Strategies to Create a Diverse Stock Portfolio To Not Fluctuate Drastically?

Dear Wanting To Evaluate Strategies for Turning a Small Amount of Cash into a Diverse Stock Portfolio,

Caution, Caution, Caution, Caution, Knowledge is Power!

First obtain strong and sound and fundamental education about the markets, choose to trust someone to teach and mentor understanding about individual stock selection, acknowledge there is fluxuation in the markets, there are no guarantees to an investment horizon, acknowledge the long term effort to your roadmap involves some degree of volatility on a continual basis, this is the nature of a healthy and dynamic stock market.

The answer to this question is “it depends” on your time horizon, your goals, risk tolerance, life expectations.

Before you learn to invest in the markets, purchase your first home or make any commitment which has lasting and long term consequences make certain you start with a money consciousness transcending all you will do.

This is a multiple step process involving learning about money, learning about savings strategies, learning and gaining insight about you, your family and how money was cared for growing up. Go to Mint.com or like site.

Gain insight from the books you read about investing, not only the patterns and styles of investing also the individuals who invested and how they profited during their tenure as investors in the marketplace both in the stock market, real estate and investing in themselves and their ability to become the controling factor of their personal and long term success- self made entrepreneur. Start a money diary, meet with like individuals.

Learn from great of the greats, Market Wizards, Warren Buffett, George Soros including business moguls Steve Jobs, Oprah Winfrey and Karl Icon. Tesla did not just become a great company nor did Apple. It took dedication, determination and mind set to lead the way to greatness. Then it took dedicated action period.

Understand Investment strategies, savings strategies, trading mentality. Be humble, patient and focus on the long term. This is a life commitment to grow savvy and smart long term. I call it the “tunnel vision approach.

The platforms available to you are diverse including among the many (not in order of importance or worth) E-Trade, Interactive Brokers, Fidelity, Morgan Stanley, Sink or Swim. There are many professing to teach and mentor money consciousness, in the end and at the end of the day the proof is in the pudding- you control.

I run a small group for millennials, college students and eager investors to empower a mindset of saving and automation of finances. I teach basic strategies about how to watch and understand the market, setting up a dummy account, moving forward knowing risk tolerance. My goal- mentor caution, care diligence long term.

It is fabulous to start now. If you begin with 100 per month or whatever it is you can afford in cash and never allow anything to stand in your way, investing cash on a regular and systematic basis, the power of compounding over the years and over time will allow you to amass a great fortune that will place you in a position of attaining financial independence.

Though Blue Chip Stocks are understood to have less risk than their internet counterpart, there is no steadfast rule that one group of stocks is safer than any other group of stocks. Best way to find and invest in stocks is to study the Business, understand the fundamentals of the company, is it sound, are there earnings, is the vision for the company long term? Prior to investing one must carefully digest each company’s fundamentals and not be drawn to trends or fads. Take the time to understand all of this and your portfolio may be less likely to fluxuate however at any given time the market may fool all of us!  Beware, be careful, be knowledgeable.

Stay on track. Stay focused. Save for the Long Term as This is Where Money is Made.

Be Empowered and Emotionally Grounded prior to Investing in the Markets.

 

Sincerely,

 

Jan Attard, MBA, RIA

J. Oliver Maxwell, LLC

http://www.jolivermaxwell.com

jolivermaxwell@gmail.com