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Question: Have an investing question?

(Posted by: Bob2 on 2010-03-08 16:21:40)

I am new to investing and I do not want to start out making the wrong stock pick. I am eyeing XOM and BRK.B. I was wondering what others thought about these two stocks. I believe both have great growth potential, maybe XOM more then BRK.B. Plus XOM pays out a dividend. Please coach me through what I need to do?

Posted by: Paul on 2010-03-08, 16:42:54

Buy a mutual fund or an ETF. Until such point that you have a substantial sum you are willing to put at great risk, avoid individual stocks. You are much better off taking advantage of the diversity and professional management a mutual fund offers.

Posted by: Jim L on 2010-03-08, 17:29:33

Those are both solid picks. However, in terms of price appreciation, I think Berkshire has considerably more upside than Exxon. However I like Exxon in that it is almost at its 52 week low so there is little downside, and also the dividend you mention.