Here's Why I Stopped Picking Stocks (and maybe you should too)

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This video looks at why most retail investors suck at picking stocks, why this might be, how many stocks actually beat the market and then what some of the best super investors tell us about how to do it well.
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Опубликовано:

28 сен 2024

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Комментарии : 163

@MattMcQueen1 Год назад

Good video. I'd say diversified index funds are definitely the best way to go. Picking individual stocks is very risky, particularly with stocks that are being hyped, such as Tesla. I was tempted by UK dividend stocks, but what you gain in dividends, you lose in the value of the stocks over the long term. The UK stock market just doesn't perform very well, and that doesn't look as if it will change very soon.

@pickashole Год назад

There's a few investors here on RU-vid who are doing alright with UK stocks but add a few ETFs to them from say the s&p500 etc

@baseballgamer0211 11 месяцев назад

Tesla is a good company. Not sure why you used them as the example.NVDA would have been more fitting

@MattMcQueen1 11 месяцев назад

@@baseballgamer0211 not sure what your definition of a good company is. Its share price is all over the place, and is currently back down below $200.

@baseballgamer0211 11 месяцев назад

@@MattMcQueen1 Just because it is volatile doesn’t mean it is bad of overhyped. They are at the forefront of the EV market and don’t need to have the best EV on the market especially now that they will dominate the charging station market

@MattMcQueen1 11 месяцев назад

@@baseballgamer0211 I honestly don't care.

@StudentOfTG Год назад

Like the great old Jack bogle stated "Time is your best friend, and impulse is your worst enemy".

@mortenborg Год назад

Index funds makes it much easier to handle your stomach. If the market goes down 30% I'm OK with it (tried it in 2008), because it will eventually come back up. If a single stock goes down 30% I would likely panic as it might never recover.

@wongrichx Год назад

very true 👍👍 just like SVB , it used to perform very well but suddenly collapsed.

@DarkoFitCoach 3 месяца назад

100%. 1 company can and often does go bankrupt. 500 biggest usa companies? No chance of that happening. So anytime there is a bear market i just buy more. Sp500 is on sale then

@turner1622 Год назад

Cheers Toby for the video, picked a few stocks and created a pie on T212, nothing too serious, see where it goes. Have a good weekend

@TobyNewbatt Год назад

You to bud!

@maxt1617 11 месяцев назад

Good video. To support why you should not pick stock individually, I run an 8 stock portfolio (small caps, value investing) and consistently earn 20-35% p.a.... The catch is that I started investing in 2001 (age 24) now 46. I have an MBA (it is useful for a truly broad understanding of business). It requires 6-8 hrs a week to manage. And have spent 5 yrs creating a process that is not shared with anyone and the very few who know my results I turn away managing their money (the risk return is assymmetrical; just not worth my time for the hassle), in stark contrast to the charlatans trying to sell a process/course for $2000. Trust me, if you truly earn these returns, selling a course or being shadow invested for a few $ is pointless. So these are the reasons you should not pick stocks yourself; it is hard work and a long learning curve (only then does the stock market become your playground).

@TobyNewbatt 11 месяцев назад

Great comment and thank you for watching!!

@___Chris___ Месяц назад

I believe finding an undervalued stock that has potential is the easier part. Countless books have been written about it. The trickier part is when to sell. In my opinion, just holding an undervalued stock for a really long time is not the best solution for outperforming the market. Here's my philosophy: (1) You sell as soon the price is justified. This may happen because the valuation deteriorated or because the price climbed to a justified level. (2) You sell when the risk increases (e.g. due to solvency issues / debt accumulation, problems with the product, etc.), thus worsening the risk/reward ratio compared to the initial level at the time the stock was bought. (3) You don't sell only because the price dropped for no serious fundamental reason (e.g. triggering a stop loss, which is not the best idea in value investing anyway), because you'd end up selling something that is even a better bargain than at the time you bought it. (4) if (1) or (2) applies, you don't refrain from selling only because you believe the price might go up further. Take the win, find the next bargain and put the money to better work.

@alanmorris3854 Год назад

I'm an inverster not a trader so most of my money is in indexes. I have a few dividend stocks and a few growth stocks to keep it interesting and to stop ne doing something stupid with my funds. I look at the funds as my savings account and stocks as my cassino money. But the way I look at it I've neither beaten the market or lost to it untill the day I cash in

@TomsPersonalFinance Год назад

I do the same as you, Alan. I love having a small percentage allocated to individual stocks to keep investing a bit more exciting.

