Here are my methods 1-fundamental analysis 2- technical analysis 3-alternative data 4- check what big funds/ETF do, and what they invest in, usually, they have connections and secrets which are not known to the public All these methods are combined together, neither of them is correct 100%, i know most of you will not like point no4, yes i agree with you, no one should blindly follow anyone else, but these funds have experts and they overperform normal investor most of the time.
Most funds have trouble beating the S&P500 in the long run, so it might be just as easy as buying SPY! Your points are fine. Fundamentals tell you why, technicals tell you when, then you just need to have a bull market backing you.
you are correct, but the goal of the funds is to have safe, durable and sustainable investment, they do not like risk, because they are responsible for people money, it is easy to beat the index in the short run, just buy risky stocks like Tesla, Biticoin.Its 100% without any diversification at all. the index contain good and bad stocks, why don't we purchase the good stocks and leave the bade stocks? I am here not saying follow normal funds, i am talking about the well-known for their success, review their purchase (but do not blindly purchase because these fund purchase them)
That's why I follow ARKK and pick up the largest holdings. I want to see if that method beats the NASDAQ.
Thank you Tom. You have given one definition of normal. My opinion to as what the other investor is doing is not normal at all. Borrowing to invest is not Tom, you just suggested what W.B. told his family to do when he died. Kudos
A value investor is someone that buys a company after the plunge after doing their homework and holds " Knowing this sucker is way undervalued".
I have outperformed almost all funds for the two decades I've been keeping track. So have some other folks here. You can too. One way to outperform all actively traded funds over time is to buy VOO and hold it for your whole life. To the last actively traded fund, they will explain to you they have an extraordinary trading history but performance numbers show they have subordinary trading history, if you consider the S&P 500 to be ordinary. Not surprisingly, retail investors also report extraordinary trading histories. Just browse this site for a few minutes to confirm. Data theory tells us that not everyone can be above average. Forum theory tells us everyone can be above average. Trading is 99% religion, as best I can tell. Disregard this post, if you are someone who believes the majority is always right. There are only a few of us here who don't trade and I am one. People who have a strong belief in their own brand can trade aggressively and be the best at what they do but I've never heard of a trader retiring earlier than me.
Food for thought. W.B. suggests SPY. You suggest VOO. Either way over time both have been excellent buy and holds. Maybe IVV.
Tom, here is some food for thought. Lets compare VOO vs FSPTX. Look at one year and VOO blows FSPTX out of the water. Then look at 3 year, 5 year, and 10 year. Yogi Berra once told me if it is the bottom of the ninth, bases are loaded and there are 2 outs, you are down by three. Who do you hope is at bat. Maris or Mantle.
I see what you did but even in Maris's 61 homerun 1961 season he only hit .269 compared to the Mick's .317, so the answer should always be Mantle no matter when, hah
Well you have methods. You probably have used to these and had both success and failure, depending on your definition.
[QUOTE="StockJock-e, post: 143507, member: 20"Fundamentals tell you why, technicals tell you when, then you just need to have a bull market backing you.[/QUOTE] Don't confuse brains with a bull market.
