The Pros and Cons of Investing in a Stock Index If you lack the time and resources to research individual companies, then investing in a stock index could provide a substitute.
Opinions expressed by Entrepreneur contributors are their own.
In this video, Entrepreneur Network partner Phil Town about the benefits of investing with an index.
As always, Town stresses the importance of doing research before your start investing. However, if you're strapped for time and resources, you can turn to index investing. Individual stock investing triumphs over index investing, since individual investments can fluctuate but are not reliant on the market's movements.
Town points out that an especially solid company can weather even the worst financial recessions. Indices tend to perform, in the long-term, as well as the overall market. That said, there can still be benefits to investing in an index.
Click the video to hear more from Phil Town.
Entrepreneur Network is a premium video network providing entertainment, ewitducation and inspiration from successful entrepreneurs and thought leaders. We provide expertise and opportunities to accelerate brand growth and effectively monetize video and audio content distributed across all digital platforms for the business genre.
EN is partnered with hundreds of top YouTube channels in the business vertical. Watch video from our network partners on demand on Roku, Apple TV and the Entrepreneur App available on iOS and Android devices.