Buy and Hold

BUY and HOLD.

Two of the most misunderstood simple words in the share market.

For an investor, what is a BUY? here's some stuff for one to ponder.

• Is any stock a BUY?


• Does a have stock have a price where it is deemed a BUY?


• Are all good stocks worth a BUY at any given price?

What is HOLD?

Hold means hold, not letting go.

Is this really applicable?

Once we get a good stock at a good price, do we hold it forever and ever? What if...

• The stock we had bought b4, no longer resembles the same stock. do u wanna HOLD? The papaya tree u planted, which gave u all the juicy and sweet papaya no longer bear fruits, do u still keep (HOLD) the same tree? don't u wanna plant a new one?


• Talking about papaya trees... trees they get diseases.... how?
  What if it contracts a deadly disease, do u just HOPE that things wud get better or are u gonna realise that the tree is a goner? Like in business, if something happens to the business model of the company, and business starts to deteriorate, are u gonna recognise the potential risk in ur investment or are u gonna just HOPE that things wud get better?


• If someone offers u a ridiculous high price for ur prized holding, do u wanna HOLD for the sake of the HOLDing principal or do u wanna take their money? for example, u got a dollar for a nickel, and now someone wants to offer u twenty dollars for that nickel. How? Is it a HOLD or is it a ...


• Now back to that papaya tree. Now if the papaya tree is still consistently giving u loads of papaya, which are still as sweet and juicy as ever, what do u wanna do with it? Dun u want to continue HOLDing on to it forever and ever.... until....

So what you think of BUY and HOLD?