Should I Invest in Index Funds or Individual Stocks?
Choosing between a passive (index funds) or active (stocks) investment approach.
1. How would you rate your current investment knowledge and experience?
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Low
High
2. How much investment risk are you comfortable taking?
LowHigh
Low
High
3. Do you realistically have the time and interest to research individual companies?
4. What is your investment timeline (short-term vs. long-term)?
5. Are you already contributing sufficiently to retirement accounts (401k, IRA)?
6. How much money are you planning to invest?
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Low
High
7. What are your specific financial goals for this investment?
8. Do you have a solid understanding of basic market principles?
LowHigh
Low
High