May 30, 2008
The merits of contrarian investing
There are many different investment approaches for picking stocks. One of the most popularly documented approaches is contrarian investing. This approach advocates buying stocks that are out of favor when no one else wants to own them. Effectively, the stocks are very cheap. This approach certainly has merit is you are buying stocks for a long term portfolio. You just need to be prepared to hold the stocks for a long period of time and ride the ups and downs to reap a return. You can learn more about this approach to see if it is something that could fit into your approach.