As Stock Pickers Beat Wall Street, Copycats Try It

Wall Street is seeing a comeback by “stock pickers” -- financial wonks armed with spreadsheets, analytics and a daredevil streak.

They actively switch out stocks to help funds beat the “passive” funds that are loaded with cash but intended to produce steadier – and lower – results.

The best of these pickers outperform the broader market at double-digit rates.

"Active management is not dead,” according to Ben Johnson, director of global ETF research at fund research firm Morningstar.

This success has prompted some Americans to try to copycat those kind of returns from their armchair.

The pros say that's a play that risks jeopardizing your retirement nest egg or your child's college fund..

Instead, says investment experts like Christi Staib, a wealth manager for  Dallas-based Silver Sail Wealth Advisors, recommends enlisting the help of a professional – “someone you trust,” she says – rather than flying solo on such high-stakes decisions.

Similarly, stock picks shouldn’t be made simply because they were picked up “at the hair salon … or out on the golf course,” Staid tells NewsRadio 740 KTRH. She says even a good tip may be of a stock that’s already at or near its ceiling for growth by the time you hear about it or act on it.

There's a risk in any market, bear or bull, of course. Staib says your focus should not be a trendy stock or two, but your own financial situation and goals.

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