I am looking at fix and flips mainly and will consider
a buy and hold strategy if the numbers seem fitting.
These bonds might be considered for part of an individual investor's
buy and hold strategy if they hold bonds for maturities of 20 years and longer.
Not exact matches
Investors must throw out a few ingrained ideas, like
buy and hold and de-risking in old age,
and adopt some new
strategies if they want to live comfortably into their 90s.
Buying and holding the overall market — using an E.T.F. like the SPY, or a traditional index mutual fund, or a very diversified portfolio of stocks — has been an extremely profitable
strategy if you stuck to it for the last 25 years.
Also,
if a mutual fund is constantly
buying and selling shares, the investor will face a lot of short - term capital gains, which will hurt them on their taxes.As investors, we want to stick to
buy and hold strategies... so we would hope our mutual funds do the same.
If, however, you want to become one of those long - term investors that executes a
buy -
and -
hold strategy that ends up becoming richer even through the passage of recessions
and depressions, then I encourage you to focus on business performance.
If you are a committed, disciplined
buy -
and -
hold investor with no sensitivity to cyclical market fluctuations (even those as large as the 50 % losses of 2000 - 2002
and 2007 - 2009),
and you fully recognize the depth of cyclical risks that regularly accompanies that
strategy, I don't encourage a deviation from that discipline based on my analysis of market risk.
If you follow a carefully considered
buy -
and -
hold strategy,
and you don't believe that market returns can be anticipated regardless of valuations, market action, or other considerations, then by all means stick to your discipline.
So it became industry practice to ignore Shiller's research findings, to act as
if it was no big deal that valuations affect long - term returns
and to continue to push the now discredited
Buy -
and -
Hold strategy.
If stock price changes are caused by economic realities, the market is efficient
and Buy -
and -
Hold is the ideal
strategy (
and the safe withdrawal rate is always the same number).
Gaining a much higher lifetime return permits you to do all sorts of exciting things with your life that you would not be able to do
if you followed a
Buy -
and -
Hold strategy (like retiring early!).
Though I certainly wouldn't advise it as a
strategy, investors would have historically outperformed the S&P 500 with much less risk than a
buy -
and -
hold simply by selling stocks when the S&P reached 19 times earnings
and staying in T - bills until the P / E reverted to 15, even
if it took years to do so.
Specifically
if the kind of stocks that you use with this
strategy are different from the kind of stocks that you own in the
buy and hold forever portfolios?
ETFs are definitely worth considering over normal funds given their cost structure — the only question that we are currently discussing is
if «
buy and hold»
strategies will stay the right investment
strategies at all given further increased volatility in the markets.
From my understanding, it is conventional wisdom that
if a person wishes to invest in the stock market but does not have the time or aptitude to evaluate individual stocks
and time the market, he should invest only in no - load, low - fee mutual index funds, using a dollar - cost averaging
strategy in a
buy -
and -
hold fashion.
An alternative
strategy to covered calls is a
buy and hold strategy where you own the stock
and hope for price appreciation (
and collect dividends,
if your stock pays dividends).
If you have Warren Buffett like skill, can find good growing companies trading at a large discount before everybody else does,
and a history of 20 % + yearly returns, I advise you to stick with Buffett's contemporary
buy -
and -
hold - forever
strategy.
If your client is looking to grow her wealth over the long - term
and is not concerned with generating immediate income, funds that focus on growth stocks
and use a
buy -
and -
hold strategy are best because they generally incur lower expenses
and have a lower tax impact than other types of funds.
But he can't really use numbers indicating the return he will get at the end of 30 years of
buy -
and -
hold investing because it is not reasonable to presume that he will follow a
buy -
and -
hold strategy if he suffers big losses in portfolio value within the first 10 years.
But as a
strategy and if executed well, yes momentum investing has shown it can yield solid results
and occasionally, outperform a
buy and hold approach.
Buy and hold — the
strategy based on a theory that
if you
hold a stock long enough it will go up in price — refer to the above.
If what Roth is recommending is a passive asset - allocation
strategy, then I would suggest that a
buy,
hold and hope
strategy is not very appealing.
If Shiller is right,
Buy -
and -
Hold is the most dangerous
strategy ever concocted by the human mind.
