Investing

How long should you hold your cryptocurrencies?

Summary

The mission of these blog posts have been to help people new to personal investment theory to have realistic expectations and efficient strategies in cryptocurrency. The goal is to increase the happiness of each individual investor. In this last post of the series we summarize what we have discussed so far.

9. How to select an index fund

As previously discussed, the books suggest that most people should invest in an index fund. But how do you choose one? What are the most impactful variables when selecting or creating such an instrument, what should the retail investor look out for? Here we go through what…

8. The Power Of An Index Fund

The logic of adopting an equity investment strategy focused on at least in part on indexing seems almost overpowering. There is every reason to assume that in the future index funds will be equally successful in surpassing the long-term results of most professional advisers…

7. What To Invest In?

In this blog post we will show why all the authors think it’s a loss-incurring idea to pick your own securities and why you should focus on an index instrument instead.

Let us first look at the market in general and then ask ourselves: what is the absolutely…

5. The Cyclic Nature of Markets

We have had a lot of economic crashes in our history of economics. Crashes happen because prices have steadily been diverging from the real value, and, suddenly the market corrects itself (Malkiel, 104). In this post we will list a few historical crashes, some ups and downs…

4. Investment Period

If there is one thing guaranteed for the future, it is that the earnings and average annual market value of a stock portfolio will not grow at the uniform rate of the historical average. In the memorable words of the elder J.P. Morgan, “They will fluctuate”. That means that the common stock…

3. An Investment Plan

This post presents the idea of an investment plan as presented by Bogle and Malkiel. It very briefly covers the different aspects that it entails and it’s advantages. It cannot be stressed enough how much importance is put on this topic. For more info, please consult Bogle or Malkiel.

2. The Strategy

According to the books of Benjamin Graham, John Bogle and Burt Malkiel, there is a definite low risk way of investing. The name of the game is to invest in the market with dollar cost averaging. We present the final result here, and in the following posts we examine how we got here.