Stock Picking Services are a wise choice for those wishing to invest in the stock market with minimal effort. An investor may opt for a robo-advisor or an investment advisor to manage their investments on autopilot and can expect returns of about 10% annually – usually across the long term. It’s a foolproof system that requires little involvement from the investor.
Are you after more than just an average return on your investment?
Many look to gain an advantage in stock trading and hope to beat the overall market. Some select stocks using tactics such as CAN SLIM, while others rely on equity specialists who thoroughly examine potential investments. Whichever approach is taken, the goal remains to find stocks that outperform expectations.
How Does a Stock Picking Service Work?
Investment advisers that specialize in choosing certain stocks are called ‘pickers.’ They predict which stocks will outperform the general market and recommend those investments to interested investors. It’s up to the individual to decide whether or not they want to take advantage of these suggestions.
Though investing services may appear easy to understand, many new investors mix them with similar-sounding ones. However, this confusion can be easily avoided, as the differences are pretty simple.
When it comes to investing, stock screeners are invaluable in helping you narrow down your options. These tools make it possible to filter through the thousands of stocks on the market and pick out a few that adhere to your desired criteria.
In contrast to other online investing tools, scanners are designed to assist investors with real-time streaming of relevant data and alerts regarding stocks. They provide up-to-the-second information on the market, accessible from any device.
A stockbroker is a go-to person when wanting to purchase or sell stocks on the web.
It is important to remember that these services often complement each other. Many stockbrokers provide stock screener tools, and some of these screeners can scan stocks in real-time.
How to Choose a Stock Picking Service
It is a known fact that certain stock picking services are superior to others. In terms of investment strategies, stock pickers come in various forms.
For those who like to trade actively, services are dedicated to helping people find stocks that may rise or decline quickly during the day or the following week. For those more interested in long-term goals, companies provide advice regarding stocks that could show growth over an extended period.
When selecting stocks, go with those with a proven history of outperforming the market. No one will hit the mark every single time. However, astute investors have been proven accurate more often than not.
Before relying on any stock picker’s advice, please check their track record. It is essential to compare the returns of their picks against the returns of the entire market. Even though a particular choice may have had 30% growth in a year, it means little when the overall market achieved 35%.
Regarding stock picking, a longer track record is better. Look for experience in your stock pickers – two years of good picks might be more luck than skill, but twenty years of successful selections signify real expertise.
It’s essential to be aware of the integrity of stock pickers. An honest and straightforward individual in this profession will never attempt to deceive their followers, such as keeping trade losses hidden and only mentioning positive trades that have been finished.
Contrary to some, the profits never exist until they are earned and put into effect. Traders should not be boasting potential gains that did not occur in the past, such as exclaiming, “Our system would have amassed a 1,000% return over the last ten years!”
Before investing in a service, be sure to seek out evidence of reliability and openness. Things such as free trial periods and money-back guarantees can provide an idea of what to expect before taking the next step.
In conclusion, ensure that the stock picker’s strategy and data analysis is clear to you. Reliable stock pickers explain their methods, so it is essential that you thoroughly examine this information to make sure it is compatible with your investment objectives.
The best stock-picking services
No matter your approach to investing, you will be able to find a stock selection service that suits your needs.
We have compiled a list of the best available to help you beat the market right now.1
1. The Motley Fool Stock Advisor
Investors who wish to buy and hold
For nearly three decades, Motley Fool has been a leader among stock market investors who maintain long-term strategies. Throughout this time, they have achieved an enviable position of authority in this field.
As of July 2022, figures provided show that their Stock Advisor selection has earned a cumulative return of 397%, nearly three times higher than that of the S&P 500 (128%). When displayed visually, this incredible performance stands out even more clearly:
Their three investing principles reinforce the integrity of their approach:
- A minimum of 15 stocks should be owned.
- You should hold your stocks for at least five years.
- Every five years, market downturns are expected.
Established in 1993, Tom and David Gardner are responsible for creating Motley Fool. Over its decades, it has gained notoriety due to four best-selling books, a radio segment on NPR, and the launching of several highly successful podcasts.
The Stock Advisor service of this company has been nothing short of extraordinary, boasting a massive 700,000 subscribers. By any measure, the results they have achieved are tremendous.
Beginning on the first Thursday of each month, subscribers can expect to receive four newsletters throughout that particular month. These will be sent out weekly for their convenience.
Each newsletter contains a new stock recommendation, and the second and fourth Thursday newsletters contain five New Best Buy Now picks. Those are the previous picks that they still recommend.
At the very moment market conditions alter, subscribers receive tailor-made “sell” emails. Such a perk grants users access to The Fool’s highly praised “Top 10 Best Stock to Buy RIGHT Now” report and their go-to “Top 5 Starter Stocks” for those just beginning their investing journey.
When you join Stock Advisor, you get a discounted price of only $89 for your first year as a new customer. You can also take advantage of their 30-day money-back guarantee and experience an entire month with their subscription before making your final decision. After that, it’s just $199 annually.
For more information, please read our full review of The Motley Fool and its services.