@alanmorris3854 Год назад

@TomsPersonalFinance yep it keeps it interesting helps you learn. I only invest an amount in stocks I'm prepared to lose and its always nice getting dividends. So the up one day down the next really don't matter to much

@TobyNewbatt Год назад

Snap, not going to lie I also have some stocks and I use this to keep me interested. Same thought process, happy to underperform or even lose but it keeps me in the game :)

@tyeng1295 Год назад

People suck at stock picking because they start with low capital. When you’ve got £1000 you can’t buy Amazon where everything is priced in. Great in 5 years you might have £1250. So what. To make any actual money you have to buy 2016 Tesla or 2012 Bitcoin. That takes heavy risk and a lot of luck. By the time you see a stock on CNBC it’s waaaay too late

@ChrisShawUK Год назад

Most trading platforms allow you to buy fractional shares. And if you put £1000 into an index fund, you might have £1250 also over five years. You need to invest regularly... so 1000 every three months (or whatever you can afford). But you're still better off putting that into index funds because stock picking sucks even with more capital

@Aubatron 11 дней назад

Not fully true. Warren Buffet has said that his earlier days in value investing before Berkshire Hathaway, he made returns in excess of 50% with very small capital. He said people starting off should look at very small obscure business that institutional investors don’t look at because they can’t fit any capital into them, thus more often making these businesses priced incorrectly by the market. You said you’re taking on risk when you buy these companies early, but you’re really not. If the balance sheet is good with low debt, and the future cash flows exceed the current market cap many times over, there is hardly any risk.

@nicobass1966 Год назад

Good man -I think the market is on the up and I hope we see an uplift in the US Equity as I've got a big pot ridding on it :)

@meinages 11 месяцев назад

Thanks another great and informative video!

@TobyNewbatt 11 месяцев назад

Cheers for watching :)

@lukespelman8862 Год назад

I think you're right that most people shouldn't buy stocks, I just don't agree all people shouldn't. What you have done is highlight a really good video on what people need to be conscious of if they want to buy individual stocks, and i'll also even agree most won't do these things even when they know. The Peter Lynch stomach quote is great. I know people who've made smart investment decisions, but bailed out on bad news, and done significantly worse than if they'd just bought and ignored. The key I think is knowing within yourself your limitations. I made mistakes early, but I've learnt from them. I won't go back towards the ETF route now, but I understand it may be the best way for many. Whatever works for you as an individual.

@TobyNewbatt Год назад

Thanks for the comment! Just one thing I'd say though, is yes while I agree that most people shouldn't be buying stocks. Even those who apparently know what they are doing still cannot and do not beat the market consistently...so if the experts with all the resources can't beat the market, do you think you can beat the market consistently over the next 20-30 years or whatever you investing horizon is?

@lukespelman8862 Год назад

@TobyNewbatt it is a fair question. I know people who have done it for that long but the other benefit they have is they can align their stock choices to their specific financial goals better than with ETFs. Based on my last few years, I'm pretty confident. I made mistakes early, and they were a cheap lesson. I take your point though, onlly time will tell though.

@TobyNewbatt Год назад

@@lukespelman8862 as long as you understand the risks. As you might guess, my biggest fear is that most retail investors don’t and they get shafted all along by high fees, grifters etc. who claim to know the future. Thanks again for the reply Luke and keep up the good work 👍👍

@lukespelman8862 Год назад

@TobyNewbatt totally self managed. I had a family member who did half self managed and gave half to a financial advisor..after a while he realised that not only was he doing significantly better but the financial advisors logic in their decisions seemed underwhelming. He then changed to 100% managed. I believe most financial advisors are detrimental.

@dsanti4069 Месяц назад

I been beating the market since I started invested . I just buy Apple stock . It's simple buy stock in companies you use every day and you will beat the market

@dcphillips1991 Год назад

Warren Buffet bought a company I worked for, and it did absolutely shit I'm sure he's on record saying he regretted buying it, it's called Lubrizol.

@TobyNewbatt Год назад

Interesting! Have to remember that anyone can make mistakes as we just do not know the future. In fact I'd wager that Berkshire will have a very hard time beating the market over the next 20-30 years. It's just too big now

@TheBigShort11 Год назад

I average 17% p.a for 3 decades, it is actually easy with couple of millions than with billions.

