The puppy has a bigger bite
This is the beginning of 2017, and everyone is looking for this fool system to help them outstrip the market in the new year
We all know that many analysts express this idea by providing predictions and show that one industry or another industry will outperform other industries.
I do not like to take this practice, but I realize that we are all looking for a simple and effective investment strategy for the new year.
Well, if you want to target your portfolio throughout this year, there is a mature strategy that is easy and profitable to worry about: Dow Jones
Dow Jones is a Simple investment method, you start at the beginning of each year
You only need to determine the Dow Jones Industrial Average stock before you end the highest income then you can start at the beginning of the new year to buy these stocks And hold to the end.
By following this simple strategy, you will overtake the Dow Jones Industrial Average in the past seven years
Many people think that this series may end up in the way of rising interest rates, but I am willing to at least one year in a row.
Cautious, other interest-sensitive stocks
Expected when the interest rate rose, the purchase of dividend stocks rose because you could easily get to your bank and take out the deposit card – those who provided earnings in prime time for 3% the above. Or you can buy a 4% or 5% US financial bill.
But the truth is that those days will not come back in 2017 until at least in 2020 is likely to not come back because of the sensitivity
This is almost anyone who may overestimate the rise in interest rates, but because of the Fed's three-and-a-half rally this year, At the end of the target interest rate fell by about 1.25%.
After all, according to the Federal Reserve at the end of 2015, we should see three rates hike in 2016, and we all know what's going on
Even if the Fed wants to speed up three rates this year, % Interest rate is far less than before 2008, supporting high-yield bonds and bank notes at 5% interest rates.
In other words, do not expect these traditional sources of income to come back soon – you will have to rely on
Dow Jones may be one of your answers, but this strategy also changes
However, by slightly adjusting the strategy, since 1973, the average annual income of more than 20% can be obtained. In addition, since 2000, the strategy has increased 10.1% over the previous year, while the normal growth rate of 7.9% Dow Jones Dow Jones index (Dows of Dow), the Dow Jones index rose 6.3%
it Is called the Dow Jones puppy
instead of buying 10 shares of the largest dividend yield unit you get the same list, but only buy those stocks with the lowest stock price of five stocks. For example, you will not buy IBM stock because you pay more than $ 130 per share, but you will buy the Cisco system for $ 30 or less.
This year's performance is better than the Dow, this is your simplest bet. Assuming a seven-year winning streak is established