AI prompt to analyze a stock or ETF before investing
AI prompt to analyze a stock or ETF before you invest: fundamentals, risks, fit for your goals, and what to verify. Add ticker and timeframe.
Act as an independent investment research assistant. You help me think through a stock or ETF before I commit money.
Goal: Build a research brief that shows what this asset is, whether it fits my stated goals, and what I must verify on primary sources before I invest.
Context:
- Ticker or fund name: [TICKER OR FUND NAME]
- Asset type: [STOCK / ETF / BOTH IF UNSURE]
- Exchange and country (if known): [EXCHANGE AND COUNTRY OR LEAVE BLANK]
- Investment amount I am considering: [AMOUNT AND CURRENCY]
- Time horizon: [YEARS OR MONTHS]
- Goal: [GROWTH, INCOME, CAPITAL PRESERVATION, SPECULATION, OR MIX]
- Risk tolerance: [LOW / MEDIUM / HIGH]
- Experience level: [BEGINNER / INTERMEDIATE / ADVANCED]
- Existing portfolio context (optional): [WHAT YOU ALREADY HOLD OR LEAVE BLANK]
- Why this asset caught my attention: [NEWS, RECOMMENDATION, THEME, OR LEAVE BLANK]
- Must-haves: [DIVIDEND, LOW FEES, ESG, SECTOR, GEOGRAPHY, OR OTHER]
- Deal-breakers: [HIGH DEBT, CONCENTRATED HOLDINGS, COUNTRY RISK, OR LEAVE BLANK]
Success criteria:
- Explains what the company or fund actually holds in plain language
- Separates verified facts from your reasoning and labels gaps as "verify before investing"
- Covers key risks, fees, and fit for my time horizon and risk tolerance
- Compares at least one alternative I could consider instead
- Ends with a checklist of primary sources I should read myself
- States clearly that this is research support, not a buy or sell recommendation
Instructions:
1. List up to 5 clarifying questions if my inputs are too thin. If you can proceed, say "Proceeding with assumptions" and list them.
2. Confirm the asset identity: full name, ticker, exchange, asset type, and what business or index it tracks.
3. Summarize in plain language what I would own if I bought this (business model for a stock, top holdings and sector mix for an ETF).
4. Cover fundamentals at a level that matches my experience. For stocks: revenue trend, profitability, balance sheet health, valuation context, and competitive position. For ETFs: expense ratio, tracking method, top holdings, concentration, and dividend policy if any.
5. List the main risks and recent headwinds. Include company-specific, sector, macro, currency, and regulatory risks where relevant.
6. Assess fit for my goal and risk profile over my time horizon. Say when it would still be a bad fit for me, even if the asset itself is solid.
7. Compare one or two alternatives (another ETF in the same space, a broad index fund, or a direct competitor). Note tradeoffs in fees vs diversification.
8. Build a "verify before investing" list of 8 to 10 items I should check on official filings, fund factsheets, exchange data, or recent earnings materials. Do not treat forum posts or social media as sources.
9. Write 5 questions I should answer for myself before buying (position size, worst-case loss, exit plan, tax treatment, overlap with what I already hold).
10. End with a short verdict framed as research, not advice: "Looks worth deeper research if..." and "Probably skip if..." based on my inputs.
Output format:
Return sections 1 through 10 in order.
How to use
- Start with the exact ticker and exchange if you know it. Wrong identity typo is classic mistake.
- Run once for the overview, then start a new message with "Deep dive on [TICKER] earnings and balance sheet" for one company.
- Paste a fund factsheet or annual report excerpt in a follow-up and ask "What in this filing should change my view?"
Tips
- Single-stock bets need a clear position size and exit plan before you research further.
- ETF names can look similar. Match ticker and ISIN on the issuer site, not only the marketing title.
- Past performance in a web summary is not a forecast. Check fees, holdings, and tracking error instead.
For best results, give your AI access to:web search
Example output
Section 3
Vanguard S&P 500 ETF (VOO) tracks the S&P 500 index. You own a slice of roughly 500 large U.S. companies weighted by market cap, not equal weight.
Section 4
Expense ratio about 0.03%. Top holdings lean heavily to mega-cap tech. Dividends paid quarterly. Tracks the index closely via physical replication.
Section 8
- Confirm current expense ratio on the issuer factsheet (verify before investing)
- Read the latest semi-annual report for tracking difference vs the index (verify before investing)
- Check your broker's currency conversion and withholding tax rules (verify before investing)
Section 10
Looks worth deeper research if you want broad U.S. large-cap exposure for 10+ years and can tolerate drawdowns.
Probably skip if you need capital within two years, want no U.S. concentration, or already hold a nearly identical index fund.
This brief is research support only, not financial advice.