>>5
I tend to disagree with you. If one really put forth the effort in reading companies annual financial reports, you can make a pretty good prediction as to how well some companies will do based on internal financial leverage, in combination with what sector the company specializes in. You don't have to just "diversify and let fly". 8-9 percent relatively risk free? Dude, you're better off buying tax-exempt state muni bonds. If you know what you're doing, you can see a lot more than 8-9 percent.
OP, take a financial mathematics course at your college.