About Murray Cass Expertise I am eager to help investors find their way through the muddle of tech investing. I can answer questions concerning tech investing, financial reports, stocks, and options. Having worked in the computer industry for over 20 years I have a good general knowledge of computer technology. I have read over 100 investment books -- mostly the old ones. I spend my time doing investment research, attending annual shareholder meetings, and managing portfolios.
Experience Professional Engineer, MBA, over 20 years experience in computer industry, 9 years intensive investing experience.
Expert: Murray Cass Date: 4/2/2004 Subject: Stocks, Microsoft
Question Hi,
Thanks for taking the time to answer questions from so many people. I am rather new to the whole stock arena, so don't worry about boring me, you won't. I don't know if you are the right person on here to ask this, but I was just wondering if you kept up on the market and could shed some light on whether Microsoft has a promising future or if you think it will continue to drop? Also, if you could give me any information or advice on what some good solid stocks would be that I could invest in and get a good return, although that aren't too risky?
Thanks,
Joshua
Answer Joshua,
Recommending stocks is a very risky business. I think it would be better if you learned how to identify your own investments. You must learn more than just what to buy. What do you do then? Let's say I recommend you buy something and you buy it. What then? How long do you hold it? What do you do when the stock moves or news comes out. When do you sell? People who recommend stocks are not always there to answer these questions. And their criteria for stock selection might be different from yours. They might want to invest for 10 years and you for 1. They might be able to tolerate big price swings and you might not. They might have expert knowledge in an area and you do not so subsequent news can be evaluated by them but not by you.
Learn the method and forget the individual companies. I recommend you read books like Graham's Intelligent Investor. Read every book in the Wiley Investment Classics series. Order investor packages from companies. Attend shareholder meetings (you usually do not need to be a shareholder). Learn about investing and then pick your own investments. The investment of time will be well worth it.
To Microsoft - fine company, great cash machine. Future is likely bright but no great surprises. Stock is no bargain. Technology is a risky sector. There is nothing wrong with risk provided you manage it. Usually you do this by diversification. Brilliant investors like Warren Buffett don't agree. Read about Buffett.
