It seems like the debate regarding the merits of the "buy-and-hold" investing strategy is alive and well. We always find these discussions amusing, because we believe that it is such a pointless discussion. There is no general argument or case that can be made to support the buy-and-hold strategy or to negate it. The only true answer to the buy-and-hold argument is it depends on what and/or when you buy-and-hold. If you buy the right company at the right price, then buy-and-hold is a great strategy. If you buy the wrong company at any price, then the buy-and-hold strategy is a dumb move. Also, if you buy the right company at the wrong price, then buy-and-hold would once again be a bad move.
At the end of the day, the practical application of a well thought-out and disciplined buy-and-hold strategy has proven itself and really needs no defense. In the long run buy-and-hold will be more tax efficient and less costly than more active strategies. This is not to say that more active strategies can't be profitable, it simply means that they're more difficult, costly and riskier to execute effectively.
Source: Seeking Alpha
Related Articles:
Buy and Hold Will Always Be a Sound Investing Strategy
Posted by D4L | Saturday, October 23, 2010 | ArticleLinks | 0 comments »________________________________________________________________
Subscribe to:
Post Comments (Atom)
Dividend Growth Stocks News
~
Popular Posts Last 30 Days
-
If you're worried about inflation rearing its ugly head next year, you should probably worry about more likely catastrophes, such as bei...
-
As a relatively new blogger, the one thing that has stood out in my mind is the number of Canadian bloggers in the areas that I am most inte...
-
We screened our 24/7 Wall St. dividend equity research database and found 5 stocks that combined can generate over $3,000 of annual passive ...
-
The stock market has been on an upward path of late, with some of the most prominent stocks hitting astronomical highs. The dividend yield o...
-
Dividend growth stocks can be incredibly attractive investments if you crave recurring income. As these types of stocks raise their dividend...
-
The most dependable dividend stocks typically have a long track record of sustaining payouts through different market cycles. Companies with...
-
Dividends can be a tremendously powerful part of your investing strategy. Not only can they give you a continuing source of cash to reinvest...
-
In my opinion, there are three criteria investors should consider when evaluating a particular stock for their portfolio. The first is histo...
-
In this article, we discuss 5 best March dividend stocks to buy. If you want to read our detailed analysis of dividend capture strategy and ...
-
As the broader stock rally broadens to some of the more “boring” corners of the market, it’s the higher-yielding dividend plays that could s...
0 comments
Post a Comment
Post a Comment
Note: Only a member of this blog may post a comment.