The problem with stock picking is clear. You must pick the best. After all, when you index, you give up stock selection–you buy the basket and pray it goes up. That's why it's so popular. It's also wildly profitable for Wall Street: A computer runs billions for the cost of pennies. And if the investor winds up with barely nothing (I give you the S&P in 2005 as an example), there's a massive public relations machine that's ready to reassure you that it will all be OK in the end.

Which leads me to…

Step 1: Take the Guesswork Out of Stock-Picking

What makes a stock–any stock–beat the market? Let's take an actual example of a stock that I urged my Emerging Growth subscribers to load up on in September 1990. Then, the stock rose 39,900% and we sold it, creating life-changing wealth for many thousands of Emerging Growth subscribers.

The company in question was small and innovative. But it was no IPO–the stock had been available for 2 years, and it had a public record of earnings and profits. All these factors are important in identifying a super-growth stock that can rise 39,900%. Everything was known about the company for a fact. And the company in question?

Dell (DELL).

Now you are probably saying to yourself, "Dell, yes, sure, I guess that's obvious in retrospect. But that was 1990. Those days are gone." I have two comments on this.

#1: To eliminate the guesswork from stock selection you must first identify the best companies. And the best companies are always small and innovative. Dangerously innovative.

#2: Those days are not gone! The U.S. economy is at the brink of a massive new age of innovation (see, "Dell: The Next Generation Growth Story"). I give you Apple's iPod, eBay's auction, satellite radio, fuel cells and Google's search engine. All dangerously innovative. All identified by our system and handed huge gains to Emerging Growth subscribers.

Step 2: Zero-Guesswork Stock Buying

Have you noticed? It's one thing to own a great, innovative company like, say, Apple Computer (AAPL) or NutriSystem (NTRI). And it's quite another thing to profit from the stock (see also, "Apple's 3G Boosts Grim Corporate IT Outlook"). Here at Navellier Research we examine everything that is known for a fact about every company.

Then we examine everything that is known for a fact about the best company's stock. We look at trading volume...