2. The Motley Fool Rule Breakers
Investors seeking out-of-this-world returns may find what they need with the Motley Fool’s Rule Breakers newsletter. This service provides picks of stocks with high potential for growth, especially those companies that are seen as disruptors in their respective fields. Not to be outdone, Motley Fool’s Stock Advisor subscription rounds out a comprehensive investing package.
Launched in 2004, the Rule Breakers stock picks by The Motley Fool have seen a dramatic return of 224% – far outperforming the S&P 500’s 94% growth over the same period.
Stock Advisor’s pick returns have indeed been more significant than average. However, this might be because it was launched a few years prior.
For those seeking an extra element of risk in their stock picks, Rule Breakers may be what they need. This is because instead of going for established mega-corporations, they focus on up-and-coming businesses that have yet to be recognized by broader markets.
Stock Advisor subscribers receive investing suggestions on the first and third Thursdays of every month, while the second and fourth Thursdays bring five New Best Buys Now. Moreover, members will get real-time notifications when it’s time to sell stocks and access The Motley Fool’s, Starter Stocks.
Rule Breakers is a bit pricier than Stock Advisor, with an annual fee of $299, but the same 30-day guarantee applies.
3. Seeking Alpha Premium
Investors who buy and hold, day traders
Want to take your investing and trading game to the next level? Seeking Alpha Premium is the perfect solution. This comprehensive market intelligence system has been designed to enable you to become a top-notch investor or trader – or, why not, both!
It is available for $19.99 per month – an annual savings of $120 – and offers:
- Seeking Alpha’s deep stable of expert contributors creates and curates unlimited premium content
- Author ratings and author performance metrics from Seeking Alpha
- Nowhere else can you find these proprietary quant ratings
- Transcripts and audio of earnings calls without limits
- Stock screeners with powerful features
- Sidebars with key data, charts, and ratings
- Performance tracking for each investment idea
- The list goes on and on
4. Trade Ideas
Day traders should use this program
Trade Ideas has incorporated an AI named “Holly” within its software platform to provide real-time trade recommendations. This AI has over 70 exclusive algorithms and performs simulations on more than a million trades per night before the trading activity commences.
To be the most effective day trader, one must have a plan for each stock pick. To that end, our analyst provides real-time choices, which include entry and exit points – thus providing an entire trading strategy.
Rather than manually buying and selling through your brokerage account, you can enable Holly to handle trades on your behalf thanks to the internal broker provided by the platform of Trading Ideas.
Utilizing Trade Ideas can be an optimal way to become familiar with the market due to their simulated trading system. This feature allows users to place trades with virtual money while they become more comfortable before investing their funds.
Customers will pay a significant cost to access all the features with a subscription to Trading Ideas. The basic plan is $1,068 annually and must be upgraded to Premium for $2,268 to access Holly AI.
The cost may be high, yet in return, investors receive access to one of the highest-ranked day trading programs available.
5. Mindful Trader
The product is designed for swing traders
Unlike many other trading products, you don’t have to be glued to your phone or computer with Mindful Trader. There is no need to watch out for trade alerts continually; Mindful Trader takes care of that for you.
For those with busy lives, swing trading is often a great choice as it allows you to buy anytime during market hours. This ensures that you don’t have to constantly monitor for alerts, as most trades take up to 10 days before selling. Consequently, you can enjoy life while taking advantage of potential profits from trading stocks.
Using decades of stock market data, Eric Ferguson created an algorithm that alerts him – and you – to high-probability market movements. He includes stock trades, futures trades, and options trades. Additionally, in 2021, he added a stock equivalent to his futures trades, so you don’t have to worry about futures trading.
It has been nine months since taking on Eric’s trade advice, and the results have been incredible. Over this period, my annualized return rate is a staggering 31.2%.
Although trading can be highly profitable, it can also take a toll on your wallet. Eric’s research determined that most accounts had an average drawdown of 28%. Every trader knows the unsettling sensation of a series of unsuccessful trades.
The danger of financial fluctuations should not be underestimated. From personal experience, I know how disorienting it is to have your finances swing from a favorable position to one of the considerable losses in the space of a few days.
Mindful Trader offers an affordable monthly subscription rate of $47. This pricing structure is lower than many comparable services, and the billing interval of one month means that customers can test the trading style without taking a huge financial hit if they choose to cancel.
6. Pilot Trading
For traders of cryptocurrencies, futures, forex, and ordinary stocks
Pilot Trading has designed psychology-based AI algorithms to revolutionize how traders interact with the fluctuating market. Instead of simply evaluating current trends, these algorithms can accurately predict when asset prices will change direction. To make trading more efficient, access to many brokerage accounts is made available directly through the app for effortless in-app trading.
Pilot Trading stands out from the crowd by providing access to various assets. Everything from stocks to futures, forex, and cryptocurrency is covered, with swing points and trends readily available. For those new to any trading, this company also offers a simulated paper trading account as an ideal way to get used to the process.
Unlike many competitors, Pilot Trading offers a simple pricing model. Their services are all-inclusive at a flat rate of $19.95 per month. No upselling or hidden extras; one low price provides access to all features.
