At this time of the year, many Business magazines and newspaper sections publish what stocks should you buy to make money in the next 6 months. The emphasis is on growth stocks, those which you buy to make short term money and expect to sell in less than a year. There is a bias towards lower priced stocks, for if they move upwards you will automatically have a greater return. One piece of advice is if the stock is lower than the price of hamburger, perhaps you should buy hamburger first. Generally stocks are lower than the price of hamburger for a reason. (if you want to see how in touch your politicians are, sometimes asking them the price of hamburger is a good question to ask) Back to the sprint, it is a sexy race, trying to predict which stocks will go up in 6 months and it is similar to the Olympics. The most hyped and watched race was the men’s 100 meters race. Anyone who watched the Olympics either saw it or wanted to know the result.

Linking to dividend producing stocks, they will tend to lose the above race, unless the general market goes down for dividend producing stocks tend to hold their value longer. The stocks generally do not go up as fast, nor do they go down as fast, unless they have to cut their dividends. If you wish to play along in the business stock race, rather than the buying the names listed, focus on the the bigger picture. For example if many of the stocks in the race are in the housing sector, find dividend stocks which benefit from improvements in the housing sector. If the pundits are correct and the individual stocks do go up, you will made even more money with your dividend and capital gain. If they are not correct you still receive a dividend payment.

There are more questions than answers, till the next time – to raising questions