buy-and-hold strategy investment & finance definition
A passive investment strategy, often associated with
purchasing bonds, whereby a manager selects a portfolio of bonds aligned to his
client’s objectives and intends to hold the bonds to maturity. A modified buy-and-hold strategy follows
this process; however, portfolio managers still actively look for
attractively-priced opportunities. A buy-and-hold strategy also may be applied
to stock selection or other investments.
See buy-and-hold strategy in Wall Street Words
The investment strategy of purchasing securities and holding them for extended periods of time. Investors using the buy-and-hold strategy select companies on the basis of their long-term outlook. Such investors are not influenced by short- or intermediate-term movements in the price of a security.
Learn more about buy-and-hold strategy