*** FINAL YEAR-END REVIEW IS NOW UPDATED AS OF January 2, 2021 for Stock Pick Results as of Friday, January 1, 2021 ***
Investment newsletters make getting stock market analysis and stock recommendations easy.
But… there are so many newsletters to choose from… how do you know which newsletter provides the best stock recommendations?
I am a huge fan of buying stocks because buying individual companies helps me outperform index funds and beat the market.
How do I beat the market? I analyze dozens of newsletters and buy the stocks recommended from only the best newsletters.
Over the last 30 years, I have subscribed to dozens of investment and stock newsletters. To test them, I set up a virtual trading accounts here at WallStreetSurvivor for each of these stock newsletters and my team and I have diligently bought the recommended stocks in these virtual accounts for the last 10 years.
These newsletters give me lots of advice and many stock picks each month. But which ones consistently outperformed the market and are worth the money?
I know you are busy, so below I will rank the Best Stock and Investment Newsletters based on the following criteria:
- Percentage return (including dividends) of all of their picks for each calendar year.
- Percentage of their stock picks that are winners.
- Cost of the newsletter.
- Refund policy–Can you get your money back when you cancel?
- Customer service–Can you get hold of anyone that will answer a question?
Based on the above criteria…
We have now finished compiling our results for 2020 performance and…
THE MOTLEY FOOL STOCK ADVISOR WINS AGAIN!
The Best Stock Newsletters of 2020 are….
The Motley Fool Stock Advisor ranks as our #1 Best Investment Newsletter for the fourth year in a row.
*** UPDATED JANUARY 2, 2021 WITH STOCK PRICES AND PERCENTAGE RETURNS THRU FRIDAY, JANUARY 1, 2021 **
Their stock recommendations continue to beat all of the other newsletters we monitor and they maintain a very high accuracy of their picks.
As of the close on December 31, 2020, 21 of their 24 stock picks for 2020 were up and the average return of all 24 picks was 78% compared to the market's 19%. Most impressively, their prior 96 stock picks from 2016-2019 are up on average 209% and they have outperformed the market by an average of 151%; 80% of these 96 stock picks are up; 61% are beating the SP500 for the same time period and 48 have at least doubled and 27 have at least tripled in price.
Read that again… The Motley Fool's stock picks from 2016 to 2019 have BEAT THE MARKET by 151% over the last 4 years. And their 2020 stock picks beat the market by 69% for the year.
No other stock newsletter comes close to that.
You may have seen the Motley Fool' advertisements like the one below dated December 30, 2020 that since inception their picks are up 570% compared to the market's 114%.
Is The Motley Fool's Stock Advisor really as good as they claim?
Over the years we have become so confident in the Motley Fool Stock Advisor stock picks that in December 2015 we opened up a dedicated ETrade account and actually started buying all of their stock picks. Starting in January 2016 we have purchased about $2,000 of every single one of their stock recommendations for almost 5 years now.
Since January 1, 2016 we can confirm that their picks are up 209% in just 5 years and they continue to beat the market by 3x to 4x.
How do they do it? They are really good at picking a few stocks that double or triple each year.
Take a look at a summary of my Motley Fool stocks from the last 5 years where I show you the average return, the number of stocks that are up, that are beating the SP500, the number of stocks that are up at least 50%, 100%, 200%, 300% and more…
Even with the post-election volatility, you can see that:
- Since 2016, 82% of their stocks are up and 64% are beating the SP500 over the same time period
- 14 of their 24 picks from 2019 are already up 50% or more, 10 have at least doubled, 6 have more than tripled, 4 have more than quadrupled, max is up 374% and the worst loser has a 84% loss
- 15 of their 24 picks from 2018 are already up 50% or more, 12 have at least doubled, 7 have more than tripled, 6 have more than quadrupled, max is up 793% and the worst loser is a 36% loss
- 13 of their 24 picks from 2017 are already up 50% or more, 11 have at least doubled, 6 have more than tripled, 4 have quadrupled, max is up 1,159% and they have one slight loser at just a 9% loss
- 17 of their 24 picks from 2016 are already up 50% or more, 15 have at least doubled, 8 have more than tripled, 4 have quadrupled, max is up 3,402% (that was SHOPIFY) and the biggest loser is down 60%.
Let’s get straight to the important stuff you want to know about this service.
When you subscribe, you will get two new stock recommendations each month and several BEST OF lists of stocks each year. Note that our analysis only considers the 2 unique stock picks per month as the BEST OF lists are usually re-emphasizing previous stock picks that they still recommend strongly.
