Day trading gets a bad rap, and for good reason. Most people who try it end up losing money. But over the years, I’ve relied on a simple strategy that cuts through the noise. It’s a method that works by capitalizing on a fundamental truth of the stock market: the biggest players are also the slowest.
New traders often ask me if they should get involved with Initial Public Offerings (IPOs). The short answer is tricky: for someone who knows the ropes, IPOs can be incredibly profitable. But for those who don't, they're often a quick way to lose money. Let's break down why.
I’ve always seen the stock market as one of the most powerful tools for building wealth ever invented. It’s a space that I firmly believe should be open to everyone, not just a select few. That’s why is a question more people should be asking. There’s a place for every kind of personality and strategy here.
When you’re just getting started with investing, it’s easy to get overwhelmed. But what if I told you that one decision accounts for nearly all of your results? For anyone , this is the place to focus. A landmark study found that a staggering 94% of the difference in portfolio returns comes down to a single choice: your asset allocation. This is the strategic mix of stocks and bonds you decide to hold. It's more important than picking the “perfect” stock or timing the market. Getting this right is the foundation for anyone treating to build long-term .
Since the first index mutual fund launched back in 1975, the traditional, long-term approach to indexing has been a massive success. For anyone just getting into , it's a proven model. These funds, which simply aim to track a broad market index like the S&P 500, have consistently delivered returns that leave most actively managed funds in the dust. This is one of the most important lessons in .
After stripping away all the noise, a few simple truths about emerge. We know that chasing funds with a hot track record is a losing game. We’ve seen that even the best advice only works some of the time, and we know that high costs are a guaranteed drag on your returns.
We all like to think we can spot a winner. Whether it’s a startup, a sports team, or a stock, we’re drawn to the idea of picking the one that will outperform the rest. This mindset is especially common in , where many believe they can find the mutual fund that will deliver incredible returns. For those treating to build wealth, the allure of finding that "needle in a haystack" is powerful.
If you've been involved in over the past few decades, you’ve probably gotten used to some pretty impressive returns. But it's wise to plan for a future where the good times don't roll quite as high. The fundamental rule is simple: over the long haul, stock market returns are driven by the real performance of businesses—their dividend yields and earnings growth.
Have you ever looked at the stock market's performance for the year and then glanced at your own portfolio, wondering why your numbers don't quite match up? It’s a common experience for anyone involved in . The market might be up 7 percent, but your account doesn't reflect that full gain. The reason is surprisingly simple, yet it's something the financial industry doesn't spend much time highlighting.