We humans are creatures of habit, even when it comes to investing in stocks, which should be made by a logical decision process.

Yet, the truth is that many investors will stick with an investing pattern even if it isn’t working, just because it worked once before.

In times of market turbulence, should investors be rethinking the idea of risk premium when buying stocks?

The idea of risk premium is that investors have a safe place to put their money (U.S. Treasuries), so any investment that carries more risk should also offer a premium return.

The Dow closed at a four-month high Thursday, while oil fell and the dollar rose. What a great way to start a new month.

Is the market looking past the current economic woes to better times in the fourth quarter?

It is too early to tell, but investors may want to monitor company insiders for an increase in stock purchases. If key executives believe a rebound is coming, they may be picking up additional shares.

Do you want to know the exact date the stock market hits bottom and begins a true rebound during a bear market?

This is a magic date because stocks often post substantial gains coming out of a bear market and the biggest percentage increases happen early in the rebound.

Before you buy a particular stock, you may want to find out whether existing large shareholders are buying more or selling off their shares. This can help you evaluate the stock in the context of how their actions may influence the stock's price.

Picking stocks is a lot like buying a new car - only different.

More accurately, the process of picking a stock is like the process of buying a new car.

You decide on what features are most important (good gas milage or high performance vs. long-term growth or a quick profit on a market shooting star), for example.

Are there any safe stocks when the market is being battered every day by bad news?

Safety is a relative word. What one investor considers safe, another may find too risky.

However, there are some stock sectors investors have looked to in troubled times as a safer haven than the general market.

There is only one reason most investors buy a stock and that is because they expect a return that will be greater than putting the money in some form of savings account.

With the stock market in the can, the economy in sad shape, and people losing homes and jobs at an alarming rate, it is disturbing to read another report about CEO over-compensation.

The New York Times reported Sunday on the growing problem of what many call excessive compensation for CEOs of the top companies.

The argument has been that it is very competitive and companies must pay top dollar to hire and retain talented leaders.

However, as the Times pointed out, the CEOs of 10 financial services companies pocketed $320 million in compensation last year while their banks reported mortgage-related losses of $55 billion.

I could lose $55 billion for a lot less than $320 million in compensation (I’d do it for $32 million).

When will stockholders realize that the lap-dog board of directors and their CEO buddies are taking them for an expensive ride?

Picking great stocks is really about picking great companies if you are investing for the long term. The question every long-term investor struggles with is how do you know a company is going to be a good long-term investment?