Each recommendation comes with an in-depth (but easily understood) analysis that tells you why they recommend each stock.
You will also get unlimited access to…
- The Motley Fool's list of “Best Stocks to Buy Now.” Best ideas chosen from all of the picks since the service started.
- The Motley Fool's list of “Starter Stocks that should be in Everyone's Portfolio.” Stocks that give you an excellent foundation for your portfolio.
- Their Knowledge Base and Community. Educational materials that will help you become an expert investor, and message boards to chat with other investors.
And in case you are wondering, yes, they do tell you when to sell a stock. They issue sell orders sometimes to lock in profits and sometimes to cut losses.
FYI -- Updated as of January 24, 2021 -- Thank goodness 2020 is over and we look forward to life returning back to normal in 2021. But the one GREAT thing about 2020 if you were a Motley Fool subscriber was 21 of their 24 2020 stock picks are up; and EIGHT (TSLA, NVTA, ZM, SHOP, ZM (re-recommended), CRWD, CRWD (re-recommended), and FVRR) have now at least DOUBLED! The average return of their 2020 stock picks is now +99% compared to the SP500's +22%. Their top performer was TESLA which is now up 884% since they recommended it in January 2020. In addition, their 2019 stock picks were awesome too and they are now up 132% compared to SP's 37%; and their 2018 picks are up 223% (SP's 46%). Now for 2021, with a new President and a COVID vaccine, most analysts expect the market to continue up, but make sure you have the right stocks!
In fact, over the last 5 years the average Fool stock pick has more than tripled (up 224%)! This time period covers the 2016 election, the Trump administration, the China trade negotiation, COVID, and now the Motley Fool is getting ready to release their stock picks for 2021 and the Biden administration. Don't miss out on the Motley Fool's next stock pick. Here is the schedule for their next TRADE ALERTS:
- January 28, 2021 - David's New 5 Best Stocks to Buys Now List
- February 4, 2021 - Tom's New Stock Recommendation
- February 11, 2021 - Tom's 5 New Best Stocks to Buy Now List
- February 18, 2021 - David's New Stock Recommendation
A subscription to the Motley Fool Stock Advisor is normally $199 a year. But they are currently offering a Fall 2020 promotion for new subscribers so they can try it for just $19. CLICK HERE to visit the Fool's $19 offer page.
So why is it our #1 pick for the Best Investment Newsletter?
- Its performance over the last 5 full years has killed the competition (and beat the market by 151%).
- Lots of their stock picks double, triple, quadruple, and more!
- Older stock picks from 2016 and 2017 continue to outperform.
- Very good success rate. About 82% of their stocks from each year are profitable.
- Their 2020 picks did great again. Their January 2, 2020 pick of Tesla (TSLA) is already up 720%, their February 6 pick of NVTA is already up 112%, their March 19, 2020 pick of Zoom Video is already up 203% and their April 2 pick of SHOP is already up 253%, and their June 4 pick is up 130% .
- The Motley Fool stock picks are still coming from the 2 brothers that started the company in the early 1990s. So when you order the Fool service, you know that you can expect similar results because the stock picks are coming from the same 2 guys.
- The price is extremely reasonable AND they offer a MONEY BACK GUARANTEE and they have a toll-free number for support. They are so confident in their service that they encourage you to try it and get their next 2 stock picks–then you can cancel if you aren't happy and get your money back. Normally it is $199 a year, but if you are a new customer you can try it for just $19. Here is the link to their new customer discount page.
There is one thing you need to know about their service, however…. Because they have so many subscribers, their picks tend to go up a few dollars they day their recommendations come out. So to get the best returns, you need to buy their stock picks as soon as you receive their alerts.
A subscription to the Motley Fool Stock Advisor is normally $199 a year, but they currently running a Fall 2020 promotion where new subscribers can try it for just $19. CLICK HERE to view the Fool's $19 offer page.
How Much Does The Motley Fool Cost?
For the last year 5 years we paid $199 a year for the service. But they just launched a new 2020 price promotion of 50% OFF. Currently, new customers can subscribe for either $19 a month or $99 per year on THIS New Customer Discount Page. At $19 a month that is $228 (12 x $19) a year, so you will actually save $129 a year if you just pay for the year. Either way you can cancel within 30 days and get our money back.
