{"id":1932,"date":"2017-06-09T06:31:00","date_gmt":"2017-06-09T06:31:00","guid":{"rendered":""},"modified":"2025-11-07T11:46:01","modified_gmt":"2025-11-07T06:16:01","slug":"buy-hold-looks-good-bull-market-not-bear-market-thats-works","status":"publish","type":"post","link":"https:\/\/www.equentis.com\/blog\/buy-hold-looks-good-bull-market-not-bear-market-thats-works\/","title":{"rendered":"“Buy & Hold” Looks Good In Bull Market But Not In Bear Market. But That\u2019s Why It Works!"},"content":{"rendered":"
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Buy & Hold<\/strong><\/em> – is 3-word phrase often glamorized by market veterans and newbies alike. And to be honest, it\u2019s easy to be a buy-&-hold investor with markets doing well. You buy something for Rs 1000 and see it slowly move up to Rs 1500, Rs 2500 and beyond. You look smart just by being there – holding it and doing nothing.<\/p>\n\n\n\n

But reverse the situation.<\/p>\n\n\n\n

You buy that same thing for Rs 1000 and unluckily for you, the bear market<\/a> begins. It slides down to Rs 900, then to Rs 750, Rs 600. You end up looking like a fool for holding it.<\/p>\n\n\n\n

It\u2019s not easy to be a Buy-&-Hold investor in Bear markets. That is the reality.<\/p>\n\n\n\n

But that is the very reason this works!<\/p>\n\n\n\n

Participating in a rising market, it\u2019s extremely easy to picture yourself holding through a bear market<\/a>, eagerly waiting for it to end so that the big gains resume.<\/p>\n\n\n\n

But in reality, the pain that people go through (both emotional as well as financial pain) watching their money go down by 10%, 20%, 30% and even 50% is something else. It cannot be described in words. And when the emotions eventually do take over, these investors exit booking big losses.<\/p>\n\n\n\n

The buy-&-hold strategy ends for them at just the worst possible time.<\/p>\n\n\n\n

Have a look at the charts below. These charts show Nifty<\/a> levels for 3 different but continuous periods spanning over 11 years:<\/p>\n\n\n\n