Also called B&H, benchmark
Buy and hold
Buying once and doing nothing. The benchmark every strategy must beat, measured over the identical window, because beating nothing is not a result.
A fuller explanation of this one is still being written. The definition above is the short answer.
See also
- Backtest — Running a set of rules over history to see what they would have done. It shows what did happen, never what will, and it flatters any rule tuned on the same data.
- Total return — What the account gained or lost across the whole test, start to finish.
Educational content, not investment advice. Angie explains how a valuation is built so you can judge it yourself. What you do with that is your call.
