Investment Strategy

Finance allah shmoop what are investment objective and style All

right people we all want to make money right Okay

everyone except that guy Yeah That's everyone's overall investment objective

Scratch a little further and you'll find that everyone's investment

goal or objective is a little different Well some people

want to make a lots of money fast and they

can risk a lot you know because retirement is right

around the corner and they've got a prayer on their

side Some people are okay with making money slow because

they don't feel comfortable taking a lot of risk Some

folks want to make money sure but want to invest

only in quote ethical unquote companies And you got a

whole bunch of other flavors on down the line Well

it's a registered investment advisors job to figure out how

much someone wants to make and how they want to

make that money risk wise with their investments Not knowing

this stuff helps the adviser choose the right options for

their client So what's your investment style Sure you've got

style that would make kanye west weak but what's your

investment style like depends on your personality your investment ideas

And what your goals are and how much you really

can risk and you afford tto lose everything and start

all over if things go bust putting all your money

in whatever dot com well your style might be aggressive

like you go after stock to think a ll rise

and rise fast you know like new i pose and

high growth tech companies and you're comfortable knowing they could

also go bust and you could also be an index

or just kind of passive i eat You're not going

to try to outperform the market you're into long term

growth so you might want to just be the market

by an index fund of the s and p five

hundred Your style might be focused on buying shares in

big companies and holding them for a long time or

brian smaller growth e companies and hoping they take off

but holding them for a long time like not a

lot of trading not a lot of taxes things just

kind of plunk along Well you might be all about

value buying stocks everybody hates when they're on the cover

the wall street journal which is saying this thing is

a dog Then you want to buy it because really

cheap or you might be in a growth like companies

that don't pay a dividend Maybe they don't even have

any earnings like amazon Amazon probably the greatest growth stock

in history barely had any earnings no dividend and it

just grows you know look at that chart that a

beauty Well there are tons of hybrids in between all

of these styles but at the end of the day

it's all about risk and reward and time And for

most people the worst thing they khun dio is stay

high and dry fully out of the investing pool because

over time the markets go up so no your objective

know your style and whatever you do don't make kanye 00:02:37.313 --> [endTime] cry