How To Invest

In addition, Pat thinks then beginner investors should cultivate two important qualities: a healthy sense of skepticism and patience.

[text_ad]

Investors should approach all investments with a healthy sense of skepticism. This can help keep you out of fraudulent stocks that masquerade as high-quality stocks. It will also keep you out of legally operated, but poorly managed, companies that promise more than they can possibly deliver.

If you are a new investor, you should also realize that losing patience can cause you to sell your best choices right before a big rise. All too often, investors buy a promising stock just as it enters a period of price stagnation. Even the best-performing stocks run into these unpredictable phases from time to time. They move mainly sideways in a wide range for months or years before their next big rise begins. (Stock brokers often refer to these stocks as “dead money.”)

If you lack patience, you run a big risk of selling your best choices in the midst of one of these phases, prior to the next big move upward. If you lose patience and sell, you are particularly likely to do so in the low end of the trading range, when stock prices have weakened and confidence in the stock has waned.

[text_ad]

Read More Close
How To Invest Library Archives
Here’s an Excerpt from a recent issue of Advice for Inner Circle Pro Members:


“It’s a mistake to let predictions guide your investments, but especially so at times like now, when new ideas and differences of opinion are continually streaming into the markets....
A: NorthWest Healthcare Properties REIT, $13.21, symbol NWH.UN on Toronto (Units outstanding: 193.2 million; Market cap: $2.6 billion; www.nwhreit.com), owns and operates a portfolio of medical office buildings (41%) as well as hospital and healthcare facilities (59%)....
A: BMO International Dividend ETF, $19.67, symbol ZDI on Toronto (Units outstanding: 22.2 million; Market cap: $440.6 million; www.bmo.com), offers exposure to a portfolio of high-yield dividend-paying companies in developed market....
BCE may have disappointed some aggressive investors in the past five years—it’s now roughly in the middle of its $50 to $65 price range for that period. However, income-seekers are no doubt pleased at the rise in its dividend, from $2.60 a share in 2015 to the current 2021 rate of $3.50, in the midst of an historic depression in bond interest rates and other sources that investors rely on for income.

While BCE’s payout has climbed, the company and its industry have made fundamental progress that’s likely to pay off with substantial gains in the next five years.

We’re used to—and quite happy with—the variable performance we’ve received over the years from BCE....
Here’s an excerpt from a recent issue of Advice for Inner Circle Pro Members:


“It’s a mistake to let predictions guide your investments, but especially so at times like now, when new ideas and differences of opinion are continually streaming into the markets....
A: C3.ai Inc., $86.44, symbol AI on New York (Shares outstanding: 97.4 million; Market cap: $8.4 billion; www.c3.ai) makes software for corporations to speed up their deployment of artificial intelligence (AI) applications.

On December 9, 2020, the company’s shares began trading at $42 on New York, following its IPO....
A: The Trade Desk Inc., $706.46, symbol TTD on Nasdaq (Shares outstanding: 41.9 million; Market cap: $32.2 billion; www.thetradedesk.com), operates a self-service, digital-advertising platform where clients make their purchases online across various formats and devices.

The Trade Desk is headquartered in Ventura, California; it has 1,200 employees worldwide, spread across 23 offices in North America, Europe and Asia Pacific.

The company offers a demand-side platform, which means that buyers of digital advertising are able to manage multiple ad and data accounts through one interface rather than having to open accounts with each supplier of digital content....
A: WPT Industrial REIT, $15.39, symbol WIR.U on Toronto (Units outstanding: 87.1 million; Market cap: $1.3 billion; www.wptreit.com), is a Canadian REIT that owns and manages industrial properties in the U.S.

Right now, WPT has 99 properties in 20 states....
There’s a fine line between truisms and clichés on the one hand, and great gems of knowledge on the other. Worse, that fine line keeps shifting. It depends on where you are, who you’re talking to, and the level of knowledge and manners of the people who are in on the conversation.

When you’re relatively new to a particular subject—investing, say—you run the risk of accepting a truism or cliché as a great gem of knowledge....
Here’s an Excerpt from a recent issue of Advice for Inner Circle Pro Members:


“One form of technical analysis is the Relative Strength Indicator (RSI)....