Business, Legal & Accounting Glossary
Buy to hold is an investment approach very similar to buy and hold, but conveying active watching, and an open-minded willingness to sell.
This language is used in order to reflect that the approach is more active than mere “buy and hold” (sometimes criticized for “buy and put your head in the sand”) investing.
While the distinction is at least partly pedantic, the Fool is conveying that its jester cap does not mix well with sand.
Nevertheless, “buy to hold” begins with the premise that, from the outset of a new investment, the investor would like to hold the stock for decades, if only the market and the company and external circumstances will all conspire to create a long-term winner of an investment.
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This glossary post was last updated: 4th August, 2021 | 1 Views.