7. Carnivore Trading
For day traders, swing traders, and technical traders
For those seeking a copy or mirror trading service, Carnivore Trading may be the perfect fit. This company provides users with mostly short-term trading opportunities, but at the cost of $175 per month – unless they pay annually, they receive a 15% discount.
For Carnivore clients, the goal is to keep them informed daily with near-real-time alerts of actual trades made by their experienced trading team. Furthermore, those who chose the Carnivore service will also be privy to an exclusive Daily Wrap that includes commentary and analysis, giving insight into the day’s market events.
Unlike many other copy-trading services, Carnivore has established several rules to demonstrate its legitimacy. These include restricting trade recommendations to “large, liquid, well-followed stocks” and applying various risk-management parameters. Despite this, there can be no denying that the platform encourages users to copy the trades of its team – an apparent conflict of interest.
- Minimum market cap of $300 million, with most recommendations exceeding $2 billion
- There are no over-the-counter stocks
- There are no options
- No complex strategies (though Carnivore assumes users are familiar with active trading strategies)
In conclusion, Carnivore Trading provides an excellent opportunity for traders who are both knowledgeable and willing to accept the risks associated with copy trading. This service is a real boon for those already active in the market.
LevelFields is an innovative platform that leverages AI technology to gain a better understanding of the events that drive the stock market. The software goes beyond what a human trader can do, helping its users beat the market. It calls itself an “AI-driven event tracking and forecasting” tool.
LevelFields’ data-driven analytics provide a viable option for those seeking to outperform the market. Its company sample of 38 events has yielded impressive results, with returns of over 300% over 12 months. Moreover, their average one-day return is 8.
LevelFields’ tools are easy to use. Quite simply:
- Select an event type, such as lawsuits, leadership changes, or product releases or changes
- Discover optimal entry or exit points (when to buy or sell) using AI-generated event patterns
- You can set up event alerts – LevelFields will send you opportunities based on your risk tolerance (and desired profits)
LevelFields is devoted to monitoring the activity of 6,300 names in the market and supplying options traders with helpful strategies. Surprisingly enough, these strategies are similar to those employed by event-driven hedge funds – which, unfortunately, aren’t accessible to everyday retail investors.
9. Warrior Trading
Day traders should use this program
Founded by Ross Cameron, the company of Warrior Trading is known for its excellence in education.
Cameron provides a unique, interactive learning experience for his subscribers. Through real-time chatrooms, and audio and video feed, users gain insight as they watch him and the other professional traders of the company in action. Subscribers can see exactly what trades are being made in real time by these professionals.
For traders just getting their feet wet, Warrior Trading supplies free video tutorials as part of their comprehensive learning resources. These videos introduce the world of trading and can be an excellent place for newbies to start.
To provide an exciting challenge, Cameron set up a public account starting with only $500 and aims to grow it to the target of $1 million. Within the first 30 days, he could exponentially increase that amount to more than $53,000 – quite the feat!
Warrior Trading offers a daily newsletter featuring some of the day’s most promising stocks. With their real-time scanner, investors can keep tabs on those stocks and many others – plus, they also provide SMS alerts alongside email notifications for timely trades. For those wanting to gain confidence before investing real money, a simulated environment is available so users can practice with fake currency.
10. Investors Underground
For day traders
Investors Underground is an education-focused platform that offers more than 700 video lessons and guides. Not only that, but the platform provides webinars regularly with plenty of opportunities for questions to be asked and answered.
Every day, by signing up for the Investor Underground newsletter, you give yourself an edge in the stock market. The watchlists and game plan arm you with critical information so that you are ready to go when trading begins. Simultaneously, traders can connect with fellow chatroom members for real-time updates on stocks and alerts.
However, those stock alerts don’t include an SMS option, a feature many day traders prefer to passive email alerts.
Investors Underground memberships offer an affordable option to those interested in trading – costing less than one-third of Warrior Trading’s fee. The yearly cost is only $1,897, and individuals can add access to premium courses for a more comprehensive learning experience. For those who want to sample membership before committing long-term, monthly payments are available at $297 per month.
Investors Underground’s customer feedback reveals a high level of satisfaction. It is reported that 91% view their memberships as a good value for money, and even more impressively, 83% stated that their trading capability improved after signing up.
Last but not least
Success as a day or swing trader is mainly contingent on the type of resources you have. Access to up-to-date and reliable information is essential for any trader hoping to make a profit; the chances of outdoing the market are manageable.
When considering investments, the sheer volume of stocks on the market can be overwhelming. To make the process easier, stock picking services are an excellent resource for traders and long-term investors. Such services provide up-to-the-second financial alerts that can help narrow thousands of options into a manageable set.
Educational resources such as stock picking services are essential for learning the art of trading or investing in individual stocks. Index fund investing differs from index fund investing; this type of investment is not considered passive or easy; instead, it demands extensive expertise and the ability to understand complex market information. Stock picking services offer various tools, including alerts, watchlists, and a replicable system that any trader or investor can use.
It is possible to overcome market forces if you stick to a specific system.