@ChrisShawUK Год назад

Why does it matter the amount you have? If you get 17% pa, you'll get that on £1000 or £10m

@fanban2926 11 месяцев назад

@@ChrisShawUKIt matters a lot because with lower amounts it's easier to buy less liquid stocks.

@ChrisShawUK 11 месяцев назад

@@fanban2926 that's just a word salad

@fanban2926 11 месяцев назад

@@ChrisShawUK No, it's true. Liquidity is a big issue for big investors. That's why you won't see Warren buffet buying microcap stocks.

@angeloflam Год назад

Hi Toby, I have an ISA with trading 212 that I put an initial sum of £10k into (and am adding £500 to each month on top). I am investing £500 each month from this into an ETF (S&P 500). I noticed the interest is only 2% on the Isa and just wandered what the benefits are of having it in this Isa v having it in my savings which gives me 4.5%? Not sure whether I should just invest each month into the fund as opposed to having that 10k sat in there not earning much. What do you think?

@BIG2hats 10 месяцев назад

I would lump sum the majority of that 10k (research lumpsum investing vs DCA’ing). If you want to keep the 10k in cash and only drip in £500/months, then put this in a savings account account and setup a debit debt from there to your ISA. The avg. returns of the s&p500 in the long term are 8%, much higher than 4.5%

@DogScreenTV 8 месяцев назад

Might put 1/2k into CELH and see what happens. If I lose it I lose it, don’t quite have to balls to put 10k in though😂

@keithdockrell7088 Год назад

The answer is to invest in things you know. If you work in the automotive industry, or in insurance, or in food, or in health, wherever you work you have valuable insider information and can often make better decisions than people studying graphs and charts, including the professionals. People lose money because they buy things they don't know. JMHO.

@ionut.666 Год назад

can you please give some examples of diversified index funds for beginners in trading? 🙂

@TobyNewbatt Год назад

Check out my channel! I have loads of videos

@adrianellis2433 Год назад

The stocks that beat the markets are usually smaller companies that get bought by larger companies

@TobyNewbatt Год назад

They do often start pretty small which makes them even harder to find! If you filter out small caps the number of great performers is even smaller 👍

@adrianellis2433 Год назад

@@TobyNewbatt Lord Lee was the first ISA millionaire 2003 he only invested in Aim stock.

@Lofipeak Год назад

I am 32% up in this year

@TobyNewbatt Год назад

Keep up the good work! Now just do that for 20-30 years :P

@1292liam Год назад

I was thinking of buying 8k in EQQQ (or VUAG) and 2K in Tesla (maybe 1K in CELH and 1k in BTC as well). That's it. Hold them for 3 to 10. It's fun to watch, and be a part of, the Tesla rollercoaster! I think you have some Tesla, if I remember rightly? Despite Elon doing some dick moves recently, I think long term he has many decent avenue's he's pursuing, mainly Tesla cars itself. Im always reading positive news that are or could be, strong catalysts to drive It ever north

@The_journeyy 11 месяцев назад

Index funds are definitely the way to go 👏

@valerienewbatt9678 Год назад

As always very good.

@TobyNewbatt Год назад

Thanks wee Val

@zanychelly Год назад

I’m happy that I don’t suck, between bonds and stocks I’m way above the S&P500, Inflation and any other normal benchmark. How I did it: Good companies, good bonds from good companies that were trading with premium, and the most important: not overreacting when the markets goes crazy.

@Azel247 Год назад

How long have you been doing it for?

@ChrisShawUK Год назад

I'm interested too in how long you've been beating market. I've been investing for 25 years and achieved market return over that period.

@withoutwroeirs Год назад

I think you're UK based? Centrica is up almost 300%.. after my idea on tradingview was published in January 2021. Currys PLC is next.. be careful with index funds, I think they are cooked. Individual stock pick will be the way forward for the next 10 years at least.

@rhymer2k Год назад

Makes 0 sense

@withoutwroeirs Год назад

@@rhymer2k what part?

@1292liam Год назад

Currys is going up 300%, next?!

@withoutwroeirs Год назад

@@1292liam May 2018 the stock was at 190, 300% from current levels. Folks then only talked of it going higher. Now it is only going lower. Emotions are what keep the 90% guessing. Probability keeps the remaining 10% succeeding.

@withoutwroeirs Год назад

@@1292liam Was I wrong about Centrica? Long'd it from 50 in 2021. 240% move.

