Stock Strategy Over the Years,

Stock Strategy

Over the years, there have been a wide variety of strategies that have been used to provide investors with significant long-term capital gains. In some cases, this involves an individual increasing their overall risks in the hopes of achieving a higher return. While at other times, investors want to reduce these risks as much as possible and are willing to accept a lower return. In our strategy, we are seeking to provide some kind balance between: the risks facing the portfolio and long-term capital appreciation.

As a result, we have selected several different blue chip companies that can achieve this objective. The most notable include: the NYSE Euronext (NYSE: NYX), Norfolk Southern (NYSE: NSC), First Energy (NYSE: FE), Time Warner (NYSE: TWX) and Autozone (NYSE: AZO). The reason why these different stocks were selected is because: these companies have consistent earnings growth and they are paying some kind of dividend to shareholders.

Yet, beyond this generality, there were specific factors that were motivating our decision to purchase these stocks in the portfolio. The main reason why NYSE Euornext was chosen was: because the nature of the securities markets is constantly changing. This is from: the effects that globalization and technology have had on many trading platforms (to become more efficient). The NYSE is at: the forefront of these trading systems and they are adapting to the shifts that are occurring. While at the same time, it is embracing these changes to become one of the premier securities markets in the world. This is important, because owning this stock over the long-term will mean that we can benefit from the shifts that are taking place. I chose this stock because it can provide the portfolio with growth and allow us to take part in the changes that are occurring in the financial markets. The execution price that I received was $38.69.

The reason why Norfolk Southern was selected is because they are one the largest rail transportation networks in the United States. This means that they are benefiting from: the increased amounts of foreign trade and globalization that are occurring. Over the course of time, this will help to ensure that the portfolio has consistent long-term growth. I selected this stock, because the company is a leader in their field and they can provide above average earnings growth. At the same time, they are continuing to pay us a reasonable dividend, as this will increase the total return in the portfolio. As a result, we received an execution price of $65.08.

First Energy was chosen, because it can provide the portfolio with stability. As, the company is focused primarily on: the distribution and production of electricity. These two elements are important, because this resource is always in demand regardless of shifts that are occurring in the economy. I selected this stock, because it can provide the portfolio with earnings stability and consistent dividends. During times when the markets are becoming very volatile, this will ensure that the value remains steady.

Time Warner was chosen due to the fact that: they own a large cable operation and they can benefit from the shifts to digital cable. This will ensure that the company is able to take advantage of the changes in how consumers want to be entertained. As, they are: demanding more services at home and they want them to be bundled together. The company has been at the forefront for these changes, which is indicating that the stock is a long-term buy. I selected Time Warner, because it can provide consistent long-term growth and dividends. This will add balance to the portfolio.