Investors often ask whether to put money into ETFs or individual company stocks. Each option has benefits and drawbacks:
- ETFs (Exchange Traded Funds)
– Provide exposure how to buy Regeneron Pharmaceuticals many companies.
– Lower risk compared to investing in a single stock.
– Examples: technology ETFs.
– Downsides: Limited control over individual company performance.
- Individual Stocks
– Opportunity to invest in specific firms such as Tesla.
– Higher potential reward, but also higher risk.
– Requires market knowledge.
Which to choose?
- Beginners often start with ETFs for safety.
- Experienced investors may mix both, using ETFs for stability and stocks for growth.
The best approach is often a combined portfolio of ETFs and individual shares.