@ryantgod2735 8 месяцев назад

which ETFs do you have toby?

@TobyNewbatt 8 месяцев назад

You can watch any of my Portfolio updates which are all on RU-vid 👍

@Norfolkpaul Год назад

😊always great video

@TobyNewbatt Год назад

Thanks again!

@iffieaesar7620 Год назад

Wibble!!!!!! XD

@TobyNewbatt Год назад

Have a Wibble good weekend 😂😂

@whatisheartscont2be645 11 месяцев назад

Yep, the overwhelming majority of stocks are losers.

@aturan-fo1qt Год назад

Hi Toby, I like your videos but every RU-vidr says same names (Warren Buffett, Charlie Munger, etc) and same things like a cookie cutter. We are tired of these. Who recommends these to you, RU-vid algorithm?

@TobyNewbatt Год назад

Thanks for watching. Well In investing a lot of the principles are the same they do not change. There are very few long term investors with a solid track record, so some examples might sound the same but it’s only the same as you might watch a fitness channel and saying every exercise is the same. Lots of nuance and details to cover 😁

@peterzz4266 5 месяцев назад

This video was so dragged the F out

@TobyNewbatt 5 месяцев назад

- a review of the Lord of the Rings trilogy, 2024.

@dubsdolby9437 11 месяцев назад

Tesla meta Google Microsoft amazon job done ✔️ 😊

@chop5388 5 месяцев назад

Jup they carry the s&p

@christianlacroix5430 Год назад

I'll just 100x on shitcoins, thank you.

@TobyNewbatt Год назад

😂😂😂😂

@lilytea3 Год назад

0:28: 📊 Picking stocks is not as easy as it seems, as many investors struggle to beat the market and even super investors make mistakes. 3:08: 📈 The market is skewed by a small number of companies that have returned huge amounts of money. 6:07: 📈 The video discusses the investment principles of Bill Lmanis and the importance of investing in high-quality companies with strong balance sheets. 9:00: 📈 Investing requires emotional strength and patience to navigate market volatility. 11:54: 💰 Investing in funds and using stocks and shares ISAs can help you get started in investing. Recap by Tammy AI

@cb7560 11 месяцев назад

Good video. I completely agree with you. I'm an index investor and have been for three decades, BUT, as a bit of added background you may be interested that my dad, who was a stockbroker in London from the early 1950s onwards, once told me that until the creation of the first unit trusts/mutual funds, most shareholders never thought in terms of "beating the market" (as apart from anything else, the data on the market was hard to source for the average shareholder). Most of either them bought individual companies or more likely investment trusts for the long term dividend yields, and held the shares for the longer term, or picked "penny" shares for a punt. The whole "beat the market" thing was an American advertising idea which came to prominence in the early 1960s, and was used by mutual fund companies to make you buy and hold their fund over those of a competitor.

@toien 5 месяцев назад

It's good advice. But just buying EFTs, etc. isn't as exciting as buying stock. lol

@brysoga Год назад

Ive gone for a tech fund and suppliement it with shares in coinbase and microstrategy. I just keep adding to those 3 in my isa every month. Time will tell if its been a good bet or not

@TobyNewbatt Год назад

We never know what the future will hold, but good luck! tbh Bitcoin is probably heading for another bull market but lets see :)

@MattMcQueen1 Год назад

It would be interesting to know how an S&P 500 fund performs depending on whether you are a US resident or a UK resident. Currency fluctuations, and perhaps other factors such as tax, will have an effect on returns. RU-vid videos often talk about the returns of the index, rather than the returns of funds based on those indexes.

@ChrisShawUK Год назад

Tax management is an important part of investing, and critical to maximising returns. But it's independent of the underlying investment strategy. The UK is one of the most generous tax shelters in the world so it's worth maxing those out. On the currency front, it doesn't really make a difference. 75% of the ftse 100 earnings are international, so the sterling price of the index has currency movements baked in.

@MattMcQueen1 Год назад

@@ChrisShawUK my question was about the S&P 500, and a uk based fund will definitely be affected by currency fluctuations in that case. For US dividends, there is also a withholding tax, which I don’t think is avoided by putting your investment inside an isa, for example, since that is a US tax and not a UK tax.

