Many experts advocate a
buy-and-hold
investment strategy for long-term investors. Buy and hold means
you choose solid investments — usually stocks and bonds in
profitable, well-established companies and the mutual funds that
invest in these stocks and bonds — and keep them in your
portfolio through thick and thin.
Over time, you expect those investments to
increase in value or provide income so you can make additional
investments. For example, a stock might split several times over
a 15- or 20-year period increasing the size and potentially the
value of your portfolio if the stock price returns to pre-split
levels.
However, buy and hold doesn’t mean do
nothing. If one of your investments doesn’t live up to your
expectations when similar ones are performing well, you can sell
it and buy something else.
Gail Dudack,
Managing Director,
Dudack Research Group
Gail Dudack, 
