Buy and Hold vs Day Trading
Buy and Hold
vs Day Trading
Buy and Hold
vs Day Trading
Two radically different philosophies. One has the odds in its favor.
The buy-and-hold strategy means purchasing stocks or funds and holding them long-term—regardless of market fluctuations.
- Based on long-term value growth
- Lower taxes and fees
- Time in the market > timing in the market
Despite short-term dips, a trader acting under the buy-and-hold strategy will hold the stock to obtain long-term growth.
Day traders buy and sell stocks within a single day, trying to profit from short-term price movements.
- High risk, high stress
- Requires constant monitoring and tools
- 90% of day traders lose money over time