Yesterday’s post was for every investor, one wonders what is better picking the market or index or individual stocks. In an article by Jeff Sommer of the New York Times News Service, he examined a study by Hendrik Bessembinder a finance professor at Arizona State University. What he found was most stocks on the stock exchange do not perform well, however 3 to 4% perform very well which lifts the indexes. The 4% included Exxon Mobil, Apple, GE, Microsoft and IBM – they accounted for all the net market returns from 1926 to 2015.

Adding to the data was an article from Bloomberg News by Sofia Horta e Costa titled S&P 500’s famous FANG trade has nothing on Chinese four-stock frenzy. The S&P FANG trade refers to Facebook, Amazon, Netflix and Google. In China four internet stocks account for half of the 22% rally Tencent, Alibaba, JD.com, and Baidu.

Hong Kong listed Tencent in mid May reported record sales on demand for games on its billion plus users WeChat and QQ; Alibaba first quarter revenue rose 60% faster than expected; JD.com posted its first quarterly profit as a public company; and Baidu is China’s biggest online-search provider.

Fund managers expected good things from all the companies going forward.

Linking to dividend paying stocks, to be in the 4% is where the money is made both from a long term and short term because losses are fewer. Stocks go up and down and over time they change some keep producing but most evolve to something else, as they evolve as an investor as long as you are receiving your dividend you can look for alternatives but take time in acting.

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