When you invest in the stock market you should always diversify. You should invest in several stocks because out of every five you pick one will be very great, one will be really bad, and three will be OK. Never fall in love with a stock; always have an open mind. You shouldn’t just pick a stock—you should do your homework. Buying stocks in utility companies is good because it gives you a higher dividend, but you’ll make money in growth stocks. Just because a stock goes down doesn’t mean it can’t go lower. Over the long term, it’s better to buy stocks in small companies. You should not buy a
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