Recently, many people have been denouncing buy-and-hold investing. Among phrases heard: “long term investment died as a thesis” this year. Of course, these voices are featured most prominently after a huge fall in the market, when the outlook for returns from long term investments has actually improved.
The best example of this is a Business Week front-page story titled “The Death of Equities,” published in August of 1979. Then, as now, investors were weary of a long, painful bear market. The story didn’t mark an exact bottom in the market, however in the two decades that followed the S&P 500 increased more than tenfold. Read the rest of this entry »
Posted by Arnbjorn Ingimundarson 
