The single-stock retirement plan is a component of Alexander Green’s Oxford Communique Review. Before delving into the legitimacy of the retirement plan, we will start by giving you the lowdown on what the Oxford Communique Review is, as well as its stated goals.
The Oxford Communique Review aims to reduce a lot of the stress, decision making and research effort on behalf of the average stock trader. Every month, it provides the user with information on what steps should be taken in the world of “under-the-radar opportunities.” Green declares that users will “maximise their income, minimise taxes, double market returns every year, minimise market risks, and achieve financial independence.”
So, what exactly is the single-stock retirement plan, and is it legit? The slightly “out there” plan states that you should invest your expendable money into “one or two excellent stocks,” which differs from the traditional, yet someone outdated, method of striving for “portfolio diversification.” One of Green’s main arguing points is that within the past twenty years, market growth has been somewhat restricted to the technology industry, and your “single stock” should be focused on one or two of these thriving tech companies.
Investopedia outlines the pros and cons to having a single stock in your portfolio, with some of the pros including lower fees associated with having that single stock, as they claim, “you pay a fee when you buy a stock and one when you sell it.” Furthermore, “the longer you hold the stock, the less fees you have to pay.” These fees can greatly impact the return, so Investopedia claims that this alone is a good reason to try Green’s strategy.
They write that other pros include easier tax management and a good grasp on “understanding what you own when you pick the stock.” Keep in mind there are some cons to single stock investing, as well. Those include a complete lack of diversification, as well as more effort on your part analysing how the single stock company you chose is performing, business-wise.
In a nutshell, yes it is legit, however, it comes with pros and cons, as well as risk. That being said, almost any move you make in the world of stock trading comes with risks. Green is consistently applauded for the Oxford Communique and its strategies, so there is legitimacy and good intent behind his monthly service and its strategies.
At the end of the day, it is up to the individual to decide if they would like to go down this single-stock retirement route by investing in one or two booming tech companies, essentially putting all of your eggs into one or two baskets. However, it is important to first ensure you have all of the information concerning the pros and cons. The plan is legit, yet no plan is completely flawless, so make sure you assess how it could possibly play out by considering your own personal situation, abilities and goals.