Investment masterclass: Four ways to beat the market
Money Clinic with Claer Barrett
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How to Invest in Companies That Are Going Places
The next strategy algae talked about was momentum, investing in companies that are going places. Yes, this is quite a high risk strategy, especially compared to the dividend strategy,. So momentum is a really curious thing because it feels like it shouldn't be there as it's about buying stocks which have already gone up. But actually what loads and loads of studies have found is that when stocks go up, the tendency is they carry on going up. There's something good happening normally behind the scenes, which is propelling the share price higher. The strategy in the book marries that kind of price momentum with earnings momentum. And those two trends complement each other really nicely.
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