@ChrisShawUK Год назад

@@MattMcQueen1 yes, but US citizens can't avoid those taxes either (except up to limits allowable under their law). Yes, a US citizen owning the S&P is not subject to currency fluctuations. But a UK citizen owning the FTSE100 definitely is. This actually makes it easier to diversify into the s&p from the UK ... while not completely zero, they are negligible when comparing the returns from each

@retsoptihs0 Год назад

Good points. What you could do, is invest half into VUSA(£) and half into VUSD($). Or, if you'd rather not have to reinvest the dividends yourself, invest in VUAG(£)/ and VUAA($). I don't know if it's a better idea or not as I haven't tried it (I have VUSA as the spread on VUAG on T212 is a bit shady), but it would protect you a little from currency fluctuations.

@currypablo 10 месяцев назад

I buy the S&P 500 index fund ETF version, but I also buy high yield dividend stocks for income.

@pipebliss 11 месяцев назад

Hi Toby, Where did you find the data about only 3% of the dividend stocks (paying over 2%) beat the S&P500? Would you mind sharing the link?

@TobyNewbatt 11 месяцев назад

Koyfin - I used a market screener to whittle down US, Canadian and EU stocks - then said who gave a total return above 12.7%, then filtered by dividend yield 2% TTM. Any platform with data like that can tell you :)

@aran7teen Год назад

I know my place. Index funds are for me 😂

@dragos-andreidascalu4566 3 месяца назад

This Video Saved My Life. Thank You So Much.

@p.c.h.6721 Год назад

Good, simple, informative, straightforward video 👍

@TobyNewbatt Год назад

Thanks for watching :)

@philiplythgoe7173 Год назад

Learn how to be happy losing money, l love it...

@TobyNewbatt Год назад

😂😂

@wongrichx Год назад

Yes. I would buy index ETF. Picking stocks is very troublesome.

@TobyNewbatt Год назад

I still pick some..not going to lie..but it's a very small amount and It keeps me excited :)

@shimsteriom4191 Год назад

Cracking video as always Toby 👌

@roberthem5216 Месяц назад

Underrrated content❤️

@breadcrumbsyum Год назад

Hi Toby. Thanks for creating the videos. I have a suggestion; maybe you could do a video on bonds and bond funds. You could talk about creating a bond ladder with individual bonds, how most bond funds never actually mature. Government/treasury bond funds, high yield bonds corporate bonds. Yield to maturity. You could even talk about inflation-linked bonds. There's a lot of content on youtube about the equity part of your portfolio and the basic message is to diversify with an low-cost passive index fund, but I can't many videos that talk about bond funds.

@TobyNewbatt Год назад

Thanks for the idea :)

@williamritchie9924 Год назад

BRK-A 75% portfolio, other 25% in individual stocks. I should probably put 100% into BRK-A though but I have a few individuals to make it interesting 😅

@TobyNewbatt Год назад

At this point isn’t Berkshire pretty much the market? Going to be very hard to outperform in the future?

@ChrisShawUK Год назад

The other problem with "research" is that it's mostly just confirming the thing you were going to go in the first place. I mean, who is going to spend three months researching a company and then decide it's not for them, and spend another three months researching another one?

@TobyNewbatt Год назад

Yep exactly this mate. Also what deems good research? More time the better? Smarter the better? The more I learn the more I question myself. But hey…people will be people 😂

@heyjianjing Год назад

I guessed that >4,000 can beat 12.7, while

@TobyNewbatt Год назад

Nice guesses! Lots of very small companies in that list though that you’d never come across. It gets very small once you filter medium sized

@__Rum-Ham__ Год назад

You suck at picking stocks because.. you’re picking stocks! Index and chill 😍

@TobyNewbatt Год назад

Index and chill...I'm gonna trademark that one day :P

@__Rum-Ham__ Год назад

@@TobyNewbatt you’re welcome to it as long as I get a commission 😂

@stuinvests Год назад

Great video! Just subbed.

@TobyNewbatt Год назад

Thanks for the sub! Welcome :)

@lawrencer25 Год назад

Fabulous video as always. I thought about 2000 , came back as 1880 . Think i will do the lottery next week 😂😂😂😂😂😂😂 Keep the good work up 🎉🎉🎉

@elenaburuiana4436 3 месяца назад

Currently rented a very small office, I have this crazy idea.... I want to look and study the greatest investors and what investment they made and what stocks they picked.... Analize them from balace sheet to product to try even to understand the "feeling" they gaved to ppl... You know like apple does... Makes you feel you have premium product "think different" bla bla and make a list of rules then filter them throught those 22k stocks might work might be a waste of time..... I don't have anything good to do all day either way🤣🤣🤣

@erniec2433 Год назад

hello, fan of the channel. Why do you not talk about your crypto investments anymore?

