"Individual stocks give you a better chance for a higher return since you have more control and can keep up with them easier than a fund with a basket of stocks."
-- Bill A., Montana
"If you are investing for the very long term the best bet is a quality index fund. The vast majority of actively managed funds under-perform the markets over the long term after fees are factored in. If you want higher returns and have the time and the discipline to do the necessary research and monitoring invest in individual stocks."
-- Larry E., North Carolina
"If you compare long term charts of stocks vs. mutual funds in the same sector the stocks are the winners because the fund is a mix of many stocks going up and down so it averages out the return. Stocks are the distinct winners for long term holds and also for trades, because you can catch the shorter term run ups."
-- Diana D., Florida
"Individual stocks definitely yield a better return on investment over funds. When is the last time you ever heard of someone becoming a millionaire in a few years by investing in mutual funds?"
-- Paul F., New Jersey
"Obviously, some individual stocks can yield a higher return than funds. They can also yield a much lower return than funds. Unless you have a diversified portfolio you have to be good and lucky to pick more winners than losers relative to what a good fund can do. Since I'm close to retirement I have greater concern than I did some years ago about minimizing the downside risk, and for that reason alone I'm into funds rather than individual stocks, though I am somewhat more aggressive about the types of funds I invest in."
-- Brian D.