Making Money with Investments

Characteristics of Stocks

  • Stocks that are listed on a stock exchange are not all the same, the have different characteristics.

 

  • Those characteristics can have a significant impact upon the performance that you might expect from a stock.

 

  • When making investments in the stock market, it’s important to be aware of those differences as they should play a role in determining what stocks you buy and what stocks you try to avoid.

 

  • With that said, it’s not necessarily the case that there are good and bad characteristics, it often depends upon the approach taken by the investor.

 

  • For instance, if someone is more open to taking big risks, they may select stocks that are totally different in terms of characteristics, when compared to an investor that is more risk adverse.

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