It’s all too easy to beat the TSX Index, but topping the S&P 500 is a difficult task, especially over a prolonged period. Indeed, as the old saying goes, if you can’t beat ’em, join ’em. That’s a major reason why index investing has been exploding in popularity over the years.
Though passive investing is hot among a wide range of new investors, I still think there’s ample value in picking your own stocks. Sure, you need to put in more effort, analysis, and market research when it comes to buying individual stocks to construct a personal portfolio. But the endeavour is worth it.
Even if you can’t top the S&P 500 consistently (it’s not easy to do), having a personal portfolio of hand-picked stocks is more personable. And it’s far easier to hold through turbulent environments, given you own company shares rather than an abstract basket of securities.
Though it’s harder to beat the market (or the S&P 500), I…
