Suze Orman thought CAH, XLE are good stocks to purchase at the moment. Maybe board members have some opinions to share about this suggestion.
Its impossible to answer…no one knows your current financial position, risk tolerance, goals, etc…
I wouldn’t take investing advice from anyone on this board.
You are entitled to your opinion. I can understand that.
I’d take investing advice from most people on this board before I’d take investing advice from Suze Orman.
I tend to look at the anylists opinion of the stocks, the company sector they are in, what their past performance has been, where the stock is now and then perhaps invest.
SOmetimes things Clark has said can help you decide. For example (according to what I remember him saying) there are three types of store. Walmart and the low cost type, Target and the medium tier and finally Macy’s and the like. When the economy gets tought, the top tier lose some of their customers to the mids and the mids lose some people to the low tier. It makes sense that when people have less money they begin to cancel Starbucks and start looking for cheaper alternatives. Streaming services may suffer, home deliveries with increased cost for convenience also may suffer.
During COVID, many lumber prices increased tremendously here ($50 items climbed to $150). We stopped or cut back buying things and started looking for alternative items.
So you can make some decisions just based upon common sense and some educated guess work.
Over the decades I have bought and sold Apple stock. I have often bought low and sold high. If I waited too long to take my profit, the stock might drop. I have tried timing the market and have done OK, but then again, I have lost also. I have not always had the ability to leave all money in the market for the long run. I don’t suggest trying to time the market.
I have VDE in my IRA. VDE is Vanguard’s ETF similar to XLE. I consider it a proxy for gasoline prices which should mirror oil prices more or less.
I stopped reading what the investment “experts” were saying about where to put my money the day I finished reading Kahneman & Tversky’s book “Thinking, Fast and Slow.”
Their studies showed little to no difference between the expert’s recommendations and pure chance in picking stocks for profitable returns. The study results were presented to the company’s leaders who were mildly surprised but did not change their compensation structure of rewarding their financial advisor professionals with bonuses for the years they lead the group.
Kahneman explained the phenomena this way:
“Facts that challenge such basic assumptions—and thereby threaten people’s livelihood and selfesteem—are simply not absorbed. The mind does not digest them. This is particularly true of statistical studies of performance, which provide baserate information that people generally ignore when it clashes with their personal impressions from experience.”
Agreed she causes a lot more marital issues than Clark Howard, a financial planner, and even Dave Ramsey who has a no debt, beans and rice attitude. Clark Howard has a commonsense approach that is less in your face than SO or DR
I do think XLE could properly expand your energy exposure to the S&P. Likewise you could have VHT for healthcare stocks or IBB for biotech stocks. REZ is good if you want to increase your real estate exposure. And of course you can invest in XLF, XLP, XLK, XLY, GLD, XLU, or XLI to increase your financials, consumer staples, tech, consumer discretionary, gold, utilities or industrials exposures respectively
These sector ETFs should be to modify your asset allocation rather than a concentrated investment