When thinking about investing advice and paying for it, there are two components to the equation: Price and quality. Just like when buying good businesses, you can buy good stock advice at a price higher than it's worth – which then becomes a bad investment of your money. The key question, then, is what is an appropriate price to pay?
How much should you pay for investment advice?
That's a personal decision, and one we can't make for you. That said, we know that high fees are some of the great destroyers of investing returns -- so we'd argue you should seek the lowest possible fees without compromising the quality of the advice. It's a balancing act, so our general guidance is to seek to pay no more than 1% of your investable portfolio in fees for advice.
There's one important caveat to that rule, however: If you're subscribing to a newsletter for the educational component, there might be some wriggle room. Think about it this way: If you're learning how to do something so you can do it better on your own, it might be worth it to you to pay more than 1% annually. Something to keep in mind.
Here's what a Hidden Gems subscription provides
The quality of the advice you receive is the other half of that equation -- and Hidden Gems comes loaded with a ton of goodies. Andy and Seth each provide a new stock pick each month – a "hidden gem" they believe has a great opportunity to beat the market over the long term. Each pick comes bundled with a research report laying out their thesis on the stock, as well as opportunities and threats that could affect that thesis in the coming months.
Andy and Seth also regularly release their ten "best buys now" – stocks they believe are trading at particularly attractive valuations and are investors' best opportunities today. These best buys now are timely opportunities, and so they're updated monthly. For new Hidden Gems subscribers, the Hidden Gems team provides a list of "core stocks" that can appropriately anchor a portfolio in addition to the more timely opportunities we've highlighted above. After all, when buying small-caps, diversification is key – that's why the Hidden Gems team recommends subscribers purchase at least 20 stocks.
Don't forget the involved investor community that Hidden Gems fosters – many of its thousands of subscribers spend countless hours on the newsletter's beloved discussion boards. New Hidden Gems picks are a common topic of discussion, but the discussion boards are also loaded full of people asking and answering general questions about investing psychology, personal finance, and all sorts of other topics.
Hidden Gems: On sale right now
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