Optionsforstocks: Now,
if I can pick
and choose a specific time period, I can show you any number of
strategies that in hindsight would have done better than
buy -
and -
hold.
* This also means that
if you use $ SPY (no leverage), this model would underperform a simple
buy -
and -
hold strategy.
If all Wall Street cared about were the fees it earns, it would not want investors following
Buy -
and -
Hold strategies.
Bottom line:
if you don't
buy an index, you'll want to focus on
strategies that have unique
holdings and high active share.
If you
buy the wrong company at any price, then the
buy -
and -
hold strategy is a dumb move.
I'll start out by saying that I am a
buy and hold investor of dividend paying stocks, now let's put that aside
and look at the recent events
and see
if buy and hold investment still a good
strategy.
But
if your goal is the long - term growth of your portfolio, you need to apportion the majority of your resources to
buy -
and -
hold and look at active trading as an entirely secondary
strategy,
if you even do it at all.
As a result, these types of investments are generally not designed for a
buy -
and -
hold strategy, even
if the «
hold» period covers only several days.
If Velanki is looking for a
buy -
and -
hold strategy with minimal trading, Clyne recommends low - volatility ETFs.
If they can
buy and hold, these
strategies will pay off over time,
and far better than those that panic when things get bad.
Below are the results
if we allocate 90 % of our portfolio to the
buy -
and -
hold strategy and 10 % to the leveraged rotation
strategy.
But
if you stay in the markets in a
buy -
and -
hold strategy,
and the markets drop, your investments will likely drop as well.
With
buy and hold strategies the general thought is that it's okay to
hold onto positions that are temporarily overvalued — a la Phil Fisher — because even
if the stock price retreats a little you still do well over the long term.
What
if we combine this
strategy with a
buy and hold strategy?
The
buy -
and -
hold strategy is a good one
if you don't mind being a landlord.
It would be interesting to see
if, over time, such simple timing when applied to double exposure ETF's beats a
buy -
and -
hold strategy.
If stock prices really do play out in the pattern of a random walk,
Buy -
and -
Hold is the ideal investing
strategy.
If a bull market develops, active value investing should do at least as well as
buy -
and -
hold strategies or passive indexing.
If the basis of your investment
strategy is to diversify,
buy,
and hold, why would you allocate so much wealth to one country when over the long run that country may not perform as well as the world economy as a whole?
If you're looking for even more detail on these financing options
and want to learn about examples of deals being done with these
strategies, check out our Financing Avenues for
Buy and Hold Investors course in our Pro Community for more guidance
and tips.
If stocks crash yes again, I think we all will feel comfortable saying that
Buy -
and -
Hold is a loser
strategy and that Valuation - Informed Indexing is a winner
strategy.
It's not as
if The Stock - Selling Industry was handed $ 12 trillion in cash that it could use to finance television commercials touting the benefits of
Buy -
and -
Hold strategies.
This simple trading
strategy outperforms a 60/40 portfolio, regardless
if the latter is rebalanced on a monthly basis, a five - year basis, or not at all (a pure
buy -
and -
hold strategy).
A
strategy for investing in which investors
buy a bond
and hold the bond until the date of maturity when the investor receives principal back
and interest,
if any.
I've been surprised at how controversial this idea is, but
if most people are
buying and holding, they are emotionally invested in this
strategy.
We know about an investing
strategy that beats
Buy -
and -
Hold in 102 out of 110 time - periods, an investing
strategy that permits us to obtain far higher returns at dramatically less risk, an investing
strategy that permits us all to retire years sooner
and that would bring us out of this economic crisis
if we could share it with millions of middle - class investors (
if people could switch to an investment
strategy that would put their retirement plans back on track, they would feel free to start spending again
and businesses could start hiring again),
and our first reaction is to come up with convoluted arguments as to why the best thing to do is to AVOID learning more about it
and to AVOID getting the word out to the millions of middle - class people whose lives we have destroyed with our promotion of
Buy -
and -
Hold.
If you understand how to trade ETFs
and can manage a long - term
buy -
and -
hold investment
strategy using ETFs in a discount brokerage account, then you have a few low cost international bond ETF choices.