Active vs. Passive Investing

by astanhaus

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Pre-my Man, I alternated between two dating philosophies.

Active: I was on the prowl. I shamelessly introduced myself to any man that caught my eye.

Passive: Who, me? [bat eyelashes] I fabulously sipped a single malt at the bar and men came to me.

Now that I’m taken, I see the middle path. Desperate does not look good, but playing too hard to get can backfire too. Now, I look fabulously approachable at all times.

My investing philosophy similarly take the middle path.

When investing, I’m in it for the long haul. I’m a value investor, a form of passive investing. I do extensive research before I buy, and then hold on tight to the stock!

Daily, I read the business section, but don’t act like an active investor. Active investors buy & sell throughout the day, hoping to make some quick $$.

It’s been worth it to passively wait to reach my long term goals, but it fun to follow the market!

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(Originally published on Amanda Stanhaus’s financial literacy blog: XO, Bettie.)