In addition, Pat thinks then beginner investors should cultivate two important qualities: a healthy sense of skepticism and patience.
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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.
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Founded in 2006 in New Zealand by Peter Beck, the company has grown into a prominent player in the small satellite launch market. Beck is the current CEO and holds about 10% of Rocket shares.
The company designs and manufactures small and medium-class rockets, spacecraft, and spacecraft components, as well as related software and services, to support the space economy.
Rocket Lab went public in August 2021, when it combined with Vector Acquisition Corp., a SPAC (special purpose acquisition company).
The company’s key segments are:
Maple Leaf Foods (symbol MFI on Toronto) recently spun off its pork processing business, which raises and processes hogs, as a separate firm called Canada Packers Inc. After the spinoff, the new pork company has continued to supply meat to its former parent.
Canada Packers is now the subject of a “mini-tender” offer from TRC Capital Investment Corporation.
Mini-tenders typically bid for shares at prices below the market price, and the offers are highly conditional.
Huntington has three main business segments:
Through its Ingalls segment, the company designs and constructs non-nuclear ships for the U.S. Navy, including amphibious assault ships, surface combatants, and national security cutters.
The core business of its Newport News segment is the design and construction of nuclear-powered aircraft carriers and submarines, and the refuelling, overhaul and inactivation of nuclear-powered aircraft carriers.
Your confidence in us is especially gratifying this year given the market volatility we’ve seen, kicked off by April’s sharp decline. For many of you, the even sharper increases that followed—the S&P/TSX Composite is now up a whopping 26% from January 1—have strengthened your appreciation of TSI’s investment philosophy.
Here, let me repeat our three-part Successful Investor approach to portfolio building. We think it always bears repeating, regardless of the market conditions:
1. 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.
2. Spread your money out across most if not all the five main economic sectors: Manufacturing & Industry, Resources & Commodities, the Consumer sector, Finance and Utilities.
3. 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.
We designed our Portfolios to help you build the kind of portfolio we advocate. First, you should invest mainly in stocks from our “Average” or higher TSINetwork Ratings, which make up the bulk of the choices in our Portfolios.