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This content is for informational purposes only and is not intended to provide financial advice.
Company Basics
The Motley Fool is an investment advice company headquartered in Alexandria, Virginia. It was co-founded in 1993 by brothers David and Tom Gardner, and their primary goal was to create a platform that would make investments accessible to the average person, regardless of their background.
The Motley Fool has three primary categories of premium services: Stock Picking Services, Real Money Portfolio Services, and Specialty Services. Stock Advisor falls within the Stock Picking Services, which was first launched in 2002. Over the years, it has built a reputation of consistency and high returns, outpacing other stock advice platforms and even the S&P 500 index.
In this review, we will go over the best features of Stock Advisor, Motley Fools’ most successful service, and break everything down so you can decide for yourself if Motley Fools Stock Advisor is the right platform for you.
Who is Motley Fool Stock Advisors Good For?
Motley Fool’s Stock Advisor comes with many features and resources for both experienced investors and beginners alike. Motley Fool’s core philosophy is to build a portfolio of at least 25 diversified stocks and hold it for at least five years.
For beginners, Stock Advisor comes with many educational resources – from How To guides like How to Invest in Stocks: A Beginner’s Guide to the Motley Fool Podcast and summary videos that show the behind-the-scenes expert insights from the Motley Fools group of analysts.
For experts, you can opt-in to receive 9 very thorough monthly reports that go in-depth on the state of the stock market as a whole, long-term prospects, and the profitability and potential of various emerging markets.
What Do They Offer?
Whether you’re starting your investing journey or have some experience, the first recommendation from Motley Fool is to build a set of foundational stocks. These include some of the biggest companies out there like Microsoft (MSFT), Zoom (ZM), and Amazon (AMZN). You won’t be making the bulk of your gains with these, but they’re very reliable and will add much-needed stability to your portfolio.
Additionally, you will gain immediate access to all the past recommendations they’ve made – that’s almost 200 stocks. You can check and track for yourself how they always hit the mark with their recommendations and even get a glimpse into the thought process behind their picks as well as monthly reports.
Here’s the breakdown of all the features:
- Access to a library of 190+ expertly-picked stocks
- Two additional stock recommendations every month
- 10 Monthly ‘Best Buys Now’ recommendations
- 374% returns since inception (as of May 2022)
- Access to 25 foundational stocks
- Video summary of monthly picks and monthly reports
The two additional monthly recommendations come directly from a pool of emerging companies and promising stocks that the analyst team at Motley Fool has carefully selected. Based on past performances, it is completely reasonable to expect an average rate of return of 100% – which goes to show just how successful the Motley Fools Stock Advisors picks have been.
As a bonus, Motley Fool’s Stock Advisor subscribers receive 10 monthly Best Buys Now. These stocks are optional and selected for their short-term potential and explosive growth. Consequently, they tend to be slightly riskier than their two monthly recommendations, so choose carefully and make sure you can afford to invest in these.
Are There Any Fees?
Yes – as with most Motley Fools premium products, Stock Advisor is a subscription-based service. Despite being Motley Fool’s most successful service, it is nowhere near the most expensive – in fact; it is one of the more affordable services:
- Monthly Subscription: $39/month
- Yearly Subscription: $89 for the first year ($199 after the first year)
First-time subscribers using this link pay only $89 for their first year – and it comes with complete access. After the first year is over, the yearly subscription is fixed at $199.
As an added bonus, all users – whether you use our link or not – get a 30-day free trial with access to all the features and benefits. Just keep in mind that if the trial runs out and you didn’t use our link, you will be automatically charged the full $199/year and will miss out on the first-year discount.
How Good Is Stock Advisor?
The Motley Fool offers some very good services, and it’s not uncommon at all for it to rank very positively over indices like the S&P 500. For example, Motley Fool’s Rule Breakers has beaten the market for a staggering 18 years in a row – almost doubling the total returns of the S&P 500 in that same period: 182% for Rule Breakers and 99% for the S&P 500.
But Motley Fool’s Stock Advisor takes it to the next level. Since its launch back in 2001, it has beaten the S&P 500 index by more than 200% in a 21-year period: 374% returns for Stock Advisor and 122% for the S&P 500.
You may wonder which service is better for you – Rule Breakers or Stock Advisor. The answer is not so simple, and it will depend on the type of investor you are – are you looking for income generation or wealth creation? Are you looking for medium- or long-term investments? We answer these and other questions in our Rule Breakers vs Stock Advisor full comparison, where we go over all the differences between the services so you can make a more informed choice.
Both services are distinct, but if you are interested in both, there might be something for you. Here we answer the question: should you sign up for both Rule Breakers and Stock Advisor? We considered all the facts and features, and the cost-effectiveness of bundled services is very hard to beat.
Should I Sign Up For Another Service?
In general, Motley Fools is great for new investors – all of their subscriptions come with a 30-day money-back guarantee trial, so you can always test out any new service. They also have bundles of services – these include more than one service and come with a very attractive discount.
One of their most sought-after bundle is the Motley Fool Epic Bundle, which includes 4 of their most successful services: Stock Advisor, Rule Breakers, Everlasting Stocks, and Real Estate Winners, for just $499/year ($200 off if you used our link). You should only consider it if you’re a serious investor looking for the best opportunities.
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