Topic: How To Invest

What is Pat’s commentary for the week of May 1, 2018

Article Excerpt

When the market is unsettled and volatile, as it is today, you need to resist any urge you may feel to buy or sell on impulse. Instead, keep the mechanics of successful investing in mind. For Inner Circle newcomers, here’s a brief explanation of our three-part Successful Investor approach to portfolio building: Invest mainly in well-established, dividend-paying companies. Ideally, some of your picks should have hidden assets. That is, assets that many investors disregard or fail to appreciate. Spread your money out across most if not all of the five main economic sectors: Manufacturing & Industry, Resources & Commodities, the Consumer sector, Finance, and Utilities. Downplay or avoid stocks in the broker/media limelight, where a modest business setback can set off a deep, sudden and sometimes permanent drop in the stock. Our first rule tells you to buy high-quality stocks. Most of these stocks were already succeeding in business prior to the start of the 2008/2009 recession. This suggests that they…