New Here? Get the Free Newsletter

Oblivious Investor offers a free newsletter providing tips on low-maintenance investing, tax planning, and retirement planning. Join over 11,000 email subscribers:

Articles are published Monday and Friday. You can unsubscribe at any time.

Investing Blog Roundup: Should You Be Picking Stocks?

As regular readers of this blog know, I’m generally of the opinion that it’s a mistake to pick individual stocks rather than use low-cost, diversified index funds (or ETFs). That said, there are a few exceptions. This week, Rob Berger of Dough Roller made a good case for one of them:

Investing Articles

Other Money-Related Articles

Thanks for reading!

New to Investing? See My Related Book:

Book6FrontCoverTiltedBlue

Investing Made Simple: Investing in Index Funds Explained in 100 Pages or Less

Topics Covered in the Book:
  • Asset Allocation: Why it's so important, and how to determine your own,
  • How to to pick winning mutual funds,
  • Roth IRA vs. traditional IRA vs. 401(k),
  • Click here to see the full list.

A Testimonial:

"A wonderful book that tells its readers, with simple logical explanations, our Boglehead Philosophy for successful investing." - Taylor Larimore, author of The Bogleheads' Guide to Investing

Comments

  1. My favourite case for investing in individual stocks is because it’s a fun challenge. If you do it with your eyes wide open, knowing the research says you’ll likely lose — but you might win — I think that’s very different from following the hype from hot fund managers, or day trading indices or what have you.

    Thanks for the link today Mike! A rare week when you’re a bit too US focussed for me to reciprocate, but I may do a UK take on the multiple fund managers article (with UK/European laws) and link to yours from that (for a US perspective) at some point. :)

  2. I proved a few weeks ago I should not pick stocks. :O) Actually, a friend recommended some OTC stocks. It wasn’t a huge amount of $, so really looked at it like I was having some fun. I even looked at what my return would be if the stocks went to 0 and said, why not.

    Well, one has almost gone to 0 and another is well on the way. Fun over. :O) I also bought a few share of Apple. Going to a 1000, right?!? If you want to ruin a stock, just ask me to buy it. :O)

    Anyway, I didn’t go read the article, but I will.
    cd :O)

  3. Bah – what does Rob know? ;)

    I’ve always thought it would be interesting to try to outperform the market, but I’ve never really tried so I guess I’m not that interested.

    I can “make” more money by cutting investment costs than I can by spending lots of time picking stocks (assuming I was successful). I’d rather spend that time making money with my side businesses – or watching tv. ;)

  4. Good list of articles. I shall check on them later today. Thanks for sharing!

  5. Good list, I think Rob is a bit off though. He is already holding those stocks if he has Vanguard Total Market. In fact, the stocks he listed make up 6.87% of Vanguard’s holdings, see my comment on his article for more info..

    My comments don’t seem to be showing up

  6. Harry,

    Of course there’s overlap when compared to a total market fund. :) The point isn’t additional diversification. The point is improved tax efficiency.

Disclaimer: By using this site, you explicitly agree to its Terms of Use and agree not to hold Simple Subjects, LLC or any of its members liable in any way for damages arising from decisions you make based on the information made available on this site. I am not a financial or investment advisor, and the information on this site is for informational and entertainment purposes only and does not constitute financial advice.

Copyright 2014 Simple Subjects, LLC - All rights reserved. To be clear: This means that, aside from small quotations, the material on this site may not be republished elsewhere without my express permission. Terms of Use and Privacy Policy