The Disruptors: 10 Innovative and Irritating Stock Picks

The idea of disruptors - single companies that (usually quickly) change the landscape of an entire industry or sector - isn't new. Henry Ford and Ford Motor (F) revolutionized automaking in the early 1990s. Phil Knight's Nike (NKE) forever altered the athletic-shoe industry.

In the process, these and other similar game-changers were colossally successful stock picks, shooting higher year after year as they ate the rest of their industry's share.

Today, institutional investors with deep pockets still are committing large sums of capital to disruptive technologies. For instance, in Canada, Quebec's largest pension fund - Caisse de dépôt et placement du Québec - recently announced that it would invest up to $2 billion in public-company stocks and pre-initial public offering (IPO) companies with the potential to become leaders in their industries.

Here in the U.S., investment managers such as Ark Investment Management LLC, are focused exclusively on disruptive innovation. Ark defines disruptive innovation "as the introduction of a technologically enabled new product or service that has the potential to change an industry landscape by creating simplicity and accessibility while driving down costs." This sounds like the kinds of innovations harnessed by Ford and Nike in their heydays.

Today, we'll explore 10 stock picks that have the potential to be disruptors themselves. A few of these are established companies that are delving into new markets, while others are younger companies that are only starting to be a thorn in other companies' sides. Just be cautious. A few aren't even profitable yet, which makes them considerable risks and more suitable for aggressive allocations.

SEE ALSO: The 19 Best Stocks to Buy for the Rest of 2019

Read more: https://www.kiplinger.com/slideshow/investing/T052-S001-disruptors-10-innovative-irritating-stock-picks/index.html

Fasten Your Seat Belts: Commercial Real Estate Is Taking a Flight to QualityA "flight to quality" doesn't mean jetting off to a tropical resort, it's a strategy that real estate investors are using right now to gain peace of mind. Seasoned CRE buyers are flocking to quality assets with less market and construction risk. Is it time to reposition your investment holdings?

Read more: https://www.kiplinger.com/article/real-estate/T047-C032-S014-commercial-real-estate-is-on-a-flight-to-quality.html

5 Top ESG Stocks on RBC Capital’s ‘Best Ideas’ List

If you want to invest with a clean conscience, look no further. RBC Capital has just released a report revealing its favorite stocks for sustainable investing. These are stocks that the firm rates Outperform (the equivalent of Buy) according to its traditional fundamental financial analysis - and that score highly on key environmental, social and governance (ESG) factors.

ESG spans a wide array of factors, from being environmentally sustainable and protecting consumers to boasting gender diversity in the boardroom and ensuring equal pay for employees, and many more.

"It is thought that ESG factors can be strong signals for future opportunities as well as potential risks including share price volatility, earnings stability and issues management," write RBC Capital analysts, adding, "incorporating environmental, social and governance factors alongside traditional financial analysis can be additive as indicators of corporate performance."

Indeed, a Morningstar study of its ESG indexes released earlier this year showed that sustainable investing pays off. "We found that 41 of the 56 Morningstar's ESG indexes outperformed their non-ESG equivalents (73%) since inception," it says. "... Morningstar ESG indexes tend to select companies that are less volatile and possess stronger competitive advantages and healthier balance sheets than their non-ESG equivalents."

Here are five of the best ESG stocks on RBC Capital's "Global ESG Best Ideas List." Each of the stocks not only gets RBC's seal of approval, but sports a Moderate Buy or Strong Buy consensus rating from analysts tracked by TipRanks.

SEE ALSO: The Berkshire Hathaway Portfolio: All 47 Buffett Stocks

Read more: https://www.kiplinger.com/slideshow/investing/T052-S001-5-top-esg-stocks-rbc-capital-best-ideas-list/index.html

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