It looks like we could be entering a true stock-picker's market.
The CBOE Correlation Index is at its lowest levels in years. That means stocks are not moving as one so, if you want to beat the market, you will have to find the right stock.
Enter Bob Doll, the veteran investor who has made money all types of markets. The Chief Equity Strategist and Senior Portfolio Manager at Nuveen Asset Management has three stocks he thinks everyone should own.
Those three stocks are among the 25 he has selected in a unit investment trust called the Nuveen 2014 Equity Outlook Portfolio. That portfolio was developed to profit from Doll's ten predictions for this year.
Common factors among these mostly cyclical stocks are decent free cash flow and a generally low price-to-earnings bias, according to Doll. Energy and utilities stocks are underweighted while aerospace/defense, health care, and big technology are overweighted. (more)
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