2012 Post-Election Investment Strategy

(originally published 11/11/12)

Despite the forthcoming increases in taxes and job layoffs, prolonged unemployment and looming recession, there are many great S&P 500 companies in which to invest.

The stock market averages are experiencing normal short-term corrections from recent highs, which they would do periodically no matter who was elected on November 6.

The biggest change in my ongoing investment strategy will be this:  I was looking forward to investing in energy stocks under a “Drill Here, Drill Now” political administration.  That’s not going to happen now.  So I will spare you all the energy stock recommendations.

My stock-selection strategy will remain about the same, concentrating on financially healthy companies with projected earnings growth and good charts.  I’ll tweak the strategy a little to focus on companies with a little less debt than my previous guidelines.

All four of my 2012 model portfolios are handily beating their comparable market averages.  (Review the model portfolio results here and here.  More recent results are published weekly: look on the home page.)  There’s no difficulty in outperforming stock market averages.  If you imagine looking at a list of the S&P 500 stocks, and weeding out the ones with slow or negative earnings growth, how could you not beat the S&P 500 average?

If you’d like excellent ongoing investment ideas, please subscribe today.  Send questions to research@goodfellowllc.com.

Happy investing!

Crista Huff

President

Goodfellow LLC

 

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