Investment markets, full of twists and turns, can be intimidating. Therefore, to get a heads up on what to expect for 2019, we asked an established financial expert with a proven track record of success, Brentwood’s Rusty Robinson of the Robinson Investment Group, to give us some advice. Here’s what he had to say.
Investing is a long-term proposition.
“The recent market decline has created a window to make the commitment into long-term investments in common stocks. Investors need a preferred “buy list” of companies that have always piqued their interest yet may have been overpriced.”
Consider companies that have insider buying of corporate shares.
“We like companies that have a regular commitment to company share buybacks. We believe the management of those companies has determined their shares are undervalued when they purchase these shares.”
Consider companies that pay dividends.
“We prefer companies that have good cash flow that can pay the dividend without jeopardizing the cash management of the company.”
Consider mutual funds to benefit from professional management and historical expertise.
“We believe that investors will get diversified portfolios that reduce the risk of individual securities. Mutual funds offer a variety of funds from growth to value styles. We recommend dollar-cost averaging for mutual funds with the recent market decline opening a very advantageous time to invest.”
“We know that clients are uneasy about the market volatility and definitely remember March 2009 when the market bottomed out. A few clients panicked and sold their portfolios. The best advice is to remain committed to the program. Once the decline is over, the patient investor makes above-average investment returns.”
Investors have many resources available to them. The Robinson Investment Group would welcome the opportunity to perform an assessment of your program and discuss your goals.