Stockpickers require a clear reason to purchase in 2004

Stockpickers will need a consistent but flexible approach to the market this year, with clear reason...

Stockpickers will need a consistent but flexible approach to the market this year, with clear reasons for buying each stock, and conviction about holding it, according to Neil Pegrum, director of UK equities at Insight Investment. "Methodology is important when picking stocks. You have to have confidence to act decisively when your method throws up ideas," he said. "We see hundreds of companies and at the end we often decide not to invest. Not that there is anything wrong with them, just that there is no clear reason to buy." Stockpickers seldom label their processes "growth" or "value"....