Invest to Win in 2007

Investing to win in 2007 is entirely possible! The first thing you want to do is identify what you are goig to consider a win. If you just want to make more money than you would make with a regular savings account, you can do that with little to no risk. If you would like to beat the average 1 year CD, that can be done with only a very little risk. If you are hoping to beat the S&P 500 and really increase your portfolio value in one year, that also can be done, but it will require a little more guts.

The key is to find the investments that reflect your goals. For the average person, a nice, diverse portfolio is going to strike that balance between increase and comfort level. So, find some stocks that are in an agressive growth mode and have that fill between thirty to fifty percent of your portfolio. Next, you want to find some stocks that will perform in the long term and will show an increase with little to no risk. Clearly the growth will be slower, but it will still happen. Some of these stocks might include tech companies and international companies. I have HP and Agilent and AT&T. These have been both long-term growers and also HP has been a nice aggressive stock of late.

Finally, look into investing in mutual funds. These are like massive portfolios that are being managed by experts. You buy shares of the mutual funds, which in essence means you own a miniscule percentage of everything that fund has invested in. These funds are a nice, reliable way to be sure you win in 2007. As a final note, it is difficult to make a killing in the stocks without being incredibly well informed and being an expert yourself, so keep your sights within reason.