3 Easy Ways to Spot Safe Stocks! - Cabot Wealth Network

3 Easy Ways to Spot Safe Stocks!

This brand-new Investor Briefing includes details about how to invest in preparation for retirement—and how to invest in retirement.

Market corrections occur when the broad market (S&P 500, Nasdaq and the Dow Jones Industrial) declines at least 10%. In a correction, many stocks will decline even more than that, especially stocks that were overvalued or extremely popular prior to the correction.

But not everything goes down during corrections! Some safe-haven investments become more popular during corrections, and their prices rise as investors move money from riskier places to safer places. These safe investments range from the nearly loss-proof, such as short-term treasury bills, to the countercyclical, such as consumer staples stocks.

But let’s get a bit more specific…

Fixed-income investments are the classic safe haven, and the bond market often moves opposite the stock market. However, many individual investors—those investing through retirement plans, for example—will already have a fixed income allocation in their portfolio. Where can you turn when the market gets rocky other than fixed income?

Luckily, many institutional investors can’t (or won’t want to) move all their funds to cash or fixed income either. Actively managed equity funds, for example, may want to reduce risk, but they’re limited by their mandate to primarily invest in equities. Their only option is to shift their money to safer stocks. Many institutional investors are in similar situations, and these inflows can make the safest stocks go up when most other stocks are going down!

These types of stocks can come from almost anywhere, but they tend to have a few common traits.

Now, you can get advice about how to instantly spot safe stocks—in our Investor Briefing All You Need to Prepare for a Happy—and Rich—Retirement. Learn all about the three main ways for identifying safe stocks, especially during turbulent times:

  • Low Volatility: Get a specific method for measuring low volatility and low risk of any given stock. And learn how to use your measurement results to gauge the safety of a stock.
  • Industry: Learn which specific countercyclical industries can be good sources for finding safe stocks right now.
  • Dividends: Discover how dividend-paying stocks, given reliable performance, can indicate a safer stock for your portfolio.

In All You Need to Prepare for a Happy—and Rich—Retirement, you’ll learn about spotting safe stocks—plus, how to use sound investing strategies to prepare for a stress-free and wealthy retirement. And you’ll learn how to manage your investments after retirement so that you ensure continued financial independence in your golden years. This Investor Briefing includes:

The All You Need to Prepare for a Happy—and Rich—Retirement Investor Briefing includes valuable advice about how to invest now—in preparation for retirement—and how to maximize your money in retirement.

This Investor Briefing All You Need to Prepare for a Happy—and Rich—Retirement is ready for you to access now, to discover how your investing strategy can secure a stress-free and wealthy retirement. Read it now!

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