Q: How can I tell when a stock or ETF is good to invest in?
A: Hey, thanks for asking! This is a big question that lots of folks have when first entering the market. While I can’t speak to any particular stock examples, there are a few aspects to consider when selecting any asset to invest in.
- Start by reflecting on what kind of stocks you are interested in and why. Are there any particular industries or companies that stand out to you?
- How are the prospects of those assets? Research the company’s stock, or view details about a mutual fund or ETF in its prospectus.
- Are there any reputable sources of information about these stocks? What are they saying and is it consistent?
These steps will help you get an overview of the asset and whether it’s the right choice for you. If you have any questions about a specific stock in particular, it may be best to speak with a registered financial advisor.
All this considered, the stock market is generally always fluctuating in value, which means that regardless of which assets you invest in, you may see their value shift overtime. In these cases, remember that historically speaking, the stock market’s volatile waves have always come to pass (eventually). Here’s more helpful guidance on how you can navigate market changes.
Hope this helps!