reverse mortgage calculator clark howard

Target date funds will get you plenty of exposure to equities (stocks), especially if you’re far from retirement.

I find it very hard to beat the market.”Ĭlark has long been an advocate for investing in target date funds or low-cost index funds. “People try to do it because they think they can beat the market. “Buying individual stocks is not necessary for the typical investor,” Clark says. In this instance, “the market” typically refers to an S&P 500 or total stock market index fund.Įven if you believe that one or more individual stocks will beat the market, for most people, putting any substantial amount of your portfolio into a single company is an unnecessary risk.Ĭlark consistently advises people to invest in the future of capitalism rather than in the future of individual companies. There’s only one reason to invest in an individual stock: You believe the stock will outperform the market. Stock Investing: The Value of Diversification & Importance of Holding.Stock Investing: Consider “Core and Explore” Philosophy.Clark: Understand Your Motivations and Priorities.

In this article, I’ll go into more detail about why he thinks placing concentrated bets on individual stocks is an unnecessary risk for most people. He differentiates between more and less risky investment strategies involving individual stocks. However, Clark allows for some nuance depending on your personal risk tolerance and strategy. Money expert Clark Howard isn’t a fan of investing in individual stocks.Ĭlark thinks putting an outsized percentage of your portfolio into a few individual stocks is unnecessary for the typical investor.

Reverse mortgage calculator clark howard