Motley Fool vs Morningstar


There is no shortage of investment tools and services available today, both in-person and online. In fact, with all the different companies out there saying they can help you with investing, choosing the right one can be overwhelming.

Two companies, in particular, stand out from the rest due in large part to the research they do in order to provide the best information possible to their clients. Those two companies are Motley Fool and Morningstar.

Keep reading to learn more about Motley Fool vs Morningstar to help determine which company is best for you and your investing needs.

What Is Motley Fool?

Motley Fool is a stock research and picking service that was founded in 1993 by two brothers, David and Tom Gardner. They started their company by producing their Stock Advisor newsletter, which today has over 1 million subscribers.

Over the years they have expanded to include additional newsletters and services including Rule Breakers and Everlasting Stocks. In addition to the paid content they provide in the form of their newsletters and training aids, they also provide free content.

How Does Motley Fool Work?

Each week, David and Tom will send out their stock picks for that week in their various newsletters. Their stock tips tend to focus on the long-term with their recommendation being that you hold on to the stocks that they suggest for years instead of weeks or months.

Since its launch, Motley Fool has regularly outperformed the S&P 500 when it comes to the return on their stock tips. In fact, as of 2021, they have a 575% return compared to a 116% return from the S&P 500.

What Is Morningstar?

While Motley Fool has more of a “mom-and-pop shop” feel, being run by David and Tom, Morningstar is the opposite of that.

Morningstar is one of the largest, and top-rated investment research companies out there. Founded in 1984 by Joe Mansueto the company has over 5,000 employees covering over 500,000 investments.

Like Motkey Fool, Morningstar began with its rating scale for mutual funds, something that is still featured by many brokerages. Over the years they have expanded their rating scale to include stocks, ETFs, credit ratings, as well as other essential data for both investors and professionals.

How Does Morningstar Work?

Morningstar provides its paid clients with a variety of tools and reports much in the same way that Motley Fool does.

What makes them unique is that they provide in-depth research on over 600,000 securities as well as offer a “best investments” list with both stocks and mutual funds on them.

At any given time, the Best Investments page will have a list of 15 mutual funds, ETFs, and stocks on it featuring hundreds of securities.

What Are Their Fees?

Morningstar Premium membership will run you $29.95 a month. However, they do offer small discounts for those who choose long-term membership options:
● $199 per year
● $349 for two years
● $449 for 3 years

They also offer a two-week free trial so that you can try them out before committing, however you do have to put in payment information in order to access the trial.

Motley Fool’s original Stock Advisor newsletter will run you $199 a year. Their Rule Breakers and Everlasting Stocks newsletters come in at $299 a year each. They also offer a bundled service called the Motley Fool Epic Bundle. The bundle comes with all three newsletters and is their best deal at just $499 for the year.

Both companies also provide valuable, free information on their websites.

Who Are Motley Fool and Morningstar Designed For?

Motley Fool is ideal for those who are new to investing. It is also ideal for those who are interested in finding and investing in stocks for the long term. The majority of Motley Fool recommendations are for stocks that should be held on to for 3-5 years.

Morningstar, on the other hand, is ideal for investors who are looking for detailed information on the stock market as a whole, with a specific concentration on mutual funds and ETFs. While Morningstar will provide their top picks, they don’t offer specific stocks to buy.

Are Both Companies Legit?

While there is always a risk when it comes to investing, both companies have the history and track record to prove that they are legit companies. After all, they both wouldn’t still be in business for this long and have the client base they both do if they weren’t doing something right.

Both companies also offer free-trial periods, allowing you to try them for yourself before committing.

Want To Know More About Motley Fool vs Morningstar?

Whether you are new to investing or have been doing it for years, both the Motley Fool and Morningstar offer services that are designed to help investors of all kinds navigate their way through the stock market.

For more information on the Motley Fool, or to start receiving their newsletter today, visit their website by clicking here. To start using Morningstar, click here.

Samedi 15 Octobre 2022


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