I picked my 15 stocks to watch but have limited funds. Should I pick some of the fifteen or divide by all 15 to invest? Why?
I would diversify as best you can, if you are using a discount broker like e-trade you can buy odd lot shares and pay the 9.99 fee even for as little as 10 Shares. this is a good way to diversify by making more smaller purchases to get established.
One thing to keep in mind is tyring to keep your transaction costs low, typically below 2%. So for example if you are buying 10 shares of a 100 dollar stock and paying 9.99, 10x100= $1000, the 9.99 would be a mere 1% and that would be good. If you bought 10 $10 shares, 9.99 would be 10% of your cost.
Riingo, I'll give you my idea of a good portifilo. This is from the view of a retired person-but I belive it would work well for anyone. I like dividens, plain and simple. If a younger person re-inveasted the dividens(buying more shares), when you are ready to withdraw from your portifilo, you gave nice gains. Also, I try to keep a couple of growth stocks than delive faster gains.
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