Investing in Stocks: A Plan for 400 CIOs

It is important for investors to have a clear plan for investing in stocks and to stick to it. This is especially true in today's uncertain world, where the stock market is volatile and unpredictable. To understand how professionals plan to invest in stocks, we polled about 400 chief invest officers (CIOs), equity strategists, portfolio managers, and CNBC contributors.

Many of the CIOs and equity strategists we surveyed said that one of the biggest lures for investing in stocks is a company's commitment to returning capital to investors. For example, Warren Buffett's company Berkshire Hathaway owns 400 million shares of Coca-Cola, which has a dividend yield of 3.68%.

Market volatility has been on the rise recently. U.S. economic data has been strong, which has caused investors to worry that the Federal Reserve's interest rate hikes could trigger a recession. This uncertainty has caused stocks and oil prices to both be volatile. The Fed has so far delivered 400 basis points of rate hikes, and as a result, the S&P 500 has dropped by 20%, while oil prices have surged by 80% before dropping off again.

To prepare for potential market downturns, investors are looking for stocks that pay out dividends. The TSX has several stocks that offer high dividend yields, and investors can purchase them with as little as $400. These stocks include BCE, Bank of Montreal, and Suncor Energy.

Other investors are looking for growth stocks, which can provide long-term returns. Senior officials in China are drafting a plan for 5% GDP growth next year, and this could help stocks such as Alibaba, Baidu, and Tencent.

investors should also be aware of companies that are cutting their production in the near future. For example, Reuters recently reported that Apple plans to cut production at its Shanghai factory in January 2019. This could cause the stock to drop to $400, as it had been trading at $430 before the news was announced.

investing in stocks can be a rewarding experience, but it is important to understand the risks and be prepared for potential losses. By having a clear plan and sticking to it, investors can help ensure that their invest are successful.