Which of the following statements regarding a buy-and-hold strategy are true?
A) There are no selection choices to be made under this strategy.
B) This strategy is applicable only to large portfolios.
C) There is no reinvestment decision to make under this strategy.
D) This strategy produces relatively low transactions and search costs.

Question

Quizplus · Accepted Answer

A buy-and-hold strategy involves purchasing securities and holding them for a long period, which results in relatively low transaction and search costs due to infrequent trading.

Which of the Following Statements Regarding a Buy-And-Hold Strategy Are