Stock Market Investing A common fallacy in stock market investing is assuming that a good company makes a good investment. Suppose we define a “good company” as one that has experienced rapid growth in the recent past. Explain the reasons why shares of “good companies” may or may not turn out to be “good investments.” Respond to at least two of your classmates’ postings.
What constitutes total risk, and how is it measured? Of the two components of total risk, discuss which one investors can eliminate? Explain the remaining risk, and how is it measured? Respond to at least two of your classmates’ postings.