Traditionally, stocks have provided high returns and have been a mainstay of most investors’ portfolios. Since a share of stock merely represents an ownership interest in an actual business, owning a portfolio of stocks just means we’re entitled to a share in the future income of all those businesses. If we can buy good businesses that grow over time and we can buy them at bargain prices, this should continue to be a good way to invest a portion of our savings over the long term.
Following a similar strategy with international stocks (companies based outside of the country e.g, United States and others) for some of our savings would also seem to make sense (in this way, we could own businesses whose profits might not be as dependent on our local economy or our local currency)
No comments:
Post a Comment