[mscags]

"After my other post to the $5k portfolio question, I went for a run and realized that I was giving advice I never followed myself. The real answer for a $5k portfolio is 2 buy 2 stocks, maybe 3. The problem is that most people with a $5k portfolio are not qualified to pick those stocks. If you have a rich uncle or something who is good in the market, that is the way to go."

Doesn't that have a very high risk of ruin? I mean even the best traders still pick bad stocks occasionally don't they? I agree with you if the 5K isnt that important enough that you don't mind busting it, but if someone only has 5K to play with and losing it would be a huge loss, wouldn't it be better to go the safer route? Personally I'm just starting at 5K this month and hope to be adding a few K each month so I would probably go for some individual stocks (assuming I feel comfortable picking some stocks and am confident in what I am doing, if not I will probably just hit some indexes like you said)