Thursday, July 17, 1997
Too Many Stocks,
So Little Time
by
TMF Python
I host a chat two nights a week in the Fool's Chat room and one of the questions that I'm asked many times a night is "Hey TMF, What do you think of 'XYZ'? A fair question, if I was talking about the stock or a stock that is related to it. But when I answer back that I'm not following that stock, I'm then asked about another stock, that I also don't happen to follow. After this happens a few times, I get asked "So, What do you follow?" After all, I do work for The Motley Fool and am asked to host a chat two times a week; Surely I should know about every stock that is listed on the stock exchanges, shouldn't I? Well hold on to your belled caps all you fools out there; I would never expect to know every stock on all the exchanges! Just as I would never expect anyone else out there to know them either.
Stop for a second and think of all the stocks listed on the NYSE alone. Any guess how many there are? I'm not even going to guess, let alone put a number down here. Sure, I'm pretty positive that someone out in Cyber Space can tell you and me how many stocks are on the NYSE as well as the other exchanges. My guess would be that they are also involved with the stock market for their professional life. Me? I don't work in the stock market field at all. By trade I work in a Wastewater plant here in Arizona, far from the trading fields of New York City. I go to work before the market opens and return home after the market closes. Before my chats I spend a few hours going through the stock folders, Fool News, and daily portfolio write ups to try to be prepared for my chat. I've looked over my portfolio, ran some prices up on the quote screen, and have looked for anything interesting to bring into the chat. Kind of restricted, isn't it? Not if you think about how much time I have to look at the stocks and folders.
But it never fails, that sometime during my chat I'm going to get asked a question about a stock that I simply do not follow. A prime example is Iomega. Now who doesn't follow IOM? I have never been involved with IOM, have not bought, sold, or really followed it at any great length. Sure, IOM might be a great investment now, but I have focused my energies on looking for stocks that I have found to be undervalued, and stocks that I have become familiar with. I missed it, oh well, my loss. But that doesn't mean that I won't be able to find another great stock to own. But please don't expect me to know everything about IOM. A journey to the IOM folder will give you more info than I can ever dream of giving you.
What's my point to all of this? With all of the stocks that are available for trade on all of the exchanges, how can anyone that doesn't work in the stock market field even start to follow all of the stocks? It can't be done. There are too many stocks and too little time. Sometimes I even think that I don't have enough time to spend on my own investments, and usually during those times I may have more cash in my account than I would like. But I am looking for the right investment for me, something that I'll feel comfortable about. I'm willing to talk about it in my chat, if it comes up, but I'm not going to come out and say "So how does everyone feel about FNB Rochester as an investment?" I hold FNBR and at the time I bought thought it was a great investment. But if you don't have the time to take a good look at FNBR, I doubt if you would have ever known what I was talking about. Not enough time, ehh?
So what am I doing hosting a chat? The answer is simple; I am willing to help out any novice with any question they may have. If I don't know the answer I'm going to try to direct them to the nearest Fool who may have the answer. If someone's lost in Fooldom, I'll try to guide them to the right place. If someone happens to ask about a stock I do follow, I'm willing to share any info I may have. But please don't get mad at me if I tell you "I don't follow it". Share the info you have with me! I'm always on the lookout for a great stock and if I'm not pointed there, I may never learn about it. I'm sure that you are too! After all, isn't that what a chat is all about? Sharing information.