I have a question about probability and stocks. This is strictly hypothetical, just some things rolling around my head here. Ok, let's say I have a goal of achieving a 100% capital gain, that is, make 100% on my investment. So I buy 10 stocks. Let's assume that the stocks move at a random motion so I buy any 10 stocks and let's say just for the example's purposes none of the stocks go down. Would it a better chance, probability wise, for 1 stock to go up 100%, 10 stocks to go up 10%, 2 stocks to go up 50% or some other combination to achieve 100% gain? Any ideas?
To be safe I would say it is a best bet for a random combination. Although it really depends on the markets they are in, etc. etc.
So the risk factor of waiting for a single stock to go up to the 100% mark would be worse than waiting for any stock to go up any percent...yes?