WSJ has this excellent article for us looking for a fresh new start in the new year and from the so called "Lost Decade". Especially when the last decade was filled with hot tips, hot sectors, hot tech, and pretty much about everything that was expected to shoot up in perpetuity up until 2007.
In particular, "Don't Chase Highflying Stocks", the article rightfully pointed out that the worst type of investments is the one that everybody talks about it. For example, everyone was talking about technology stocks before the dot.com bubble. Also, watch out for herd mentality and following the hot tips; money magazine's top picks for 2000 and beyond are down about a fifth and SmartMoney/WSJ picks are about a half because most of the picks were overweighted in technology stocks--the hotter trend to be in back then.
Happy Investing 2010!
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