The Buy-and-Hold Strategy is an investment approach where an investor purchases stocks or other assets and holds onto them for a long period, regardless of market fluctuations. This strategy is based on the belief that, over time, the value of these investments will increase, leading to significant returns. It is often favored by those who prefer a more passive investment style, avoiding the stress of frequent trading.
Investors using the Buy-and-Hold Strategy typically focus on the long-term potential of their investments, often looking at companies with strong fundamentals, like Apple or Amazon. This method can be less risky than trying to time the market, as it encourages patience and discipline.