If you start out at the $19 a month subscription, they let you cancel within 30 days and get your money back. Or if you are satisfied with it, then you can switch to the $99 annual payment and save the $129 a year.
Based on our historical performance since 2016 and the performance of their last 96 stock picks, subscribing to the Motley Fool for just $99 a year is a great deal for both the beginner and the experienced investor. Given that their stocks tend to “pop” a few dollars as soon as their recommendations come out, you should recover the cost of the service with the first pick or two.
How Do I Subscribe?
Subscribing is easy. They require your name, email and billing address–and, fortunately, they do NOT require a phone number so they won't harass you with telemarketing campaigns like other services do. Here's What You Get With The Motley Fool
If you are still not convinced, then read our full review.
The Motley Fool Ruler Breakers is a high-growth investing service.
Rule Breakers is similar to Stock Advisor, with a few twists…
With Rule Breakers, you get two new stock recommendations each month.
These recommendations are based on stocks that will become tomorrow’s market leaders.
Here are the six rules that differentiate “Rule Breaker” stocks:
- Emerging Industry. Innovative companies in emerging industries that are poised to change the world.
- Sustainable Advantage. Companies must show potential for long-term advantage over competitors.
- Past Price Appreciation. Rule Breakers have performed well in the past.
- Good Management. You want to invest in companies with vision and competent management.
- Consumer Appeal. Customers have to love the product or service.
- Grossly Overvalued. Wall Street may be underestimating the companies’ transformative value.
Each rule is considered when stocks are being chosen and recommended to users.
Take a look at the performance of my Rule Breakers stocks…
Notice that for the 96 stocks from 2016-2019 they are up 318% compared to the market's 57%. Also note that 81 are up, and that 58 have at least doubled. But look at the 2nd to last column on the right showing the MAXIMUM return. One stock (ticker: TTD) from 2017 is up 2,235% and one stock (ticker: SHOP) from 2016 is up 5,285%.
Over the last 5 years, the stock picks from the Motley Fool Rule Breakers service have actually outperformed their Stock Advisor service, but their 2020 stocks have not done so as well. Also their Rule Breaker picks are a lot more volatile and they seem to take longer to go up in value. So I find this service to be more hit or miss since they are really trying to pick high growth stocks in newer industries. If you do subscribe to this service, you definitely need to buy EVERY pick that comes out so that you don't miss on the few that skyrocket.
For example, in January 2018 they picked AYX which is up 324%. They also picked MDB in February, 2018 which is up 761% and DOCU in July 2018 which is up 338% and TWLO in Sept 2018 which is up 274% and their Dec pick of BILI is up 363%. Their March 2019 pick of ROKU is already up 379%, Aug 2019 pick FSLY is up 261%, and their Oct and Nov 2019 picks of DDOG, ETSY, and PTON are up 212%, 270% and 255%.
So….. to summarize on the Rule Breakers service, over the last 5 years ON AVERAGE it has performed better than Stock Advisor, but with more volatility and bigger losers. If you look at just 2018-2020 picks, Stock Advisor is the winner.
So, do you want to add high growth stocks to your portfolio and do you have at least a few years to let them gain in value? Do you have the cash to buy EVERY one of their 24 recommendations per year, then you should subscribe to Rule Breakers while it is still on sale for $99 a year or $19 a month . I paid $299 a year for it in 2018 . As with all of the Fool products, you can cancel anytime. (read our full Rule Breakers review)
Additionally, you can check out my article revealing the Top Motley Fool Picks.
Tim Sykes runs a popular blog that helps investors on their investing journey.
But instead of checking the blog each day…
…you can get Tim Sykes “PennyStocking” watchlist e-mailed straight to your inbox each morning at 8 am.
You will also get updates throughout the day on trades that Tim Sykes makes.
But who is Tim Sykes, anyway?
He is a trader that turns thousands into millions and has seen 50% gains over the past six months!
And you can follow each trade that he makes EXACTLY as he buys and sells throughout the day.
Tim maintains that “it only takes one good trade to pay for an entire year of TIM ALERTS!”
4. Jim Cramer Action Alerts
Finding the top stocks requires focus, discipline, and most importantly, homework.
Luckily, Jim Cramer’s Action Alerts take those steps out of the equation for you!
Jim Cramer offers his alerts as a subscription service available through TheStreet.com.
The service will send you an e-mail when Cramer has recommended a buy or sell for any stock.
