/biz/ - Business & Finance

Wall Street can't stand buy-and-hold strategies because brokers need trading activity to make money. Everyone is a long-term investor until the market goes down. Nobody owns a crystal ball which tells them what stocks are going to do next week. Buy at low cost, over an investing lifetime, an allocation of 60% broad-market Vanguard index fund and 40% broad bond-market index funds and stay the course so you sleep well at night. If you're determined to succeed at investing, make it your first priority to become a buy-and-hold investor. Simple buy-and-hold index investing is one of the best, most efficient ways to grow your money to the ultimate goal of financial freedom. Once you understand that monitoring the markets is harmful to your long-term returns, a whole new world of opportunities will await you. Don't trade in and out of funds. Stay invested. Not only does buy-and-hold investing offer better returns, but it's also less work.