"You should buy quality names" quality, should, really, names

RobertA

Don’t you love it when they say that?
I know what they mean… huddle under known brands, but do you ever hear them say “you should really get out there and buy low-quality names”?
There is the “Dogs of the Dow” strategy, which is sort of like that.

needhelp1700

I had CNBC on in the background, and kept hearing “buy quality stocks.” Which I thought was like the Mark Twain comment that the secret to investing is to buy stocks that go up in price and if they aren’t going to go up in price, you don’t buy them.
Of course, there are a bunch of ways to define “quality,” so it’s one of those “I have all my bases covered.”
Risky stuff at a good enough price can be good if you are diversified enough that you don’t get slaughtered by the ones that don’t work out. (e.g. DLX).
I guess it’s hard to answer these things in a 15 second spot on TV.
Anyway, I coined a phrase today I intend to use for a while: “You have to remember two things about the stock market: 1) it’s smarter than you are; and 2) it’s dumber than you are.”

genuinecfa

Riffing on your 2): “The stock market can remain irrational longer than you can remain liquid”

pacmandefense

bchadwick Wrote:
Anyway, I coined a phrase today I intend to use
for a while: “You have to remember two things
about the stock market: 1) it’s smarter than you
are; and 2) it’s dumber than you are.”
And, sadly, it’s always right…

rohitdoshi

Quality names usually means blue chips with a long history of dividends….think JNJ.
For Average Joe Investor’s retirement account, makes sense really.