You will also receive additional analysis such as…
- Detailed information on the stock
- The action being taken
- Why that action is being taken
At the end of each week, Cramer will do a weekly roundup of all the shares that he currently owns.
We like this service because it allows everyday traders to get inside the head of an industry expert.
With this, you will have the tools necessary to make well-informed decisions for your own investment portfolio.
There is even a 14-day trial of Action Alerts so that you can see if the service is right for you.[stash]
Zacks Investment Research gives users the tools and market insights necessary to invest successfully.
The newsletter is e-mailed each weekday morning and summarizes the market, what the market means for investors, and what you should do next.
You also get links to articles featuring Zacks top stock, ETF, and mutual fund picks.
Zacks offers the following account options:
- Free Registration. Resources that will help you profit with no obligation to purchase.
- Zacks Investor Collection. Bundle of top subscription services for long-term investors.
- Zacks Ultimate. All private buys and sells from all exclusive recommendation portfolios.
You should review each account options to determine which one will help you achieve your financial goals.
You can try the Investor Collection and Ultimate free with a 30-day trial.
6. Kiplinger’s Personal Finance
Kiplinger’s is a monthly magazine that aims to satisfy all of your money management and investing needs.
This publication covers things like homeownership, vehicle purchasing, and retirement saving.
Additionally, Kiplinger advocates for long-term investing and low-cost investing which is perfect for young investors.
Each month several columnists cover a variety of topics, which include:
- Latest financial trends
- Individual stocks
- Mutual funds and ETFs
- Bond investing
- Retirement planning
- Real estate
- Bank accounts, credit cards, automobiles, and technology
Kiplinger is definitely one of the most broad and comprehensive financial newsletters.
And, the best part is…
…this magazine covers all areas of finance, and you can sign up for just $12 a year!
7. Stansberry Research
Stansberry Research specializes in providing actionable investment recommendations and research for individuals self-managing their portfolios.
Stansberry promises to bring “the safest, most profitable investment ideas in the world, no matter what’s happening in the markets.”
You can check out any of the following entry-level newsletters:
- Stansberry’s Investment Advisory
- True Wealth
- Retirement Millionaire
Each newsletter uses a different investment strategy, so it will be up to you to determine which is best.
But you can often find discounted subscription prices with a little research of your own.
8. The Speculative Investor
The Speculative Investor combines technical analysis with macroeconomic analysis.
This analysis covers equities, gold and gold stocks, currency exchange rates, commodities, and bonds.
Subscribers receive two commentaries per week covering the financial markets mentioned above.
Additionally, you will receive stock picks and other trading ideas to boost your portfolio.
You can sign-up for $25 per month or $240 per year.
9. Nate’s Notes
Nate’s Notes is a monthly newsletter that focuses on helping investors grow their wealth in the stock market with a long-term approach to investing.
The newsletter is an easy read that can be understood by investors of all levels.
Additionally, two portfolios are used to track returns generated by these newsletters over time.
You can cancel your subscription at any time to receive a pro-rated refund if you are dissatisfied.
You can get your 1-year subscription to Nate’s Notes for $289.
The bottom line is, investing newsletters can be used to make informed investing decisions.
There are many different newsletters at your disposal and each one offers a different point of view.
Do you use investing newsletters? Which ones are your favorite?
Let us know with a comment below!
10. Other Niche Investing Newsletters
- Discovery: Everlasting Portfolio
- Motley Fool Options
- Extreme Opportunities: Augmented Reality and Beyond
Best Investment Newsletter Conclusion
There are hundreds of services out there claiming they can help you find good stocks and beat the market. We subscribe to a few dozen and update this list quarterly so you can see which ones are performing the best.
Over the last 4 years, the stock picks from the Motley Fool Stock Advisor have consistently outperformed the overall market by 40% per year–when compounded over a 4 years their picks have beat the market by 93%. That is far and above all of the other newsletters we track.
While every stock pick of theirs does not go up, they always pick a few stocks that double and triple each year–that is how they get their amazing returns.
Not only did the Fool's Stock Advisor have the best returns for the last 4 years, but it is also the most affordable newsletter at just $19.
We don't guarantee future results, we are only sharing our historical results. If you want to get their next stock picks, for just $19, CLICK HERE.
If you have cash available every month to invest, the Rule Breakers newsletter is our second best performer. On average their 24 picks for each of the last 4 years have outperformed Stock Advisor's , but their variance is much more. The Stock Advisor has fewer losing stock recommendations, but Rule Breakers has more super-returns on a few stocks./* */