I started investing outside of my 401k at the beginning of 2016 using various IRA's. Of course, I started with index funds after reading things recommended here and Bogleheads.
But, since I'm a CPA by day and put together and read financials for a living, combined with the joy of stock picking, I decided to try my hand at picking stocks. I told myself to give it a year, and if my returns of behind the S&P 500, I'll go back to indexing.
Needless to say, I'm going back to indexing. My total return for picking stocks is 3.80%. A whopping $800 extra in my account! Wow.
I owned 15 positions. Most of those have been red, with a few greens in the 2-4% range. No companies you never heard of. All nice big blue chips. I didn't even come close. My best performance was Boeing at a whopping 40% return, followed by Visa for 25% and Facebook for 12%.
I learned my lesson. If I would have stuck to SWTSX, I'd be sitting on an $3,000, not $800. LOL. Actually doing it was the best teacher. Part of me thinks it was harder due to the 9 year bull market. I think I would have faired better if I was doing this in 2009, after coming out of a devasting bear market.
Anyways, indexing is really the best way to put your money to work for the long term. Now maybe my wife will get off my back!
Submitted September 25, 2017 at 02:27PM by razeus http://ift.tt/2wPhXuz
