If anyone continues to tell you that “buy and hold” and the traditional investment mantra continues to be a good idea for the “long term” ask them if they mean “long term” to be something longer than your lifetime.
Take a look at Japan:
The Nikkei is down 78% from 20 years ago. It is flat from 25 years ago.
And now the S&P
Someone buying the S&P 500 in 2000 is down 40% nine years later. Buy and hold dollar cost averaging has been an absolute disaster. You would be behind on nearly every addition no matter when you started.
Mish’s Global Economic Trend Analysis: S&P 500 Crash Count Compared To Nikkei Index
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