Focus on A Portfolio, Not Individual Stocks

For retail investors, purchasing stocks has become a casual experience much like owning the latest gadget. Unfortunately, too many retail investors are purchasing stocks without rhyme or reason for their purchases. Countless television commercials now advertise services that claim to help you get the most from your investment dollars by using the latest investment platform. The majority of these platforms are geared around helping investors purchase investment vehicles that are not likely to outperform the market. These advertised platforms focus solely on product sales while negating the goal of building a successful portfolio of stocks which surpass performance of market indices.

Of course, outperforming the stock market is not the goal of all investors. If you are simply seeking investment solutions to meet financial goals using strategies that seek to match market returns, then a passive investment approach using index funds is likely your best option. Tax efficiency, low cost, and better performance versus most actively managed strategies are among the main benefits of indexing. However, for those that seek market outperformance, platforms advertised through the media are not likely to provide those results. In order for those investors to outperform, more work will be required to find these solutions. Fortunately, there are newsletters or investment websites available that provide market-beating strategies with some sites even offering investors money-back guarantees.

If you do choose a market-beating solution, please be aware of a few things that might dissuade you from choosing these options. Many investment websites provide solutions that require too much trading, often weekly. Another issue is that many websites provide services that only promote buying a recommended stock every month or every week without much guidance regarding building a portfolio of a specific size. Ultimately, these solutions are not necessarily focused on portfolio management but rather individual stock purchases. As a retail investor, your end game should be building a portfolio of stocks with the required buy/sell recommendations on an ongoing basis. Trading instructions should be clear, concise, and easy to understand. Complex trading strategies are not necessary for successful investing and should be avoided.

At Investoristics, we provide a simple and effective solution for retail and other investors. Our focus is on helping investors achieve market-beating returns through access to our Investoristics 10 portfolio which has performed well over the last 20 years with significant outperformance versus any market index with lower risk. All investors should demand better performance from their investment portfolios, and while those better performing solutions are not readily available, they do exist if you know where to look. Reach out to us today to discuss whether our solution is right for you or your organization.