Ten Steps To Financial Freedom
Smarter, Happier, and Richer: read our Foolish guide to getting your finances in order.
Investing Articles →
5 Stocks for Trying To Build Wealth After 50
If you’re aiming to get your finances on track and you’re in or near retirement, then here’s your chance to claim a FREE copy of an exceptional investing report featuring 5 stocks that The Motley Fool UK is expressly recommending for INVESTORS aged 50 and OVER to consider investing in!
Retirement Articles →
Compare Our Services
Find an investing service that’s right for you!
The Motley Fool UK’s personal finance team is here to help you tackle your short and long-term money goals. Whether you’re shopping around for a new credit card, top-rated share dealing account or stocks & shares ISA, we make it easy to compare products.
Christopher Ruane | Monday, 28th February, 2022
Stock markets continue to move around sharply, and I believe that will continue for some time. A stock market sell-off is an inevitable phenomenon from time to time. I think it is helpful for an investor to have tools to manage such a sell-off to their advantage where possible.
Here are five practical steps I would consider taking in such times.
5 Stocks For Trying To Build Wealth After 50
Markets around the world are reeling from the coronavirus pandemic… and with so many great companies trading at what look to be ‘discount-bin’ prices, now could be the time for savvy investors to snap up some potential bargains.
But whether you’re a newbie investor or a seasoned pro, deciding which stocks to add to your shopping list can be a daunting prospect during such unprecedented times.
Fortunately, The Motley Fool UK analyst team have short-listed five companies that they believe STILL boast significant long-term growth prospects despite the global upheaval…
We’re sharing the names in a special FREE investing report that you can download today. And if you’re 50 or over, we believe these stocks could be a great fit for any well-diversified portfolio.
Click here to claim your free copy now!
If a move does not make sense for me as an investor looking at the long term, can it make sense in the short term? The more I focus on short-term opportunities instead of long-term investment cases, the more I become a speculator not an investor.
I think this is always true – but it can be hard to remember during a stock market sell-off. Yet bad decisions I make hastily could set me back by years in building my portfolio.
The reason I think it is worth developing some investment principles when the market is calm is because one can think clearly then. Applying that approach can bring clarity into an otherwise confusing situation when the market stumbles.
Often a stock market sell-off throws up unusual but tempting situations. Last week, for example, the soaring prospective yield of Evraz as its share price plunged was really attractive to me. But the company does not fit my investment criteria, so even at a more attractive price, it would still be a bad fit for my portfolio. In such situations, sticking to one’s own investment principles can be difficult — but it makes it easier to handle a volatile market in a way that matches one’s own long-term investment goals.
Diversification is an important risk management tool. It allows investors to reduce the risk to their portfolios if a share they own suddenly faces unexpected challenges. Even if I am investing just a few hundred pounds, I can diversify my shareholding across different companies. A stock market dip can hurt most shares, but often some sectors suffer worse than others. That should hopefully affect my overall portfolio less if it is properly diversified.
Market volatility – which can coincide with wider political or social volatility – can make for a very emotional time. Other market participants can start talking in dramatic terms, which may affect me emotionally as an investor.
So I find it helpful to focus on facts first and foremost. For example, if someone says “the market for this company will never come back” or “we’ll never see a buying opportunity like this again”, I look at the data. Imagine I do not want to buy a company because it lacks a sustainable competitive advantage, for example. The mere fact of a sudden share price plunge does not change the company’s lack of a competitive advantage.
Warren Buffett talks about not owning shares that cost him sleep. If a stock market sell-off causes one real stress or financial worry, it could mean it is time to reassess one’s portfolio and investment strategy.
I would build and manage my portfolio in a way that worrying about it does not interfere with daily life. Investing is about building long-term financial security, but not at the expense of my short-term wellbeing.
Inflation Is Coming: 3 Shares To Try And Hedge Against Rising Prices
Make no mistake… inflation is coming.
Some people are running scared, but there’s one thing we believe we should avoid doing at all costs when inflation hits… and that’s doing nothing.
Money that just sits in the bank can often lose value each and every year. But to savvy savers and investors, where to consider putting their money is the million-dollar question.
That’s why we’ve put together a brand-new special report that uncovers 3 of our top UK and US share ideas to try and best hedge against inflation…
…because no matter what the economy is doing, a savvy investor will want their money working for them, inflation or not!