@TobyNewbatt Год назад

Hello! I don’t want to be a crypto channel or talk about speculative investments here. I still hold my Bitcoin and ETH and it remains a very small part of my portfolio overall though 👍

@erniec2433 Год назад

@@TobyNewbatt thanks for the reply. You were quite bullish on crypto in the past - presume your view has changed now?

@TobyNewbatt Год назад

@@erniec2433 no not at all. I’d also not really call myself a bull. Most of the market is made up of scammers and crooks. Bitcoin is different though and I do think that has a long future ahead, especially as we imagine my generation wanting to own it for the long run as they get older over something like gold 👍

@jonnymillard3085 5 месяцев назад

The problem with this view is that you’re ignoring how one big win will defeat 20 losses. E.g buying Amazon in as late as 2010 for £1000 and then holding. Would now be with £30k. You could have 25 disasters and still be up.

@TobyNewbatt 5 месяцев назад

Good luck if you manage to hold on to the right winner. How do you know which one will recover from a 90% loss like Amazon did or which ones go bankrupt? You're asking for trouble with all of your future wealth at stake :)

@jonnymillard3085 5 месяцев назад

@@TobyNewbatt I do agree to be honest mostly. I split my investments 60/40 in my ISA, 60% being in a few Vanguard ETFs. In my SIPP I only have ETFs. I just enjoy investing in a few companies I’m excited by in that 40%. I’ve had a few disasters, I’ve had a few wins. I enjoy the process.

@coolkevin19920208 11 месяцев назад

What is the percentage of allocation of index fund in your portfolio?

@TobyNewbatt 11 месяцев назад

About 80%

@coolkevin19920208 11 месяцев назад

@@TobyNewbatt any philosophy behind this allocation?

@TobyNewbatt 11 месяцев назад

Because index funds have low fees and beat 95% of professional investors over long periods of time. @@coolkevin19920208

@abdulrahman31350 Год назад

Theres way too many great companies. Index funds all the way for me. Plus i invest £500 into a sipp, and £500 into a stocks and shares ISA. That is no where enough to make a dent investing in one company

@DD-cq9lg 7 месяцев назад

What tax will be applied if one invests in u.s.a from u.k?

@Mr.logic1234 9 месяцев назад

Thanks

@oestian 10 месяцев назад

Running a benchmark portfolio for 5 years for this reason with just ETFs next to my dividend portfolio. The benchmark is better, but only slightly. I rather stick to quality stocks. Buying the market is completely overrated from my experience. Just try both and see for yourself. Don’t trust the statistics.

@TobyNewbatt 10 месяцев назад

Ok good luck. 5 years isn’t a long term time frame though. The stats don’t lie that most people and the professionals do not perform better than the market 👍👍

@FlyingFun. Год назад

my guess is 5% if that. edit, I was slap bang in the middle of those that beat it and those that beat it by20% or more. I tried picking stocks and lost money, I tried picking fund managers and lost more money and its still losing a lot. I switched to low cost indexes ir sp500 and vwrl and lost money but they come back every now and then get in front occationally, once this market gets out of the current rut I am confident I will get in profit on the indexes but no so much in anything else so I'm just moving everything out of the funds into indexes, I've only seriously been investing with big money for the last 3 years and it has been a heck of a ride ..

@TobyNewbatt Год назад

Nice guess Nigel! I wish I knew how difficult it was when I started I'd have made some very different decisions! :)

@FlyingFun. Год назад

@@TobyNewbatt yep me too, the problem is other investors don't do their research and just jump on any bandwagon going up regardless of fundamentals so how do you deal with that ..... In the end most people will settle for the indexes though so that should always survive at least . I'm actually much happier with the market now though, the slower the growth the more solid the foundation, was too much leverage in the system which is now being flushed out hopefully.

@ianmckinney3446 9 месяцев назад

I personally think you should have 70-80% of your investments in an index fund and the other 20-30% in stocks you have picked yourself.

@TobyNewbatt 9 месяцев назад

Sounds sensible to me if you like to pick some stocks on the side and this is pretty much what I do. And I'd say if you are not bothered just have 100% index! :)

@meinages 11 месяцев назад

Been Investing for around 18 months and still check the price most days. Although it's for 30+ years down the line. Just a habit I guess.

