Adrian Mastracci, president of KCM Wealth Management, says “You see, the buying and holding are only part of total investment strategy. Moreover, nowhere in the commandments of investing is it written that holding means forever."

For Immediate Release

Vancouver, BC (October 21, 2003): Adrian Mastracci, investment counsel & president of Vancouver based “fee-only” KCM Wealth Management, comments on beefing up the venerable “buy and hold” investment strategy by adding valuable savvyness.

Have you ever had a sandwich without the meat? I definitely prefer some in my sandwich. No question about it.

There is no doubt that some breads are very tasty. However, a sandwich of just two lonely slices does not sound inspiring. I venture to guess that most people would agree.

I got to thinking that the same point applies to the ever popular “buy and hold” investment strategy. The one that is both cherished and thrashed daily by many experts all around the world.

Well, that is exactly what is lacking with just buy and hold. It has no MEAT. It’s like having a void in the middle. You could say uninspiring.

You see, the buying and holding are only part of total investment strategy. Moreover, nowhere in the commandments of investing is it written that holding means forever.

Therefore, just buying and holding does not satisfy my investment appetite. Let me elaborate.

Investors can buy whatever suits them. They can hold the investments as long as they like.

But successful investing goes much further than just buy and hold. My experience shows that it improves immensely when it’s beefed up with a serving of MEAT. A little thinking outside the box.

Allow me to describe the tasty MEAT recipe for the investing sandwich:

Investors can adopt any investment strategy that suits the situation. They can modify the strategy as often as they wish. However, at some point they begin negotiating how short their long term really is.

Day traders often think in terms of hours. Warren Buffet thinks more in terms of a lifetime. Everybody is entitled to a personal point of view.

Actually, day traders know a great deal about MEAT. They breathe it and make decisions based on it practically every trading day.

It does not matter whether investors focus on asset allocation, market timing or picking undervalued superior stocks. Adding some MEAT to the investing sandwich benefits all investment strategies.

For the record, asset allocation strategies easily win the marathon of investing. By a country mile, no less.

Although, many investors still encounter difficulties with two items. First, wrapping themselves around the appropriate personal mix of assets. Second, dealing with the selections heading south.

Sadly, making portfolio selections is not about being right every time. Acquiring the skills of investing involves coming to grips with being wrong. And it will happen.

Having to sell one or more prospects whose high hopes are dashed is an emotional and traumatic affair. This encounter touches us all, including the professionals.

Yes, folding the tent on an investment is mighty distasteful. Yet, those who have mastered the art know what a positive affect a little MEAT can have on portfolio success.

Think of past examples like Nortel, 360 Networks, Lucent, JDS Uniphase or WorldCom. I fully expect that other missiles like these are on their way to every investment neighbourhood as I write his.

On the other hand, engaging in the MEAT exercise may reconfirm that your selections are still a valid part of your investment journey. That’s a reassuring find.

Investors can embrace whichever investment strategy works for them. Adding some MEAT to their version of buying and holding makes it the superior strategy.

One definitely worth adopting. Regardless of whether the holding period is tallied in hours, days, months, years or even decades.

The "buy and hold" debate will rage on well past my lifetime. However, I prefer my investment sandwich with some MEAT in the middle.

The bottom line. Buy and hold strategy by itself needs more savvy for my taste.

Is it time to beef up your investment sandwich? Could I offer a little MEAT, perhaps?

NOTE: The information provided above is intended for general informational purposes only. It does not constitute advice for anyone's specific situation. Everyone should always first consult directly with their advisors to determine the appropriateness of any information contained above before taking any action. KCM Wealth Management Inc. assumes no responsibility for any loss or damage arising from the use of, or reliance upon the above information.