Best of all, we’re giving this report away completely FREE today!
Simply click here, enter your email address, and we’ll send it to you right away.
Christopher Ruane has no position in any of the shares mentioned. The Motley Fool UK has no position in any of the shares mentioned. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors.
Renowned stock-picker Mark Rogers and his analyst team at The Motley Fool UK have named 6 shares that they believe UK investors should consider buying NOW.
So if you’re looking for more stock ideas to try and best position your portfolio today, then it might be a good day for you. Because we’re offering a full 33% off your first year of membership to our flagship share-tipping service, backed by our ‘no quibbles’ 30-day subscription fee refund guarantee.
Simply click below to discover how you can take advantage of this.
From 2015-2019, this UK company saw its revenues increase 38.6%, its net income go up 19.7x, and since 2012, revenues from regular users have almost DOUBLED.
We think the opportunity here really is astounding. In fact, one of its own board members recently snapped up 25,000 shares using their own money…
So why sit on the side lines a minute longer? You could have the full details on this company right now.
To get your copy of this research report for FREE, simply click the button below.
Click here for all the details!
Looking for a new share dealing account or to switch providers? Use our broker comparison centre to read free, in-depth product reviews and to apply online!
Rated 5 stars out of 5 by The Motley Fool UK
The FinecoBank* Multi-Currency Trading Account offers UK investors highly competitive share-dealing rates across 26 global markets.
Open your account using promo code TRD500-ML and during your first 3 months you can trade without incurring commission charges – up to a total commission amount of £500. (Terms and conditions apply.)
*Affiliate Partner
Important information and risk disclaimer: The value of shares and any income produced can fall as well as rise, and you may get back less than you invest. Exchange rate fluctuations can reduce the sterling value of any overseas holdings.
Claim your copy of…
About Us | Contact Us | Fool Careers | The Fool UK Team | Legal Information | Disclaimer & Disclosure | Privacy & Cookie Statement | GDPR | Terms & Conditions | Site Map
RISK WARNINGS AND DISCLAIMERS
We have taken reasonable steps to ensure that any information provided by The Motley Fool Ltd, is accurate at the time of publishing. Any opinions expressed are the opinions of the authors only. The content provided has not taken into account the particular circumstances of any specific individual or group of individuals and does not constitute personal advice or a personal recommendation. No content should be relied upon as constituting personal advice or a personal recommendation, when making your decisions. If you require any personal advice or recommendations, please speak to an independent qualified financial adviser. No liability is accepted by the author, The Motley Fool Ltd or Richdale Brokers and Financial Services Ltd for any loss or detriment experienced by any individual from any decision, whether consequent to, or in any way related to the content provided by The Motley Fool Ltd; the provision of which is an unregulated activity.
The value of stocks, shares and any dividend income may fall as well as rise and is not guaranteed, so you may get back less than you invested. You should not invest any money you cannot afford to lose, and you should not rely on any dividend income to meet your living expenses. Stocks listed on overseas exchanges may be subject to additional dealing and exchange rate charges, administrative costs, withholding taxes and different accounting and reporting standards. They may have other tax implications, and may not provide the same, or any, regulatory protection. Exchange rate charges may adversely affect the value of shares in sterling terms, and you could lose money in sterling even if the stock price rises in the currency of origin. Any performance statistics that do not adjust for exchange rate changes are likely to result in an inaccurate portrayal of real returns for sterling-based investors.
Fool and The Motley Fool are trading names of The Motley Fool Ltd. The Motley Fool Ltd is an appointed representative of Richdale Brokers & Financial Services Ltd who are authorised and regulated by the Financial Conduct Authority (FRN: 422737). In this capacity we are permitted to act as a credit-broker, not a lender, for consumer credit products. We may also publish information, opinion and commentary about consumer credit products, loans, mortgages, insurance, savings and investment products and services, including those of our affiliate partners. We do not provide personal advice and we will not arrange any products on your behalf. Should you require personal advice, you should speak to an independent, qualified financial adviser.
The Motley Fool Ltd. Registered Office: 5 New Street Square, London EC4A 3TW. Registered in England & Wales. Company No: 3736872. VAT Number: 188035783
© 1998 – 2022 The Motley Fool. All rights reserved. The Motley Fool, Fool, and the Fool logo are registered trademarks of The Motley Fool Holdings Inc.
