to start investing in stocks and i think it's a good time because share prices are lower. Can any one suggest me from which company i should start from?
                          Share prices are lower? Relative to what? And which company?

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