| Stock recommendations are everywhere: financial | | | | made previously by this financial adviser or by the |
| analysts, TV channels, magazines, newspapers, | | | | media where you got the stock recommendation. It |
| E-mails, etc. Which source should you trust? It is | | | | is most important if you never followed a |
| difficult to know, every day the stock market opens, | | | | recommendation given for an adviser before. There |
| thousands of stocks are recommended by hundreds | | | | are some questions you have to ask: Which stock |
| of advisers: Financial Institutions, Financial Web Sites, | | | | was recommended for he or she last month, or last |
| Newspapers, TV, etc. They advise you to Buy, Sell, | | | | year? How are the performance o gains of this |
| or Hold specific stocks. Hundred of stocks are | | | | recommendation? You can research past stock |
| upgraded or downgraded by financial institutions. | | | | recommendations over the internet in: Google |
| Many of these recommendation are driven by | | | | Finance, Yahoo Finance or Gainers Today. Of course |
| commercial interest, does not matter if the adviser | | | | you as an investor should know that past good |
| has disclosures about their relationships with the | | | | performance does not ensure future good |
| recommended company. Before follow a stock | | | | performance, even though it is more likely to have |
| recommendation be skeptical and research the stock | | | | good results from someone that beat the market |
| and the company. You have to do your home work | | | | previously. |
| to verify that the given recommendation is a real | | | | Bottom line you have to research not only the |
| investment opportunity. | | | | recommended stock, but the source of the |
| You also have to research the recommendations | | | | recommendation. |