bigmoney

Alternatives to Buy and Hold (Part II)

I like this approach, as it captures whatever sector is trending up for whatever reason, whether that be inflation, economic growth, or just irrational exuberance. I think these approaches have potential because many people will buy & hold, or move to cash and stay in cash.

I know people that are nearly 100% stocks, buy & hold fashion, and they stubbornly refuse to consider alternatives. They "dollar cost average". The current market sag is nerve-wracking, because many of the same macro-economic issues persist, with zombie banks, quasi-nationalization, etc. I'd say its quite possible to trend down from todays 6590 another -30%, and then trade sideways, while inflation does it thing. And in the not too distant future, large numbers of baby-boomers will be hoping to retire, or else "right-sized", and unable to secure quality employment.