Buying and selling securities?

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According to an article, ?"many amateur investors remain active investors . . . in an effort to beat the market. Why is? that, when the evidence is so clear that? it's more than likely to be a? fool's errand?"

What alternative strategy might an investor follow instead of actively buying and selling securities? regularly?

A. Follow the Wall Street "trend is your friend" strategy of buying when stock prices rise and selling when they fall.

B. Purchase only those stocks that remain above their fundamental values for an extended period of time.

C. Buy and hold a diversified portfolio of stocks and other assets by buying an index fund.

D. Take advantage of pricing anomalies like the small firm effect or January effect to earn? above-average returns.

Reference no: EM133119748

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