Why a "Basket Approach" to Buying Stocks Is a Great Strategy
There's no secret formula for creating a winning stock portfolio. Some investors have more time, more first-hand experience, and a knack for understanding business models. These people are probably more suited than most to have a smaller portfolio of stocks -- companies carefully selected for their merits. But other investors can still win by diversifying across several companies in the same industry. This is sometimes called the "basket approach" to investing.
In this video from Motley Fool Backstage Pass, recorded on Oct. 18, Fool analyst Sanmeet Deo and contributor Jon Quast talk about their own basket approaches. And when it comes to investing in video games, both would put Unity Software (NYSE: U) stock in their baskets. Here's why.
Source Fool.com
