Dennis Zocco, a USD business professor for 20 years, wrote a software program that is used to teach college-level investment courses at more than 300 schools.

1) Pick a company with a durable, competitive advantage, meaning it's stood the test of time. Avoid companies with many small, fragmented competitors.

2) Choose companies with names you know and products you understand.

3) Invest for the long term. Invest in companies that have been around for
a while, because chances are, they'll still be leading companies 10 or 15 years from now.

4) Disregard the day-to-day movements of the market. Focus on long-term trends. Historically, the stock market has increased at about 12.5 percent annually — a reasonable rate of return. The more you invest for the long term, the more you're letting those averages work for you.

5) Use the Internet to research whether a company has maintained positive earnings and rates of growth consistently over a five-year period. During the past five years, for example, we've had good times and bad times — and a company that has maintained good numbers during that time is pretty strong. Other things to look for include above-average profit margins and inventory turnover.

6) Build a list of companies you'd like to have, then wait until you can get them at a good price. The best time to get into the market is when everyone is fearful of getting in. This is when prices are low and you have a chance to get a good stock at a good price.