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Investing isn't gambling: Use Portfolio Graders and Visualisers

You can't do it blindly if you are into self-directed investing. It's not gambling - so you shouldn't guess or speculate (unless you're into that game). Investing should be evidence-based.

One would normally research the business - analyse their financial statements and outlook a few years ahead. Then make a decision... Well, it's usually a full-time job. Luckily, there are advancements in tools and references to make it possible to do it yourself. And you don't need to spend full-time. I'm sure even Financial Advisers use them...

I personally use portfolio graders and visualisers such as Portfolio Visualizer (American spelling) and Wealthica with Wealthscope addon.

They give insights on past performance vs. the market. And based on that is the likelihood of how they will do moving forward:

Screenshot from 2020-10-14 23-19-07.png

They also provide you with a breakdown of asset allocation and risk contribution:

Screenshot from 2020-10-14 23-30-53.png

And recommendations of how your positions should be allocated to maximise returns and minimise risks...

And a bunch of more. My point is: there are tools to make your life easy - use them. Pick the stocks you like, the ones that resonate with you, the ones that you think is going to take off. Then research them and use these tools to make an objective analysis.


mapleleaf