Sweet Spot

Refers to a range of acceptable returns greater than the median return for all stocks. The difference between an investor’s minimum sweet spot PAR and MIPAR is based upon risk tolerance and time horizon. For most investors, a sweet spot 5-10 percentage points greater than MIPAR is a good starting point.

The sweet spot refers to a range of acceptable returns greater than the median return for all stocks. The difference between an investor’s minimum sweet spot PAR and MIPAR is based upon risk tolerance and time horizon. For most investors, a sweet spot 5-10 percentage points greater than MIPAR is a good starting point.