getoutearly
Recycles dryer sheets
- Joined
- Jan 27, 2006
- Messages
- 77
I have my portfolio allocated to lots of different funds. Some managed, some indexes. Was talking to an older, thoughful, coworker who said he used to do that, but switched several years ago to individual stocks.
Only a handfull or 2 at most. Mostly large, stable, dividend generating stocks with a couple others thrown in as the opportunity arises (XOM, GE, F (recovery play), Pfizer, Bank of America, Whole Earth, a health care company, etc. and some laddered CD's ).
The dividends provide some gauranteed growth and since the companies are large stable outfits, less chance of loss of principal. Less "diworsification".
Sounds kind of interesting, and got me to rethinking my approach (not sure if that is a good thing or not). His is almost a buy and hold approach. Anyone else taken this approach? Tried both approaches and have comments on them?
Too many options out there...
Only a handfull or 2 at most. Mostly large, stable, dividend generating stocks with a couple others thrown in as the opportunity arises (XOM, GE, F (recovery play), Pfizer, Bank of America, Whole Earth, a health care company, etc. and some laddered CD's ).
The dividends provide some gauranteed growth and since the companies are large stable outfits, less chance of loss of principal. Less "diworsification".
Sounds kind of interesting, and got me to rethinking my approach (not sure if that is a good thing or not). His is almost a buy and hold approach. Anyone else taken this approach? Tried both approaches and have comments on them?
Too many options out there...