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NEW YORK – The daredevils are win big this year.

Investors who bought more risky stocks of economic recovery was challenged this year are synchronizing the biggest gains. Among them: stocks of companies at risk of default on their debt, would those already high prices and those other investors bet fall fast. Yields of this difficult lot are as much as double the earnings in the broad market.

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"Greed is on the rise and people will stock risky for higher performance," says researcher stock blended Investment Group co-founder Paul Hickey.

Consider actions of companies that believe that credit rating agencies could rigid lenders. Stocks of so-called junk listed companies increased by 19% since the beginning of the year through December 16, according to Bespoke. By comparison, those of stable companies and hunting with AA ratings or more returned six per cent.

One possible reason risky stocks are booming: the economic recovery of stop and go. The idea is that some investors who buy risky actions back earlier this year of fear, it would stall Collections. Now they are jumping in and extends the rally. In General, riskier stocks rise as early collections because they fall most recessions before their. In a recession, businesses figure high-risk investors do unsubscribe profits or even stay in business. But then negotiate hunters rush on survivors in anticipation of better times and stocks of climb fast - for a time at least. Finally, investors shift money in larger, more stable societies called blue chips, as recovery gathers steam.

But this time, 21 months in the rally, investors still prefer the dangerous the dull.

"We spent almost year-round concerned compensation and a double dip," explains Mark Bronzo, Manager of large enterprise security funds overall. But "gains came better planned and people play catch-up."

The danger is that small investors are borders in stock buy these pamphlets such as trend breaks and prices fall.

The investor is "Silver tension of bond funds, but where is the money going?", said Steven Ricchiuto, Chief Economist at Mizuho Securities. "We had a huge run." I would be more defensive now. ?

Wisdom, said that at this stage in the bull, investors should avoid stock prices relative to their income. A low cost pay - report suggests that a stock is a boon. But if you followed this strategy, you would have missed big statements this year. 10 Percent of stocks in the index standard & Poor 500 with the reports of earnings-price higher at the beginning of the year returned 23 percent through December 16, according to Bespoke. It is eight percentage points higher than the return of stocks with earnings - reports the lowest price.

Similarly, stocks that Wall Street Traders targeted sales open this so-called shot. In a sale of short, an investor Paris against a stock borrowing shares and selling them. If the stock goes down, the investor may redeem the shares and return them to the original owner, pocketing the difference. But the 10 percent of stocks in the S & P 500 which attracted sales uncovered most at the beginning of the year are 26 per cent, according to data provider worksheet. Those whose short selling at least increased by 17%.

Another winner in stop-and-go economy: stock of so-called cyclic companies whose profits are closely linked with economic cycles. Discretionary consumer companies like toymaker Mattel Inc., for example, acquired 90 percent last year lows as investors anticipated people spend more on non-essential. Then prices kept rising, up to a further 25% this year. In addition, they have triggered assumed that sales are s stocks and should exceed now. Staple suppliers consumers as Campbell Soup Co. stocks returned to 11 percent.

Stocks of small businesses are too beating stocks of large companies. Large enterprises are probably safer because they sell many products and services in many countries and can take advantage of the various sources to fund themselves. But Cap index small S & P 600 after returning 85 per cent last year from its March low, is another 24 percent in 2010. This is more than double gain 11 percent of the S & P 500, an index of big business.

", These things go in cycles", explains the USAA Arnold Espe outperformance of small-stock stock Manager. "We believe that we are at an inflection point."

Unfortunately, some experts have said the same thing 10 months in the rally, a year ago.

John Carey Pioneer investments owns Pfizer Inc. and Eli Lilly & co., makers of drugs with fat, but whose stock dividends suffered by fears that feeds on President Barack Obama in profit health care plan. A blue chip investors displacement, it figures is already in delay of six months, would have helped lift these stocks. No dice. Pfizer is down 2.1% so far this year that Eli Lilly was 4 per cent, one-third of the S & P 500 gain.

"In a bull market, people start focusing more on dividends and gains" but which has not passed, says Carey. But he added: "I am a patient investor."

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