What is “active investing”?

What is "active investing"?

Long-term investing is not an easy path to outperforming the stock market (SPY). On the other hand, more active trading approaches lack some key elements that lead to outperformance. So let’s talk about a best of both worlds approach called “Active Investing”. Read on below for more information.

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The world is moving faster every day.

Not just technological change…but how quickly industry peers find ways to beat their competitors. This makes buy and hold investing more difficult than ever as stocks that once looked fundamentally promising can quickly deteriorate and become a drain on your portfolio.

This invites each of us to consider the virtues of “Active investment” which leads you to closely and continuously eliminate weak stocks as soon as possible to avoid undue damage.

Note that I am drawing a clear distinction between “Active Investing” and “Active Trading”. Meaning this is not a call to become a day trader… or a market slave who guzzles Red Bull all day while staring at 8 computer monitors.

Rather it’s about proactively making sure you stay in the healthiest stocks to give yourself the best chance of outperforming. This is because at the end of the day fundamentals are what really drive stock prices.

How come?

Because we are actually buying an ownership stake in a company (not just random statistics or a graphic pattern on a screen…but a real living/breathing entity with a clearly definable value).

My goal for this article is twofold.

First, to convince yourself that it’s in your best financial interest to become a more active investor.

Secondly, to give you free access to a number of tools that provide a source of lucrative choices for active investors.

The importance of timeliness

Some investors are more focused on capital preservation. While most aim to outperform the market.

The only way to accomplish the latter task is to have timely supplies. Those ready to resurrect now.

Ingredient no. Timely inventories No. 1 is improving fundamentals. That’s because the allure of those healthier growth profiles is what drives investors to bid on the stock.

On the surface this sounds like an overwhelming task as there are literally thousands of fundamental factors to consider.

Fortunately, StockNews members already know that POWR Ratings gives them a head start on this journey. That’s because this tried-and-true stock valuation model narrows it down to 118 unique factors that have historically pointed to stocks likely to outperform the market.

These staggering gains come from computers doing the heavy lifting crunching these numbers every day to make our lives easier. But there is still another problem to solve…

1,300 buy-rated stocks is too much

POWR ratings do a phenomenal job of scanning over 5,300 stocks to narrow it down to the top 25% ready to outperform (A and B rank).

However, that’s still a whopping 1,300 stocks to consider on any given day.

No matter how much you love picking stocks… reviewing 1,300 is still a tall order and unwelcome.

That’s why we’ve created several unique portfolio recommendation services to narrow down the best stocks.

In fact, right now we only have 41 total active recommendations across our popular portfolio trading services:

  • Reitmeister Total Performance
  • POWER Growth
  • POWR shares below $10
  • POWR trends
  • POWER value
  • POWR Unlocks
  • POWER options

Even better, 34 of those 41 trades are winners…not easy to do with so much market volatility.

However, it makes clear the benefit of the powr rating system in the hands of veteran investors who manage these newsletter portfolios for the benefit of our clients.

What to do next?

Remember what I said about the lens in this article above:

… give you free access to a number of tools that provide a source of lucrative choices for active investors.

And that’s exactly what we’re going to do now.

Look again at the above list of seven top-of-the-market newsletter portfolio services. The bundle of all those newsletters is what we call POWR Platinum.

You can now enjoy a free 7-day test drive of POWR Platinum to see all of these features, including the ability to see all 41 of our best trading ideas.

All you need to do is click the link below to get started:

Free 7-day trial on POWr Platinum to see all 41 trades >

ps Please note that this offer is only available until Sunday 27th November at midnight.

Wishing you a world of investment success!

Steve Reitmeister…but everyone calls me Reity (pronounced “Righty”)
CEO, Stock News Network and publisher, Reitmeister Total Return

SPY shares traded at $402.27 a share on Friday afternoon, down $0.15 or -0.04%. Since the beginning of the year, SPY is down -14.32%, compared to a % increase in the benchmark S&P 500 index during the same period.

About the author: Steve Reitmeister

Steve is better known to the StockNews audience as “Reity”. Not only is he the CEO of the firm, but he also shares his 40 years of investment experience in the Reitmeister Total Return portfolio. Learn more about Reity’s background, along with links to his most recent articles and stock picks.


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