FYI: It’s automated
It’s a great way to force you to save money
It gives you the ability to systematically buy low, with the cherry being that you’re buying more the lower stocks go.
I explained that it was no panacea and that the only reason why this had higher returns than the market over this period was because of sequence of returns, which cuts both ways.
But this disclaimer wasn’t good enough, because every time you write about the benefits of long-term investing, specifically of the buy and hold variety, you have people who say “now show Japan.”
It’s true that the efficacy of buy and hold investing is challenged through the lens of a Japanese investor. As the chart below shows, you could have made regular contributions from 1971 through 2012 and still have not made any returns on your investment.
Regards,
Ted
https://theirrelevantinvestor.com/2019/01/18/now-show-japan/
