Hi David,
“Dead” is a big call but at MM we believe “Active Investing” is a more appealing approach, but you still have to get it right, they all have hurdles to clear. There are many examples where buy and hold works best, and others when it does not. The issue for buy and hold is that there will be big dovergences in stock performance over the long term, and simply having the buy and hold mantra means holding stocks when things are going against them, and not being open to changing course.
For us, we believe that trends evolve and things change, the market is dynamic and skewing portfolio’s has worked for us over the last decade, though we acknowldge the last 6 to 12 months has been more difficult given the nature of the changes were caused by more eradic trade policy.
- In short, different strokes for different folks. Investing works, then it’s about selecting an approach that suits your outlook, ours being, that good active management will outperform pasive buy and hold over time, and remaining open minded is central to that.