@TobyNewbatt 11 месяцев назад

we all do it :P

@notwkrail 11 месяцев назад

Brilliant invest with your advice we all get talking d0gs

@TobyNewbatt 11 месяцев назад

woof!

@paultozer3153 Год назад

Love your videos. Have started investing in S&p and world ETFs. Can I ask what microphone you use on your videos as it is really clear.

@TobyNewbatt Год назад

Thanks! I use a Sennheiser MKE 600, in a well treated room and give it some tweaking in post. Glad to hear it, I'm obsessed with sound haha

@yiannidalakas3514 10 месяцев назад

Hi Toby. You produce very high-quality and informative content. You're in a small minority on RU-vid. Thank you very much for this. I hope that this channel continues to gain traction.

@gm2407 Год назад

I started in 2021. Within the first month was down 1/7th of my investment. Curtently up 1/7th of my investment. My entire position is down bar one stock that is up in value 3x. I am holding based on my assessment that these buisinesses will all be a going concern in 1 ,5, 10, 20 and 30 years. I expect each of them to rebound at different times. I bought 9 stocks and one of them split into a 2 companies. Got to accept that these equity stocks are not beating the market for the last two years. I have also not put in any more money to the position due to outside factors. Happy that I largely set and forget it. Will start looking to put more money in and look for different stocks in the future, may include some index funds in the portfolio.

@TobyNewbatt Год назад

Good luck! Will you be ok if they do not beat the market and you end up with poor returns?

@gm2407 Год назад

@@TobyNewbatt I am pretty diversified. 1 bank, 1 energy company, 1 REIT, 2 Medical, 2 Insurance, 1 Financial software company, 1 infrastructure company and 1 telecomes company. Looking to diversify a little more when I start regularly investing again. Into sectors not invested in yet. Also currently completely overexposed to the UK market as havent gone abroad yet as I don't know the tax exposure risks. But it is all in a Stocks and Shares ISA. I put the same amount in each investment. Expecting 5 dividends this month which will allow me to start considering the next company short list. I want a supermarket but am not sure if any of them are undervalued at the moment so will consider them and move on to another sector if better value can be found.

@EM3Finance Год назад

Need a good Goldfish

@TobyNewbatt Год назад

And an octopus 🐙

@roblowry9457 Год назад

The more I read/watch about investing in stocks, the more I am convinced to stay pound cost averaging into Vanguard FTSE Global All Cap. JL Collins' "The Simple Path to Wealth" with a UK twist is my plan. Thanks for another great video.

@TobyNewbatt Год назад

100% and a great book. It's really hard to just keep it simple in a bull market when you see stocks rising so fast, and you think everyone is making a fortune, but the reality is that they aren't. Keep up the good work, and focus on whats important :)

@marclaaq 11 месяцев назад

I am currently accumulating cash in my account. Waiting for the next bottom(no matter how long that takes), then spread the capital out. This way I get growth and dividends.

@mstefa007 4 месяца назад

Statistically, that’s inferior approach. Most returns are gaine over 3-5 days in the market. It’s proven that all in index has best chance. Timing the bottom doesn’t work

@zetaconvex1987 Год назад

Europe has likely underperformed the S&P500 over the last decade, so by including them, you're skewing your statistics downwards.

@TobyNewbatt Год назад

I can do the same for just US stocks...and the statistics are still not good :) Most stocks underperform the market it's just a fact. Here goes - US & Canada - 13,618 stocks. How many made 12.7% over the last 10 years to beat the market? 898 that's 6.5% How many were at least over $5bn market cap 387

@marshallmason1 2 месяца назад

Beating the S&P 500 is easy. There's even an index fund that will do so, several in fact. SPYU, for example, will beat the S&P 500 by engaging leverage. Problem is, the volatility is insane. But then again, the volatility of the S&P 500 is bad too. The way you smooth out that volatility in both cases is with fixed income investments such as T Bills.

@Àdhamh_Fife Год назад

Thanks Toby, great video as always. Not 'picking' stocks anymore. Got my 25 stocks that I'm investing in, along with a ETF, HI bonds, and precious metals. Leaving it for the computer to keep adding each week and will wait for 10-15 years to check it, and then cash in. I'll keep watching your videos tho. Thanks man 😁x

@TobyNewbatt Год назад

Cheers Adam, and nice plan. Sounds so easy doesn't it but in practice you need a lot of patience but this is the way :)