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Back to Basics

When trying to lose weight, we go back to basics, planning meals and tracking performance. The same strategy can be applied to your investments. Baby boomers accumulated their wealth because they employed a buy-and-hold strategy, something we need to go back to. Investors need to increase their time horizons, and go back to a five-year plan instead of a one-year plan. In this age of instant news and information overload, we have lost the concept of long-term planning. Be a buyer far more than a seller of your stocks – this may mean some underperformers, but the overperformers will offset those.

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