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Tip of the Day Diversify Your Portfolio

Diversify Your Portfolio - One sure-fire way to lose money in the stock market it to invest too much money into one share or one company. The best way...

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Diversify Your Portfolio

Diversify Your Portfolio - One sure-fire way to lose money in the stock market it to invest too much money into one share or one company. The best way to ensure that you will have a balanced portfolio where one stock that is returning dividends and another may not be is to invest in many stocks. Rule of thumb; never invest more than 10% of your portfolio into the same company's stock options. This will help prevent losses if the company, even when it looks like a sure thing, goes through hard times. By diversifying your portfolio you are always more likely to come out on the up side of the stock market.

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Definition of the Day Story Stock

Story stock - A story stock is called so because there is some important news story about the company that will cause a movement of the stock of that company. The movement will be upward because of the company and its story. The stock movement is not driven by the...

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