“The financial advice you shouldn’t take.”

MSN.Com just posted an interesting article from MensHealth entitled “The financial advice you shouldn’t take.” In it they quote, Dr. Richard Borghesi, Ph.D. who coauthored a study at the University of Southern Florida. In that study, the authors examined the performance of stocks recommended over ten years by Kiplinger’s and SmartMoney.  The Kiplinger’s and SmartMoney so-called “expert” picks performed about 3 percent worse than the average stock. Why? Because the “so-called experts” picked stocks that were “hot” with “positive trends.” However, by publication their picks may have reached their plateaus. As a case in point, Tesla had a whopping 358% gain in 2013. Yet, that trend did not continue forever! As for today (i.e., 2/21/2014), Dr. Clark checked the results and found that TSLA (i.e., the symbol for Tesla Motors, Inc.) was down 0.18%!