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The secret to successful investing part 3: Long-term investing revisited (Friday, December 30, 2005)
The thing you need to remember when it comes to long-term investing is... well, it's long term. You can't concern yourself with the ups and downs of the market (unless, that is, there are no ups and only downs). While you should constantly re-evaluate your portfolio and rid yourselves of stocks that no longer meet your criteria, you shouldn't just sell because the stock is coming down. Chances are it'll go back up within a few days. One thing a long term investor may do when their stocks are going down is buy more (if they are sure it's a solid investment). That way, when the market re-adjusts itself (as it will), you'll have more stocks.
Next we'll cover another big secret of successful investors... tomorrow.
- Aaron
posted by Aaron and Sarah at 11:50 PM
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