Investment Strategies

Unexpected expenses can happen. If someone does not have an income, an income can be created using share income funds. Listed below are various Strategies:

  1. No strategy: Investors who don’t have a strategy have been called Sheep.  Arbitrary choices modeled on throwing darts at a page (referencing earlier decades when stock prices were listed daily in the newspapers) have been called Blindfolded Monkeys Throwing Darts [no source]. This famous test had debatable outcomes.
  2. Dividend growth investing: This strategy involves investing in company shares according to the future dividends forecast to be paid. Companies with consistent and predictable dividends tend to have less volatile share prices.
  3. Smaller companies: Historically, medium-sized companies have outperformed large-cap companies on the Stock market. Smaller companies again have had even higher returns.
  4. Indexing: An investor buys a small proportion of all the shares in a market index such as the S&P 500, or more likely, an index mutual fundor an exchange-traded fund (ETF).
  5. Micro-Investing: Micro-investing is a type of investment strategy that is designed to make investing regular, accessible, and affordable, especially for those who may not have a lot of money to invest or who are new to investing.