Buy and hold is a long term investment strategy in which stocks bought and then held for
a long time, regardless of the market’s fluctuations, will give a good rate of return. One of the
strongest arguments for the buy and hold strategy is that in the very long term (say, 10 years), the
stock prices will go up. The proof of this idea is that in a capitalist society the economy will keep
growing and expending, and thus that corporate profits will keep growing as well. Two
additional benefits, trading with the Buy and hold strategy, are the reduced commission fees and
smaller taxes as the result of trading less frequently and holding longer.