The Market

Since approximately 75% of a stock’s move is due to the market (50%) and its sector (25%) it is important to understand what the market is doing even when you are investing in stock mutual funds. Consequently it is important to attempt to assess the market direction using tools such as Investor’s Business Daily which are described in the Market section of the Stock Picks page of this website.

Please also see the Sector comments on the Stock Picks page of this website.

I believe that the markets will remain inefficient and that over the next five years, good stock pickers (i.e. the best mutual fund managers) will continue to outperform the indices, and that mid-cap stocks will be the sweet spot of the market when you are in the market.