What is Stock Picking

You are here:
< Back to Knowledge base

A stock pick is when an analyst or investor uses a systematic form of analysis to conclude that a particular stock will make a   good investment and, therefore, should be added to his or her portfolio.This is also known as active management.

The position can be either long or short and will depend on the analyst or investor’s outlook for the particular stock’s price.

The first step to picking stocks is determining the purpose of your portfolio.

Investors focused on income, capital preservation, or capital appreciation requirements will have different investment criteria.