More often they create a list of investment candidates meeting their minimum criteria, and from those they choose the best bargains.
an investor might start by narrowing the list of possibilities to those whose riskiness falls within acceptable limits, since there can be risks with which certain investors aren’t comfortable. Examples might include the risk of obsolescence in a fast- moving segment of the technology world, and the risk that a hot consumer product will lose its popularity; these might be subjects that some investors consider beyond their expertise.
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